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Upgrades and Replacements of Ageing Systems Fuel Growth in the Asia Pacific Land Defense Systems Market Finds Frost & Sullivan - The growing need to implement modern technologies to replace ageing equipment has boosted the prospects of the Asia Pacific land defense systems market
Upgrades and Replacements of Ageing Systems Fuel Growth in the Asia Pacific Land Defense Systems Market Finds Frost & Sullivan

 

PRZOOM - /newswire/ - Singapore, Singapore, 2010/03/11 - The growing need to implement modern technologies to replace ageing equipment has boosted the prospects of the Asia Pacific land defense systems market.

   
 
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Threats in the form of illegal trafficking, piracy, and terrorism are rampant across the region, and it is vital for countries to be properly equipped to thwart these attacks. Ageing defense systems have increased the importance of military upgrades and replacements in this region.

Both local and foreign defense contractors have opportunities to showcase modern land defense systems to better equip countries in Asia Pacific and augment defense mechanisms. Modern land defense technology will drive the market for highly capable, reliable, and cost-efficient systems to protect against foreign and domestic threats.

New analysis from Frost & Sullivan (defense.frost.com), Asia Pacific Land Defense Systems Market Outlook, finds that the market earned revenues of over $5.4 billion in 2009, and estimates this to reach $9.4 billion in 2016.

"Network-centric warfare (NCW) is one of the factors triggering military modernization and a more network-oriented military defense structure," says Frost & Sullivan Research Analyst Chern Wai Cheong. "With the world shifting toward NCW, priorities are placed in information superiority over enemy forces, providing an advantage early in battle."

Interoperability between different land defense systems will offer Asia Pacific countries the advantage of situational awareness and ramp up defense capabilities.

Although market prospects look upbeat, high procurement costs are deterring smaller nations from upgrading their land defense systems. Next-generation land defense systems easily cost up to millions and thus, are very expensive for developing countries, which are yet to make their procurement decisions. These systems are increasing in cost as the research and development costs involved are exorbitant. With developed countries looking to produce their own capabilities in this segment, the funding for technological improvements will continue to rise, increasing the price and costs for end users.

High investments in the development of these land defense systems are limiting the growth of the local land defense systems industry, and most countries are still acquiring systems from foreign companies. Having a good relationship with targeted countries will provide better understanding of the needs and requirements of the respective governments in terms of defense procurement practices. Through these relationships and strategic alliances with local companies, a good competitive strategy can be worked out to improve a country's capability to develop indigenous land defense systems without depending on western expertise.

"Going forward, communication systems, radars, and intelligence, surveillance, and reconnaissance (ISR) systems will see growth in the land defense systems market together with other market segments such as armored vehicles, missiles, artillery, and fire arms," says Cheong. "Information superiority, situational awareness and network centric systems are the key factors in modern defense tactics which also determine the direction of future military land defense systems upgrade and procurement programs."

Participants in this space must intensify research and development efforts to unleash more reliable and cost-effective products. Moreover, strategic alliances must be established with local business partners to facilitate market penetration. Apart from improving the chances of local presence, such initiatives will also promote system interoperability.

If you are interested in more information on this study, please send an email to Donna Jeremiah, Corporate Communications, at djeremiah[.]frost.com, with your full name, company name, title, telephone number, company email address, company website, city, state and country.

Asia Pacific Land Defense Systems Market Outlook is part of the Defense Growth Partnership Services program, which also includes research in the following markets: Asia Pacific Land ISR Radar Market Assessment, Europe Land ISR Radar Market Assessment, and Indian Land Combat Systems Market Assessment. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan
Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 40 offices on six continents.

Asia Pacific Land Defense Systems Market Outlook / P32C

Contact:
Donna Jeremiah
Carrie Low
Corporate Communications – Southeast Asia
P: +603 6204 5910
F: +603 6201 7402
E: carrie.low[.]frost.com.

 
 
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Upgrades and Replacements of Ageing Systems Fuel Growth in the Asia Pacific Land Defense Systems Market Finds Frost & Sullivan

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