AI technology projected to be worth $11 billion in military market by 2025News
March 25, 2021
NETHERLANDS. The report "Artificial Intelligence in Military Market", is estimated at $6.3 billion in 2020 and is projected to reach $11.6 billion by 2025, at a CAGR of 13.1% during the forecast period, according to an ASD Reports study. An increase in funding from military research agencies and a rise in research and development activities to develop advanced artificial intelligence (AI) systems are projected to drive the increased adoption of AI systems in the military sector.
The study outlines that AI is becoming a critical part of modern warfare as it can handle massive amounts of military data in a more efficient manner as compared to conventional systems. Some industry experts have noted that the COVID-19 pandemic has not affected the demand for AI in the military, especially for military end use.
According to the study, companies such as Lockheed Martin Corporation, Northrop Grumman Corporation, BAE Systems, Rafael Advanced Defense Systems, and Thales Group have received contracts for the supply of AI systems to the armed forces of various nations in the first half of 2020, showcasing continuous demand during the COVID-19 crisis.
Manufacturers like Lockheed Martin, IBM, Northrop Grumman, and others continue to invest heavily in developing AI capabilities, and governments continue to invest in securing these systems. However, the study shows that despite the development of AI technology expansion, the overall building of the AI systems saw a hit. According to researchers, this was a result of the shortage of raw materials due to disruptions in the supply chain.
For more information, visit ASD Reports.