Key Factor Supporting IoT in Aerospace & Defense Market Development in 2025: Rising Number Of Cyber-Attacks To Drive Market Growth

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How Large Will the IoT in Aerospace & Defense Market Size By 2025?
The market size for IoT in aerospace & defense has seen a swift expansion in recent times. Forecasts show an increase from $55.42 billion in 2024 to $63.57 billion in 2025, projecting a compound annual growth rate (CAGR) of 14.7%. The growth experienced in the prior period can be linked to heightened connectivity and communication requirements, demand for preventative maintenance, escalating security threats and concerns, reduction in costs and operational efficiency, as well as regulatory encouragement and compliance.

How Big Is the IoT in Aerospace & Defense Market Size Expected to Grow by 2029?
The IoT segment within the aerospace and defense market is predicted to experience brisk expansion in the coming years. The market worth is projected to reach $112.42 billion in 2029, growing at a compound annual growth rate (CAGR) of 15.3%. The projected increase during the forecast period is largely due to the heightened focus on cybersecurity, the rising prominence of unmanned systems, stress on fleet management, progression in edge computing, and the inclusion of 5g networks. The forecast period will also witness significant trends such as the development of IoT sensors and connectivity, swift adoption of edge computing, intensified attention towards cybersecurity, integration of AI and machine learning, advancement in IoT sensors and connectivity, and an emphasis on predictive maintenance.

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Which Key Market Drivers Powering IoT in Aerospace & Defense Market Expansion and Growth?
A surge in cyber-attacks targeting the aviation sector is predicted to stimulate the advancement of the IoT in the aerospace and defense industry. Cyberattacks encompass unauthorized intrusions into computer systems aiming to steal, disclose, modify, disable, or destroy data. IoT authentication within the aviation industry can offer essential cybersecurity safeguards, thereby mitigating the instances of cyber-attacks. For instance, the Australian Cyber Security Centre, an Australia-based cybersecurity agency, reported that the number of cybercrime reports received in 2022 amounted to 76,000, denoting a nearly 13% increase from the preceding fiscal year. Consequently, the escalation in cyber-attacks within the aviation sector is fuelling the growth of the IoT in the aerospace and defense market.

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Which Fast-Growing Trends Are Poised to Disrupt the IoT in Aerospace & Defense Market?
Product innovation has emerged as a core trend in the IoT in aerospace and defense market. Large companies in the sector are honing in on the creation of new IoT products. For instance, OnAsset Intelligence, a tech firm in the aerospace and defense sector based in the US, unveiled the world's first IoT gateway dedicated to aircraft, dubbed the Sentry 600 FlightSafe, in March 2024. This trailblazing gadget is engineered to convert planes into virtually connected warehouses, thereby dramatically improving control and visibility of air cargo operations. By implementing Bluetooth sensors across the aircraft, OnAsset facilitates uninterrupted tracking of aircraft subsystems and the status of the cargo.

What Are the Emerging Segments in the IoT in Aerospace & Defense Market?
The IoT in aerospace & defense market covered in this report is segmented -

1) By Component: Hardware, Software, Services
2) By Connectivity Technology: Cellular, Wi-Fi, Satellite Communication, Radio Frequency
3) By Deployment Mode: On-Premise, Cloud
4) By Application: Fleet Management, Inventory Management, Equipment Maintenance, Security, Other Applications
5) By End User: Space Systems, Ground Vehicles, Other Users

Subsegments:
1) By Hardware: Sensors, Embedded Systems, Connectivity Devices, Drones And UAVs (Unmanned Aerial Vehicles)
2) By Software: IoT Platforms, Data Analytics And Visualization Software, Security Software, Fleet Management Software
3) By Services: Consulting Services, Integration Services, Maintenance And Support Services, Training And Development Services

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Who Are the Global Leaders in the IoT in Aerospace & Defense Market?
Major companies operating in the IoT in aerospace & defense market include AeroVironment Inc., AT&T Intellectual Property, FreeWave Technologies Inc., General Atomics Aeronautical Systems Inc., Honeywell International Inc., Northrop Grumman Corporation, Elbit Systems Ltd., Radisys Corporation, Textron Systems Corporation, Airbus SE, Boeing Company, BAE Systems plc, SAP SE, General Electric Company, Bombardier Inc., CACI International Inc., Collins Aerospace, Cubic Corporation, Curtiss-Wright Corporation, Dassault Aviation SA, Embraer SA, General Dynamics Corporation, L3Harris Technologies Inc., Leonardo SpA, Lockheed Martin Corporation, Moog Inc., RTX Corporation, Saab AB, Safran SA, Thales Group, United Technologies Corporation, Woodward Inc.

Which are the Top Profitable Regional Markets for the IoT in Aerospace & Defense Industry?
North America was the largest region in the IoT in the Aerospace and Defense market in 2024. The regions covered in the IoT in aerospace & defense market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

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