Global Airborne Surveillance Market by Type (LiDAR, Radar, and Imaging System), By Product Type (Manned System, Unmanned System), By Service (Surveillance Training, Data Analysis, Mission Equipped Aircraft, and Aircraft Leasing), By Application (Military, Defense & Security, and Commercial), By Region, Competition, Forecast & Opportunities, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 8.23 Billion
CAGR (2026-2031)	5.96%
Fastest Growing Segment	Defense & Security
Largest Market	North America
Market Size (2031)	USD 11.65 Billion

Market Overview

The Global Airborne Surveillance Market will grow from USD 8.23 Billion in 2025 to USD 11.65 Billion by 2031 at a 5.96% CAGR. The Global Airborne Surveillance Market comprises manned and unmanned aircraft equipped with sensors, radar, and imaging systems to monitor ground and maritime activities for intelligence purposes. Market growth is primarily supported by rising geopolitical instability and the imperative for real time situational awareness to secure borders and critical infrastructure. These factors compel nations to prioritize defense capabilities and invest heavily in intelligence assets. According to the Stockholm International Peace Research Institute, in 2024, global military expenditure rose to 2,718 billion United States dollars, reflecting a significant increase in defense spending that directly supports the procurement of surveillance technologies.

However, market expansion faces a significant challenge due to the high acquisition and operational costs associated with advanced sensor suites and aircraft platforms. These financial burdens can strain government budgets and delay fleet modernization programs, particularly for nations with limited fiscal resources. Consequently, high lifecycle costs remain a substantial barrier to widespread adoption despite the growing operational requirement for persistent aerial monitoring globally.

Key Market Drivers

The rapid proliferation of Unmanned Aerial Vehicles (UAVs) acts as a transformative driver for the market by providing cost-effective, high-endurance alternatives to traditional manned aircraft. Defense agencies increasingly prioritize the procurement of remotely piloted systems to conduct persistent intelligence, surveillance, and reconnaissance (ISR) missions over volatile regions without risking aircrew safety. This operational shift fuels the demand for advanced drones capable of carrying multi-spectral sensors and synthetic aperture radars for long-range data collection. For instance, according to the Defense Security Cooperation Agency, February 2024, in the 'India – MQ-9B Remotely Piloted Aircraft' news release, the U.S. State Department approved a foreign military sale to India for thirty-one MQ-9B SkyGuardian drones and associated equipment valued at 3.99 billion USD. Such large-scale acquisitions demonstrate how unmanned platforms are becoming central to national security strategies, thereby expanding the total addressable market for airborne surveillance technologies.

Rising global defense and military expenditure serves as the primary financial enabler for the modernization and expansion of airborne intelligence capabilities. Escalating geopolitical tensions and regional instability compel nations to increase their fiscal allocations to replace aging legacy fleets with networked, multi-mission systems. This budgetary growth supports high-value contracts for both new airframes and the integration of next-generation avionics. According to the North Atlantic Treaty Organization, June 2024, in the 'Defence Expenditure of NATO Countries (2014-2024)' report, defense spending across European Allies and Canada increased by 17.9% in real terms for 2024 compared to the previous year. These expanded budgets directly fund major procurement programs; for example, according to the U.S. Department of Defense, in 2024, the Air Force awarded a contract modification worth 2.56 billion USD to Boeing for two E-7A Wedgetail rapid prototyping aircraft, underscoring the significant capital flow directed toward strengthening aerial monitoring infrastructure.

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Key Market Challenges

The high acquisition and operational costs associated with advanced sensor suites and aircraft platforms constitute a substantial impediment to the Global Airborne Surveillance Market. Governments with finite defense budgets frequently struggle to allocate sufficient funds for these expensive systems, often forcing a trade-off between modernizing fleets and maintaining existing assets. This financial strain is particularly acute for developing nations, where the capital expenditure required for integration and lifecycle maintenance can render essential intelligence capabilities unaffordable. Consequently, despite the clear operational need for aerial monitoring, procurement programs are often delayed or scaled back due to these economic barriers.

The rising cost of aviation platforms underscores this challenge, as inflation and supply chain complexities drive up prices for the base aircraft used in these operations. According to the General Aviation Manufacturers Association, in 2024, the total value of airplane deliveries worldwide reached 26.7 billion United States dollars, marking a 14.3% increase from the previous year. This significant rise in delivery value, which disproportionately outpaced the growth in unit shipments, indicates a sharp escalation in the per-unit cost of aircraft. Such inflationary trends in platform pricing directly compound the budgetary difficulties faced by operators, restricting the widespread adoption of airborne surveillance technologies.

Key Market Trends

The emergence of Manned-Unmanned Teaming (MUM-T) architectures is reshaping aerial intelligence by integrating autonomous "loyal wingmen" with piloted aircraft. This concept allows air forces to deploy semi-autonomous systems as forward sensors, relaying critical data without exposing crews to air defenses. The strategic push for this capability is driving substantial investments in collaborative platforms. According to Army Recognition, May 2025, in the 'US Air Force begins testing its first unmanned fighter jets to increase the combat capabilities of F-22 and F-35' article, the total planned funding for the Collaborative Combat Aircraft program from fiscal years 2025 to 2029 is 8.89 billion USD, reflecting the massive capital allocated to operationalizing these mixed-formation fleets.

