Global Ai in Aerospace and Defence Market Size, Share & Trends Analysis Report, Forecast Period, 2025-2030

The Ai in Aerospace and Defence Market is experiencing robust expansion, with market size projected to increase from (27.95 Billion) 2024 to (65.43 Billion) 2030, demonstrating a consistent year-over-year growth rate of 9.91%. Ai in Aerospace and Defence Market Size, Share, Competitive Landscape and Trend Analysis Report, , by Applications (Mission Systems, Cybersecurity, Data Analytics, Predictive Maintenance, Autonomous Systems, Navigation and Guidance Systems, Surveillance and Monitoring, Others) , by Offering (Software, Hardware, Services), by Deployment Mode (Cloud-Based, On-Premises) , by Platform (Naval, Land, Airborne, Space) , byTechnology (Robotics, Natural Learning (NLP), Context-Aware Computing, Machine Learning, Computer Vision, Big Data Analytics) And Regions (North America (United States, Canada, Mexico), South America (Brazil, Argentina, Chile, Rest of South America), Europe (Germany, France, Italy, United Kingdom, Benelux, Nordics, Rest of Europe), Asia Pacific (China, Japan, India, South Korea, Australia, Southeast Asia, Rest of Asia-Pacific), MEA (Middle East, Africa)) : Industry Forecast and Opportunity Analysis for 2024 - 2030

The term AI in Aerospace and Defence Market reflects the use of artificial intelligence technologies in aerospace and defence industries. This includes the application of machine learning, deep learning, natural language processing, computer vision, and other AI applications for the improvement of the various elements of these fields. Artificial Intelligence is being applied to the enhancement of aircraft design and manufacturing, flight operations optimisation, situation awareness and threat identification, autonomous systems development, and logistic and supply chain management. It is also used to process huge datasets with the aim of extracting meaningful information and wise decisions.

Ai in Aerospace and Defence Report Highlights

Report Metrics	Details
Forecast period	2019-2030
Base Year Of Estimation	2024
Growth Rate	CAGR of 9.91%
Forecast Value (2030)	USD 65.43 Billion
Key Market Players	NVIDIA Corporation Microsoft Corporation General Electric Co. Honeywell International Inc. Thales Group Indra Sistemas SA RTX Corporation Lockheed Martin Deutsche Telekom AG The Boeing Company Intel Corporation International Business Machines Corporation Iris Automation Northrop Grumman Corporation Raytheon Technologies Corporation
By Region	North America (United States, Canada, Mexico) South America (Brazil, Argentina, Chile, Rest of South America) Europe (Germany, France, Italy, United Kingdom, Benelux, Nordics, Rest of Europe) Asia Pacific (China, Japan, India, South Korea, Australia, Southeast Asia, Rest of Asia-Pacific) MEA (Middle East, Africa)

Ai in Aerospace and Defence Market Trends

A key trend is the use of AI in cybersecurity and defence systems, where it helps in identifying and mitigating cyber threats in real time. AI-enabled technologies are also enhancing data analytics used for intelligence-gathering and situational awareness that allow for defensive forces to make better-informed decisions faster. At the same time, the development of AI-enhanced simulations and training systems is also increasing, so as to enable military personnel to perform virtual training with increased realism and effectiveness. For example, AI is increasingly becoming a key element in new-generation defence capabilities, fuelling innovation in the aerospace and defence industries alike.

Ai in Aerospace and Defence Market Leading Players

The key players profiled in the report are Thales Group, Honeywell International Inc., Deutsche Telekom AG, Iris Automation, International Business Machines Corporation, RTX Corporation, General Electric Co., The Boeing Company, Intel Corporation, Indra Sistemas SA, Microsoft Corporation, NVIDIA Corporation, Lockheed Martin, Northrop Grumman Corporation, Raytheon Technologies Corporation

Growth Accelerators

The AI applied in aerospace and defence fields is mainly fuelled by the increasing need for automation and sophisticated data analysis in defence applications and aircraft maintenance. Because of AI technologies, a number of tasks can be automated (surveillance, navigation, decision-making, etc.), significantly increasing operational efficiency and decreasing errors made by humans. Perhaps most useful in high-stakes applications such as autonomous drones, military robots, and high-end defence systems, there is a need for real-time data management and handling quickly decision-making in extreme conditions. One of the more important factors is the growing demand for improved security and threat detection. AI-based systems, including predictive analytics and machine learning (ML) algorithms, are applied for cybersecurity, threat identification, and situation awareness enhancement.

