Press Release

United States Aerostat Systems Market to Grow at a CAGR of 10.2% During 2024-2032, Aided by the Increasing Demand for Border Control and Surveillance

United States Aerostat Systems Market

According to a new report by EMR titled, ‘The United States Aerostat Systems Market Report and Forecast 2024-2032’, the market attained a value of nearly USD 4.95 billion in 2023. The market is estimated to grow at a CAGR of 10.2% between 2024 and 2032 to reach USD 11.95 billion by 2032.

The United States aerostat systems market expansion is being fuelled by the increasing demand for border control and surveillance day-night solutions. Aerostats, lightweight aircraft using helium or hydrogen for lift, are increasingly adopted for applications like surveillance, tactical communication, and advertising. Growing terrorism, territorial tensions, and border infiltrations drive militaries to enhance battlefield data-sharing capabilities. Unlike UAVs, aerostats offer continuous wide-area surveillance for extended periods, making them a preferred choice for persistent surveillance operations.

 

Figure: Military expenditure (% of GDP) in Major Countries, 2018-2022

United States Aerostat Systems Market

 

Aerostat systems are increasingly deployed by military and law enforcement agencies for use in intelligence, surveillance, and reconnaissance missions, and enhanced network communications on land and sea. As shipboard and ground-based aerostats offer continuous, wide-area surveillance and timely target information, their demand for detecting illegal immigration monitoring, early intrusion alerts, anti-terrorism, fishing activity surveillance, and smuggling deterrence is increasing.

 

Beyond military use, aerostats are gaining popularity in environmental research and commercial applications, such as providing internet connectivity. They help expand LTE networks and 5G technology in remote areas cost-effectively. The increased integration of electro-optic and infrared sensors in tethered aerostat systems enhances situational awareness and threat detection, driving the market growth.

 

Telecom providers are increasingly using aerostats to deliver cellular and network coverage in remote areas, emergencies, and disaster relief operations. Rapid technological advancements are also propelling the market development. Innovations in sensor technology, communication systems, and materials are enhancing the efficiency and adaptability of aerostat systems for surveillance, reconnaissance, and communication, driving the market growth.

 

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Market Breakup by Product Type, Sub-System, Class, Propulsion System, Payload, and Region:

  • The market is segmented based on product type into balloon, airship, and hybrid.
  • On the basis of sub-system, the market can be categorised into aerostat, ground control station (GCS), and payload.
  • Based on class, the market can be divided into compact-sized aerostats, mid-sized aerostats, and large-sized aerostats.
  • The market can be segmented on the basis of propulsion system into powered aerostats and unpowered aerostats.
  • On the basis of payload, the market is divided into surveillance radar, camera, inertial navigation systems, communication intelligence, electro-optic/infrared sensor (EO/IR), and electronic intelligence.
  • By region, the market is categorised into New England, Mideast, Great Lakes, Plains, Southeast, Southwest, Rocky Mountain, and Far West.

 

Key Findings of the Report:

  • The United States aerostat systems market growth can be attributed to a rise in the use of hot-air balloons for aerial advertising. These balloons function as floating billboards or carry large banners, enhancing visibility and capturing audience attention. This trend highlights the growing popularity of aerostats in innovative advertising strategies.
  • Aerostat systems have significant commercial potential, particularly in the communications sector. Partnerships between aerostat manufacturers and commercial operators are expected to boost sales and expand their global footprint.
  • Aerostat manufacturers are upgrading existing systems with advanced sensors, focusing on technologies like unmanned aerostats. These innovations are set to shape the market’s future, with companies planning to integrate such technologies into upcoming products.
  • The US Customs and Border Protection's decision to end the costly seven-year surveillance blimp programme is expected to hinder the market growth. Meanwhile, aerostat manufacturers are collaborating with telecom providers to enhance network quality in the commercial and research segments.

 

Key Offerings of the Report:

  • The EMR report gives an overview of the United States aerostat systems market for the periods (2018-2023) and (2024-2032).
  • The report also offers historical (2018-2023) and forecast (2024-2032) market information for the product types, sub-systems, classes, propulsion systems, payloads, and regions of aerostat systems in the United States.
  • The report analyses the market dynamics, covering the key demand and price indicators in the market, along with providing an assessment of the SWOT and Porter’s Five Forces models.

 

The major players in the United States aerostat systems market are Lockheed Martin Corporation, Raven Industries, Inc., TCOM Holdings, LLC, ILC Dover, LP, Worldwide Aeros Corp., Drone Aviation Corp., Israel Aerospace Industries (IAI) Ltd., Altaeros, Peraton Corp., and Carolina Unmanned Vehicles Inc., among others. The comprehensive report by EMR looks into the market share, capacity, and latest developments like mergers and acquisitions, plant turnarounds, and capacity expansions of the major players.

 

Key Highlights of the Report

REPORT FEATURES DETAILS
Base Year 2023
Historical Period 2018-2023
Forecast Period 2024-2032
Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:

  • Product Type
  • Sub-System
  • Class
  • Propulsion System
  • Payload
  • Region
Breakup by Product Type
  • Balloon
  • Airship
  • Hybrid
Breakup by Sub-System
  • Aerostat
  • Ground Control Station (GCS)
  • Payload
Breakup by Class
  • Compact-Sized Aerostats
  • Mid-Sized Aerostats
  • Large-Sized Aerostats
Breakup by Propulsion System
  • Powered Aerostats
  • Unpowered Aerostats
Breakup by Payload
  • Surveillance Radar
  • Camera
  • Inertial Navigation Systems
  • Communication Intelligence
  • Electro-Optic/Infrared Sensor (EO/IR)
  • Electronic Intelligence
Breakup by Region
  • New England
  • Mideast
  • Great Lakes
  • Plains
  • Southeast
  • Southwest
  • Rocky Mountain
  • Far West
Market Dynamics
  • SWOT Analysis
  • Porter's Five Forces Analysis
  • Key Indicators for Demand
  • Key Indicators for Price
Competitive Landscape
  • Market Structure
  • Company Profiles
    • Company Overview
    • Product Portfolio
    • Demographic Reach and Achievements
    • Certifications
Companies Covered
  • Lockheed Martin Corporation 
  • Raven Industries, Inc. 
  • TCOM Holdings, LLC
  • ILC Dover, LP
  • Worldwide Aeros Corp.
  • Drone Aviation Corp.
  • Israel Aerospace Industries (IAI) Ltd.
  • Altaeros
  • Peraton Corp.
  • Carolina Unmanned Vehicles Inc.
  • Others

 

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