Concurrently, the adoption of High-Altitude Pseudo-Satellites (HAPS) for stratospheric surveillance creates a new layer of persistent monitoring bridging the gap between drones and satellites. These solar-electric platforms operate above weather systems, providing continuous imagery over specific areas for months. Unlike satellites with limited dwell times, stratospheric platforms offer station-keeping essential for long-term border security. According to Developing Telecoms, May 2025, in the 'AALTO's high altitude platform station claims new record' article, the solar-powered Zephyr HAPS aircraft successfully concluded a continuous flight in the stratosphere lasting 67 days, demonstrating the unprecedented endurance available for prolonged intelligence missions.

Segmental Insights

The Defense & Security segment is identified as the fastest growing area in the Global Airborne Surveillance Market. This expansion is fundamentally driven by rising geopolitical instability and the consequent necessity for enhanced border enforcement. Nations are actively investing in advanced Intelligence, Surveillance, and Reconnaissance platforms to maintain territorial integrity against emerging threats. The shift towards unmanned aerial vehicles for persistent monitoring further accelerates this demand. Strategic assessments of global military spending, such as those by the Stockholm International Peace Research Institute, validate the correlation between increased defense budgets and the procurement of these critical surveillance assets.

Regional Insights

North America leads the Global Airborne Surveillance Market, primarily driven by substantial defense expenditures and a strong industrial base in the United States. The dominance of the region is supported by the United States Department of Defense, which consistently invests in intelligence, surveillance, and reconnaissance programs to enhance national security. Furthermore, rising demand for border patrol and maritime monitoring stimulates the procurement of both manned and unmanned aerial systems. This established ecosystem of manufacturers and government contracts ensures the continued expansion of surveillance capabilities throughout the region.

Recent Developments

• In November 2024, AgEagle Aerial Systems announced that it had secured new purchase orders for 17 eBee TAC drones from defense and security customers in the United States. These unmanned aerial systems are designed to provide high-precision tactical intelligence, surveillance, and reconnaissance capabilities. The company’s Chief Executive Officer stated that these orders marked a pivotal milestone in their strategy to expand within the defense sector. The eBee TAC platform is recognized for its robust mapping and surveillance accuracy, allowing it to support operations in diverse environments and provide real-time intelligence to military and security forces.
• In October 2024, Northrop Grumman successfully completed the second phase of its Deep Sensing and Targeting system demonstration during the U.S. Army’s Vanguard 24 experiment. The company tested the system on a civilian aircraft, integrating space-based sensor data to provide targeting intelligence for long-range precision fires. This breakthrough research highlighted the ability to gather and distribute critical data from beyond the visual line of sight to enhance mission effectiveness. The Vice President of Integrated National Systems at Northrop Grumman noted that the demonstration proved the capability to deliver data at the speed required for future warfare scenarios.
• In September 2024, Saab delivered the fifth GlobalEye Airborne Early Warning and Control aircraft to the United Arab Emirates. This delivery completed a fleet of five advanced surveillance aircraft ordered by the UAE Air Force, all finalized within a period of less than ten years. The GlobalEye system incorporates a suite of active and passive sensors to detect and identify objects across air, sea, and land domains, thereby enhancing situational awareness. The Head of Saab’s Surveillance business area emphasized that this achievement reinforced the company’s position as a leading provider in the airborne early warning sector.
• In August 2024, Boeing was awarded a contract valued at $2.56 billion by the U.S. Air Force to develop two rapid prototype E-7A Wedgetail aircraft. This agreement covers lifecycle development, training, and support for the fleet, which is intended to replace the aging E-3 Sentry platform. The E-7A Wedgetail offers advanced tracking and battle management command-and-control capabilities. A Vice President at Boeing highlighted that the aircraft would serve as a critical node for air superiority, allowing joint forces to integrate all-domain data and maintain a decisive advantage against evolving threats in the modern battlespace.

Key Market Players

• BAE Systems Plc.
• Israel Aerospace Industries Ltd.
• Lockheed Martin Corporation
• Raytheon Technologies Corporation
• Northrop Grumman Corporation
• Thales S.A.
• L3 Harris Technologies, Inc.
• Teledyne Technologies Incorporated.
• Leica Geosystems AG.
• Saab Group AB.

By Product Type	By Service	By Application	By Region
Manned System Unmanned System	Surveillance Training Data Analysis Mission Equipped Aircraft Aircraft Leasing	Military Defense & Security Commercial	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Airborne Surveillance Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Airborne Surveillance Market, By Product Type:

• Manned System
• Unmanned System

• Airborne Surveillance Market, By Service:

• Surveillance Training
• Data Analysis
• Mission Equipped Aircraft
• Aircraft Leasing

• Airborne Surveillance Market, By Application:

• Military
• Defense & Security
• Commercial

• Airborne Surveillance Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE