Recent operations have again proven the utility of Link 16, to the point where new and exciting markets have emerged.
New analysis from Frost & Sullivan (aerospace.frost.com), Strategic Analysis of the European Airborne Tactical Datalinks Markets, finds that the market earned revenues of $308.0 million in 2006 and estimates this to reach a total of $2.95 billion by 2016.
If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants with a strategic overview of the European Airborne Tactical Datalinks Markets, send an email to Michael Banks, Corporate Communications, at michael.banks[.]frost.com with your full name, company name, title, telephone number, email address, city, state, and country. We will send you the information by email upon receipt of the above information.
NATO’s expansion in 1999 and 2004 has meant that former Warsaw Pact countries are already procuring this system in significant numbers and that, in the course of time, more countries will adopt this key technology. However, given the importance attached to attaining Link 16 and the intensity of the upgrade progress currently underway, the market is expected to slow down considerably after 2010.
“Despite serious challenges, TDLs are an essential capability for all NATO members wishing to actively participate in multi-national operations,” notes Frost & Sullivan Research Analyst James Cooper. “Without the interoperability achieved through Link 16, military forces will effectively be relegated to support operations.”
The requirement for situational awareness and multi-national interoperability has led to explosive growth in the European TDL market in recent years. Going forward, the use of TDLs will be considered an essential key-user requirement across an increasingly diverse number of platforms in the air, on the ground and at sea. By improving the effectiveness and interoperability of coalition forces, TDLs have ensured that this market has a secure future.
As European militaries attempt to adapt to the challenges of modern coalition warfare and achieve their network-centric warfare goals, TDLs will continue to represent a highly important capability and an extremely competitive market.
However, despite the prolific growth of the markets to date, there are significant challenges that must be overcome to maintain growth in an area limited by the size of European air forces after the Cold War budget cuts. With spending on TDL likely to diminish, the competitive environment between manufacturers with strong technical capabilities is expected to intensify.
“It will become increasingly important to diversify the product and service range to provide an integrated support package in order to overcome the challenges facing the market”, explains. Cooper. “The expected slowdown in expenditure on TDLs after 2010 will increase competition for smaller contracts and the provision of training and maintenance services is likely to become a key point of differentiation.” In addition, TDL suppliers will have to widen the geographic scope of their business and seize emerging opportunities in eastern Europe as well as Scandinavia to ensure continued growth.
Strategic Analysis of the European Airborne Tactical Datalinks Markets is part of the Aerospace and Defense Growth Partnership Service, which also includes research on tactical communications, unmanned aerial vehicles and C4ISR. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews with the press are available.
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