Military Embedded Systems

C4ISR market to reach $119 billion by 2019


January 29, 2016

John McHale

Editorial Director

Military Embedded Systems

MOUNTAIN VIEW, Calif. The global market for command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR) related products is growing as nations focus on filling the gaps in their C4ISR capabilities, say analysts at Frost & Sullivan. They estimate that C4ISR procurement will reach $119 billion by 2019.

In the analysis from Frost & Sullivan, "Global C4ISR Market Assessment," C4ISR procurement spending stood at $106 billion in 2014. In 2015, C4ISR accounted for about 16 percent of the total defense procurement spending. This ratio is expected to remain stable in most countries across the globe with cybersecurity, assured GPS or navigation, unmanned sea vehicles, and missile defense being priorities through 2019, Frost analysts say.

Technology being developed by the C4ISR community is looking at thwarting weapons such as hypersonic missiles, countering lasers, unmanned aerial vehicle (UAV) swarms, and countering rocket-artillery-mortar systems. For complimentary access to more information on the Frost research, visit:

“Although the U.S. will dominate global C4ISR spending, its share is likely to reduce from 36 percent in 2015 to 34 percent in 2019 due to a reduction in its force structure and higher procurement rates in Saudi Arabia, Japan and India,” says Frost & Sullivan Aerospace & Defense Industry Principal Brad Curran. “Meanwhile, Africa will witness the highest C4ISR spending compound annual growth rate at 8.4 percent.”

The increased application of commercial off-the-shelf (COTS)-based computing, storage, security, networking, and collaboration tools will further boost revenues. To cost-effectively meet military C4ISR operational goals, market players will have to harness COTS hardware and software as well as the Internet of Things (IoT) concept.

“The commercial success and reliability of mobile networks have facilitated the military application of remote sensing, big data analysis, robotics, miniaturization, cloud computing services and cybersecurity,” Curran says. “With IT moving from a hardware setting to a mobile software-defined environment that emphasizes connectivity and the Internet of Things, large commercial IT companies will expand their share of C4ISR spending at the expense of established systems integrators.”

Despite the overall market optimism, the rising trend of equipment-sharing agreements among budget-constrained nations will limit C4ISR spending, according to Frost. Therefore, across geographies, moderately priced mature and proven systems will gain market share. Maintenance, spares, logistics and training services will also become essential components of new sales.


Featured Companies

Frost & Sullivan

3211 Scott Blvd #203
Santa Clara, CA 95054