U.S. Military Unmanned Aerial Vehicle Sector may not be Affected by Budget Cuts

The two month postponement of the "fiscal cliff's" automatic spending cuts, including cuts to America's defense budget originally proposed by last year's sequestration deal, may be welcome news for the nation's military sector.

However, while many pundits still believe that defense budget cuts are likely inevitable, certain segments have little cause to worry, as they will remain mostly unaffected by any revisions to the budget, including the UAV sector.

In fact, the global UAV payload market, valued at approximately $43.7 billion at the end of 2012, is estimated to increase to $68.6 billion by 2022, representing a compound annual growth rate of 4.6% during the forecast period. Market demand is anticipated to be driven by increased UAV procurement by several countries across the world and continuous requirement formulations in areas such as persistent surveillance, suppression/destruction of enemy air defense (SEAD/DEAD), communications relays and combat search and rescue (CSAR). Another major factor which is expected to drive the market over the forecast period is the increasing incorporation of UAVs in civilian applications such as Homeland Security, disaster management and border surveillance.

The Global UAV Payload Market 2012-2022

In recent times, UAVs have attracted significant attention for use in both military and homeland security. As the best substitute to the otherwise used manned aircraft for surveillance and reconnaissance missions, UAVs are now attracting significant investment by several countries. Payloads are essential systems in the UAVs which are instrumental in carrying out various missions and the demand for UAV payloads is thus expected to increase proportionally with the UAVs.

Report highlights anticipate growth in market demand and diversity in UAV applications, there is a growing requirement for the future UAV and payload design to combine multi mission, modular, open architecture features, capable of accomplishing diverse missions. In addition, with the drive towards austerity measures in defense budgets in developed countries, the UAVs are expected to be flexible enough for diverse operations than dedicated to a single mission.

This report provides detailed analysis of the current industry size and growth expectations from 2012 to 2022, including highlights of key growth stimulators. It also benchmarks the industry against key global markets and provides detailed understanding of emerging opportunities in specific areas.

Global Defense Survey 2013 - Economic Outlook in BRIC

This report is the result of an extensive survey drawn from Strategic Defense Intelligence's exclusive panel of leading global defense industry companies; it identifies respondents' current business scenarios with BRIC nations and demonstrates respondents' intentions of changes in business dynamics during 2013. Furthermore, the report tracks the leading business concerns that affect business with BRIC nations and understands respondents' willingness for business with BRIC nations in 2013.

A preview of the key issues discussed in this survey: 55% of respondents from Asia-Pacific declare that they currently operate their business in 'India', while 47% from North America operate their business in 'Brazil'. Meanwhile, respondents from Europe and the Asia-Pacific region predict that a 'policy towards foreign investment' and the 'physical infrastructure' will improve in 'Brazil' and 'Russia'. Finally, analysis revealed that 40% and 60% of respondents from the buyer segment expressed that they 'expect an improvement' in the general state of the economy in Brazil and China in 2013 respectively.

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