Ai in Aerospace and Defence Market Segmentation analysis

The Global Ai in Aerospace and Defence is segmented by Application, and Region.
. The Application segment categorizes the market based on its usage such as Mission Systems, Cybersecurity, Data Analytics, Predictive Maintenance, Autonomous Systems, Navigation and Guidance Systems, Surveillance and Monitoring, Others. Geographically, the market is assessed across key Regions like North America (United States, Canada, Mexico), South America (Brazil, Argentina, Chile, Rest of South America), Europe (Germany, France, Italy, United Kingdom, Benelux, Nordics, Rest of Europe), Asia Pacific (China, Japan, India, South Korea, Australia, Southeast Asia, Rest of Asia-Pacific), MEA (Middle East, Africa) and others, each presenting distinct growth opportunities and challenges influenced by the regions.

Competitive Landscape

The competitive environment of AI in the aerospace and defence domain is very dynamic, and main players, including Boeing, Lockheed Martin, Northrop Grumman, and Airbus, are the main drivers to forge AI technologies at the forefront. These firms use AI to improve across a wide range of business functions related to aerospace and defence activities such as autonomous flight, predictive maintenance, and mission planning. Currently, there is strong investment in AI-enhanced solutions for business and military usages by the industry, since the vision is to enhance using advanced algorithms and data analytics efficiency, safety, and decision-making capabilities. Besides the big defence players, an increasing number of technology startups and AI companies are now entering the market by providing innovative offerings with special focus in the field of cybersecurity, drone technology, and AI-enhanced simulation systems.

Challenges In Ai in Aerospace and Defence Market

The field of artificial intelligence in aerospace and defence has several obstacles, such as the high price of developing and installing AI solutions, the adoption of strong data security and privacy controls, and the ethics of AI use for military applications. Furthermore, the embedding of AI systems in existing legacy systems can be challenging or lengthy. In addition, there are worries about the stability and interpretability of AI algorithms, especially in safety-critical fields. Trusting and disclosing the behaviour of AI systems is essential to their successful implementation in the aerospace and defence industries.

Risks & Prospects in Ai in Aerospace and Defence Market

The market for artificial intelligence in aerospace and defence offers a wealth of opportunities for expansion and evolution. Major opportunities are the one automation for different purposes (e.g., unmanned aerial vehicles (UAVs) and robotic systems for defence and logistics). Secondly, AI can also be useful to improve situational awareness and threat detection, mission planning and execution, and also maintenance and logistics operations. In addition, the market does provide with the potential for the development of AI-based predictive maintenance; these solutions have the potential to decrease downtimes and increase the effectiveness of aircraft and defence systems. The integration of AI with other new technologies, such as blockchain and the Internet of Things (IoT), is also expected to open up new exciting market opportunities.

Key Target Audience

Target groups of aerospace and defence market, in particular, are defence contractors and military organisations purchasing artificial intelligence in order to optimise operation, decision-making, and automation of defence systems. Using AI, entities, among other applications, are autonomous drones, but also advanced radar systems, predictive maintenance, and intelligence analysis.,, An equally important target is the aerospace manufacturers, who implement AI into the design, testing, and production of aeroplanes and spacecraft. Such companies are using AI to optimise supply chains, enhance safety procedures, and provide deep simulations and digital twins for engineering studies.

Merger and acquisition

The aviation and defence market are today undergoing a series of mergers and acquisitions driven by the desire to combine artificial intelligence (AI) capabilities into one to improve operational effectiveness and the effectiveness of operation. Just recently, Redwire Corporation purchased Edge Autonomy for $925 million, and this purchase should significantly grow Redwire's portfolio of autonomous airborne systems. In yet another strategic decision, Mobix Labs has bought holding SCP Manufacturing, a producer of aerospace and defence electrical mission-critical components. This buy, after Mobix's previous buy of Spacecraft Components, is projected to close in Q2 2025 and seeks to improve operational efficiency and access high-margin defence contracts. SCP Manufacturing's products are integral to critical military platforms like the U.S. Army's Patriot Missile defence system, thereby reinforcing Mobix's position within the defence supply chain ecosystem. >

Analyst Comment

"AI in the aerospace defence market is growing at a fast pace due to the growing demand for such advanced technologies in solving complex issues in aerospace defence sectors. Factors that have driven this growth are the demand for autonomous applications, the rising adoption of unmanned aerial vehicles (UAVs), and the requirement to increase situational awareness and to improve mission effectiveness. The market is comprised of a wide variety of stakeholders, ranging from large defence contractors to manufacturers of aerospace, technology firms, and research laboratories. Active players are placing huge resources into research and development in order to bring to market AI-driven solutions for application in areas ranging from autonomous flight control to predictive maintenance, in which recognition of targets is a key factor, to cyber defence."