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Precision guided munitions (PGM) are a class of aircraft-deployed missiles equipped with guidance systems such as laser, electro-optical or infrared guidance that allow precision strikes against specific targets while reducing the risks of collateral damage. These munitions provide tactical and strategic advantages over unguided munitions by improving target selectivity and battle damage assessment. The increasing use of PGMs is driven by the advantages they offer such as ability to engage targets in adverse weather and night conditions with greater reliability and accuracy compared to traditional unguided munitions and reducing risk to nearby civilian infrastructure and personnel.
The global Precision Guided Munition Market is estimated to be valued at US$ 20 Billion in 2024 and is expected to exhibit a CAGR of 7.1% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
There is an increasing demand for precision guided munitions across major armed forces globally in recent years owing to their ability to reduce collateral damage and provide strategic advantages. As conflicts are now centered increasingly in populated areas, militaries seek weapons that can incapacitate combatants while avoiding civilian infrastructure and non-combatant deaths. This has spurred investments in development and adoption of advanced PGM capabilities. Their improved accuracy allows engagement of multiple targets through a single sortie resulting in reduced costs. PGM manufacturers are continuously developing new technologies to enhance guidance systems, extend ranges and improve ability to rapidly re-task munitions mid-flight based on updated targeting data from manned and unmanned sensors. These developments aim to provide defense forces with flexible precision strike abilities during conflicts while minimizing risks and costs.
Key players operating in the precision guided munition market are Lockheed Martin Corporation, BAE Systems, Raytheon Technologies Corporation, Northrop Grumman Corporation, General Dynamics, Boeing, L3Harris Technologies, Textron, and Thales Group. Precision guided munition allows militaries to engage targets with minimal collateral damage while maintaining standoff distance from the battle. This has increased their demand globally.
Segment Analysis
The global precision guided munition market is dominated by three major segment – airborne precision guided munition, surface-launched precision guided munition, and sea launched precision guided munition. Among these, airborne precision guided munition segment holds more than 50% of market share as they are being increasingly used by modern air forces to conduct targeted strikes with high accuracy from a safe standoff distance. Missiles like laser-guided bombs and GPS/INS guided missiles have revolutionized air warfare with their precision ability.
Key Takeaways
The global Precision Guided Munition Market is expected to witness high growth. The global Precision Guided Munition Market is estimated to be valued at US$ 20 Billion in 2024 and is expected to exhibit a CAGR of 7.1% over the forecast period 2024 to 2031.
North America currently dominates the market due to large procurement and modernization programs being undertaken by United States and allied nations to strengthen their precision strike capabilities. The United States is a key contributor to the North American as well as global market.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
