Soldier Systems Market Report 2025

The soldier systems market size has grown strongly in recent years. It will grow from $11.88 billion in 2024 to $12.54 billion in 2025 at a compound annual growth rate (CAGR) of 5.6%. The growth in the historic period can be attributed to military modernization, medical advancements, advancements in materials science, terrorism and asymmetric warfare, gulf wars and global conflicts.

The soldier systems market size is expected to see strong growth in the next few years. It will grow to $15.51 billion in 2029 at a compound annual growth rate (CAGR) of 5.5%. The growth in the forecast period can be attributed to increasing focus on urban warfare, rise in asymmetric warfare, demand for enhanced situational awareness, shift towards network-centric warfare, focus on non-lethal capabilities. Major trends in the forecast period include integration of advanced technologies, miniaturization of equipment, enhanced communication systems, focus on survivability, modular and customizable solutions.

The rising incidence of terrorist attacks is expected to drive growth in the soldier system market in the future. Terrorist strikes are surprise assaults that deliberately target civilians with violence to achieve political or religious goals. Soldier systems enhance crew safety by integrating protective apparel, personal electronics, and survival equipment to improve aircrew lethality, mission effectiveness, and protection. The increasing number of terrorist attacks is expanding the soldier system market and driving demand. For instance, in February 2024, The Institute for Economics and Peace, an Australia-based international think tank, reported that terrorist attacks became more deadly in 2023, with an average of 2.5 deaths per attack compared to 1.6 in 2022. Therefore, the growing number of terrorist strikes is fueling the soldier system market.

The growth of the soldier system market is anticipated to be fueled by increased government spending on defense. Governments allocate funds to enhance military capabilities, ensure national security, and promote regional stability. This allocation influences the development and acquisition of soldier systems, contributing to the overall market growth by improving soldier safety and effectiveness. Notably, global military expenditure reached a record high of $2.24 trillion in 2022, marking a 3.7% increase in real terms, as reported by the Stockholm International Peace Research Institute. The rise in military spending, particularly in Europe and the United States, underscores the significance of soldier systems in modern defense strategies, thereby propelling the growth of the soldier system market.

The soldier systems market is witnessing a notable trend with the increasing adoption of wearable technology and augmented reality. Key players in the market are strategically focusing on developing innovative solutions in these domains to strengthen their market presence. A noteworthy example is Elbit Systems Ltd., an Israel-based defense electronics company, which introduced a groundbreaking helicopter vision suite in July 2022. This suite incorporates advanced sensors, an AI-powered mission computer X-Sight HMD system, and a unique Helmet Mounted Display (HMD) system. The AI-powered mission computer integrates sensor data, preloaded maps, and flight information, providing military pilots with a live color image featuring an augmented reality overlay depicting obstacles, threats, flight paths, and additional mission details on the visor of the X-Sight HMD.

Major companies are also keen on introducing advanced solutions such as geolocalization systems to gain a competitive advantage. Geolocalization systems integrate geographic information systems (GIS) technology into military equipment and operations to deliver precise and timely geospatial information. Thales Group, a France-based defense company, launched VisioLoc in June 2022, a geolocalization system designed for soldiers in high-intensity combat situations. This feature, compatible with the Sophie Optima and Sophie Ultima hand-held thermal imagers, enhances the fighting capabilities of tactical and special forces groups. Weighing less than 3 kg, VisioLoc provides high-precision, jam-resistant geolocation capabilities for leaders of special forces units, improving situational awareness in hazardous environments.

In March 2023, the Hungarian Defense Forces (HDF) acquired Elbit Systems' E-LynX software-defined radios, underscoring the growing importance of advanced communication systems in soldier systems. The E-LynX series of software-defined radios, part of the Zrínyi 2026 Defense and Force Development Programme, includes cutting-edge antenna and routing technologies, along with end-to-end satellite communication systems. These radios enhance soldier communication, situational awareness, and overall effectiveness on the battlefield. Elbit Systems, as a leading player in soldier systems, continues to provide advanced digital and communication solutions for military applications.

Major companies operating in the soldier systems market include Safran SA, Leonardo S.p.A., Rheinmetall AG, L3Harris Technologies Inc., Lockheed Martin Corporation, Saab AB, Aselsan Elektronik Sanayi ve Ticaret A.Ş., Elbit Systems Ltd., General Dynamics Corporation, Thales Group, Teledyne Technologies Inc., Inova Design Solutions LLC, The Boeing Company, Northrop Grumman Corporation, Avon Protection plc, Banc 3 Technologies, Inc., Inmarsat Global Limited, Metravib Defense SA, Teldat Group, S.A., Textron Systems Corporation, Raytheon Technologies Corporation, BAE Systems plc, Harris Corporation, Leidos Holdings Inc., KBR Inc., CACI International Inc., QinetiQ Group plc, Cobham plc, Ultra Electronics Holdings plc, Chemring Group plc, Hanwha Corporation, Bharat Electronics Limited, Israel Weapon Industries Ltd., ST Engineering, RUAG AG, Nexter Systems, Oshkosh Corporation, Navistar International Corporation, Kongsberg Gruppen ASA, FN Herstal S.A.

North America was the largest region in the soldier systems market in 2024. The regions covered in the soldier systems market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the soldier systems market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The soldier system encompasses a strategic battlefield framework designed to optimize warfighting capabilities by integrating cutting-edge technology and equipment, thereby enhancing the performance of military personnel in the field.

Key components of the soldier system include protection, communication, power and data transmission, surveillance and target acquisition, navigation, and various other elements. Protection involves the implementation of measures to ensure the safety and security of individuals or assets, utilizing a range of hardware and software solutions. These solutions encompass devices such as hardware components, software applications, display units, imaging tools, night vision equipment, tracking systems, wired and wireless communication devices, personal protection kits, and identification friend or foe (IFF) technologies. The adoption of advanced technologies such as artificial intelligence, 3D printing, internet of things (IoT), and wearable devices plays a crucial role in the development and deployment of soldier systems, serving the needs of both military and homeland security operations.

The soldier systems market research report is one of a series of new reports that provides soldier systems market statistics, including soldier systems industry global market size, regional shares, competitors with a soldier systems market share, detailed soldier systems market segments, market trends and opportunities, and any further data you may need to thrive in the soldier systems industry. This soldier systems market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The soldier system market includes revenues earned by entities by offering services such as training, leadership development, doctrine, and situational awareness. The market value includes the value of related goods sold by the service provider or included within the service offering. The soldier system market also includes sales of infrared target locators, anti-sniper effectors, battlefield communications, laser target designators, and personal counter-IED equipment and systems. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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