Smart weapons market seen reaching $23.96 billion by 2030

Allied Market Research says the global smart weapons market is on track to hit $23.96 billion by 2030, growing at a 5% CAGR from 2021 to 2030. North America leads today, while Asia-Pacific is projected to post the fastest growth as governments expand precision-strike and defense modernization spending.

Why it matters: - The smart weapons market is tied to rising demand for precision strike capability, defense modernization and improved mission accuracy. - Growth in the category reflects broader military spending shifts toward guided systems that can reduce logistics costs and improve first-shot reliability. - The report points to a market opportunity for defense contractors, investors, policymakers and new entrants tracking where precision weapons demand is headed.

What happened: - Allied Market Research published a report on the global smart weapons market covering product, technology and platform segments. - The market is projected to reach $23.96 billion by 2030, with a 5% CAGR from 2021 to 2030. - The report analyzes competitive landscape, value chain dynamics, regulatory trends and market opportunities across 2021-2030. - The report includes major players such as BAE Systems, General Dynamics, L3Harris, Leonardo, Lockheed Martin, MBDA, Northrop Grumman, Raytheon Technologies and Thales. - The source offers a sample report, a purchase page and a purchase inquiry form.

The details: - By product, missiles held the largest revenue share in 2020. - Directed energy weapons are projected to grow at a faster pace over the forecast period. - By technology, infrared led the market in 2020. - Laser-based systems are expected to expand substantially during the forecast period. - By platform, land systems generated the highest revenue in 2020. - Naval platforms are expected to be among the fastest-growing segments. - The report covers North America, Europe, Asia-Pacific and LAMEA. - North America held the largest market share, with the U.S. playing a major role in 2020. - Asia-Pacific is forecast to post the highest regional CAGR at 7% through 2030. - The report says adoption is rising across China, India, Japan and South Korea. - The report also covers manufacturers' production volumes, manufacturing capabilities, company profiles, pricing structures and market-entry analysis. - It includes Porter’s Five Forces, SWOT and PESTEL frameworks. - The report lists key recent developments, including Lockheed Martin’s November 2021 collaboration with Rafael Advanced Defense Systems to co-develop and support the SPICE 250 weapon system for U.S.- and Poland-based sale. - The report also cites Northrop Grumman’s September 2021 contract from the U.S. Navy to begin low-rate initial production of the AGM-88G Advanced Anti-Radiation Guided Missile Extended Range.

Between the lines: - Defense budgets and weapons-upgrade programs are driving the market narrative, not consumer demand. - Missile advances such as hypersonic systems and nuclear-capable ballistic missiles are increasing pressure on militaries to invest in precision strike weapons. - The report also frames arms-transfer rules and import-export regulations as a restraint on market growth. - The inclusion of smart guns and cruise missiles broadens the category beyond traditional military munitions, but the commercial focus remains on defense applications.

What's next: - Asia-Pacific’s faster growth could shift more procurement and industrial attention toward China, India, Japan and South Korea. - Directed energy weapons and laser systems appear positioned as the main growth subsegments through 2030. - Ongoing competition among major defense contractors is likely to center on guided missiles, precision munitions and platform integration. - The report suggests continued opportunities where defense spending, technological upgrades and regulatory conditions support new procurement.