5G in defense market seen reaching $76 billion by 2030

The global 5G in defense market is projected to surge from $551 million in 2020 to $76.01 billion by 2030, according to Allied Market Research. The forecast points to rising military use of autonomous systems, surveillance, and low-latency communications, even as cybersecurity and infrastructure costs remain major hurdles.

Why it matters: - 5G is positioned to reshape defense communications, surveillance and logistics by enabling faster data transfer and lower latency. - The market forecast suggests defense spending on 5G could accelerate sharply as militaries look to support autonomous vehicles, drones, robots and advanced command-and-control systems. - Cybersecurity risks and high deployment costs remain the biggest barriers to adoption.

What happened: - Allied Market Research estimated the global 5G in defense market at $551 million in 2020. - The firm projects the market will reach $76.01 billion by 2030. - The forecast implies a compound annual growth rate of 67.7% from 2021 to 2030. - The report covers communication infrastructure, core network technology, network type, chipset, platform and region.

The details: - 5G networks are expected to upgrade intelligence, surveillance and reconnaissance systems and signal processing. - 5G is also expected to modernize logistics operations and support enhanced command-and-control applications. - Military users could gain access to augmented reality, virtual reality, dynamic spectrum use, distributed command and control and smart warehousing. - The report says 5G can deliver speeds of 10 gigabits per second, about 100 times faster than 4G, with low latency. - Edge computing helps reduce delay by processing data near end points such as effectors and sensors. - Machine learning, artificial intelligence and mobile ad hoc networking are expected to strengthen defense capabilities. - Millimeter-wave 5G can support microprocessors, field-programmable gate arrays, general-purpose graphics processing units and other data-processing systems while exchanging data from strategic cloud infrastructure. - By communication infrastructure, small cells accounted for more than two-fifths of total market share in 2020. - The radio access network segment is projected to post the fastest CAGR at 70.40% from 2021 to 2030. - Asia-Pacific leads the market in revenue, followed by North America, Europe and LAMEA. - China held the largest share in 2020 and is expected to grow strongly as the government increases investment in 5G infrastructure. - The report names Huawei Investment & Holding Co., Ltd., Wind River Systems, Inc., Nokia Corporation, Samsung Electronics Co., Ltd., NEC Corporation, Ligado Networks, Thales Group, L3Harris Technologies, Inc., Telefonaktiebolaget LM Ericsson and Raytheon Technologies Corporation as leading players. - Those companies are using partnerships, expansion, collaboration and joint ventures to strengthen their positions. - The report includes a download link for a 406-page PDF sample: Download report. - The report also includes a purchase link: Buy now. - A purchase enquiry page is available here: Purchase enquiry.

Between the lines: - The forecast reflects a defense sector trying to combine next-generation connectivity with battlefield mobility and data-heavy operations. - The strongest near-term demand appears to be in network infrastructure, especially small cells and radio access networks. - The regional split suggests Asia-Pacific, and especially China, is a major center of current and future spending.

What’s next: - Market growth will likely depend on whether defense buyers can manage cybersecurity exposure and infrastructure costs. - Further adoption should track upgrades to military bases and broader advances in 5G, AI and edge computing. - The companies named in the report are likely to keep competing through partnerships and other strategic deals.

The bottom line: - 5G in defense is moving from a niche technology story to a fast-growing market with broad military applications and a very steep growth curve.