Dublin, Jan. 29, 2026 (GLOBE NEWSWIRE) -- The "Artificial Intelligence in Military Market Report 2026" has been added to ResearchAndMarkets.com's offering.
The artificial intelligence (AI) in military market is experiencing substantial growth, poised to expand from $11.53 billion in 2025 to $13.78 billion in 2026, with a CAGR of 19.5%. This growth trajectory is largely driven by the early adoption of autonomous surveillance drones, facial recognition, language translation tools, and AI-enabled command and control systems. The rising use of robotic mine detectors and unmanned ground systems for troop protection further enhances this trend. Additionally, military data generation necessitates advanced AI analytics, prompting increased deployment.
Looking ahead, the market is expected to grow exponentially, reaching $28.67 billion in 2030 at a CAGR of 20.1%. Key contributors to this growth include expanded investments in autonomous weapon systems, edge AI integration in battlefield sensors, demand for AI-driven cybersecurity tools, and the modernization of military platforms. The forecast also highlights the increasing use of AI-enabled training systems to bolster operational readiness. Emerging trends include the deployment of AI-based battlefield decision-support systems, adoption of surveillance platforms, and the rise of AI-driven simulation environments.
Global conflicts are a significant factor propelling market expansion. The escalation of geopolitical tensions and civil unrest drives nations to enhance their military capabilities using AI technologies for faster decision-making and autonomous operations. ACLED reported a doubling of global conflicts over five years, with conflict-related deaths escalating 30% from 2023 to 2024.
Key players in the market, like Leonardo DRS, are leveraging sensor fusion to improve situational awareness and decision-making. Leonardo DRS's Artificial Intelligence Processor (AIP) exemplifies these efforts, providing advanced mission processing capabilities for military vehicles even in extreme environments. This processor is designed to work seamlessly with current and future U.S. Army applications, emphasizing a compact and high-speed computing solution.
Another significant market move was SightLine Applications LLC's acquisition of Athena Artificial Intelligence Pty Ltd in March 2025. This strategic acquisition aims to enhance SightLine's decision-making capabilities by integrating Athena's AI-enabled computer vision and decision support systems.
Several major players like Charles River Analytics, BAE Systems, Northrop Grumman, and others are pivotal in this sector. North America was the largest regional market in 2025, with Asia-Pacific anticipated to be the fastest-growing region during the forecast period.
The market dynamics are influenced by global trade relations and tariffs, particularly affecting the cost of importing advanced chips and sensors. Such challenges, however, have also spurred domestic manufacturing and technological localization in defense sectors.
The comprehensive research report on the AI in the military market provides thorough insights into market size, competitor analysis, and trends, offering a detailed perspective on current and future industry scenarios. Overall, AI plays a crucial role in the military, enhancing decision-making and operational efficiency across various applications, including autonomous vehicles, threat detection, and mission planning.
Report Overview:
- Market Characteristics: Analysis of product offerings, innovation trends, and brand-level differentiation.
- Supply Chain Analysis: Overview of the value chain, raw material sources, and key suppliers.
- Trends and Strategies: Examination of digital transformation, automation, and sustainability trends, including emerging AI-driven innovations.
- Regulatory Landscape: Overview of regulatory frameworks and investment trends affecting growth and company planning.
- Market Size and Forecast: Analysis of historical growth and projections based on technological and economic factors.
- TAM and Market Attractiveness: Evaluation of market potential and strategic investment opportunities.
- Regional and Country Analysis: Detailed growth insights into newly integrated regions like Taiwan and Southeast Asia.
- Competitive Landscape: Analysis of market shares, key players, and financial deals shaping the sector.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 250 |
| Forecast Period | 2026 - 2030 |
| Estimated Market Value (USD) in 2026 | $13.78 Billion |
| Forecasted Market Value (USD) by 2030 | $28.67 Billion |
| Compound Annual Growth Rate | 20.1% |
| Regions Covered | Global |
Companies Featured
- Charles River Analytics Inc.
- BAE Systems PLC.
- Northrop Grumman Corporation
- RTX Corporation
- Lockheed Martin Corporation
- Thales Group
- Harris Corporation
- International Business Machines Corporation
- Rafael Advanced Defense Systems
- Microsoft Corporation
- Oracle Corporation
- Amazon Web Services Inc.
- SAS Institute
- Meta Platforms Inc.
- SAP SE
- Salesforce Inc.
- Baidu Inc.
- SoarTech
- Google LLC
- NVIDIA Corporation
- Intel Corporation
- General Dynamics Corporation
- Rolls-Royce Holdings plc
- General Electric Aviation
- Safran S.A.
- Israel Aerospace Industries
- Triumph Group Inc.
- Boeing Co.
- Airbus SE
- Leonardo S.p.A.
- L3Harris Technologies Inc.
- Elbit Systems Ltd.
- Rheinmetall AG
- Collins Aerospace
- Kongsberg Gruppen
For more information about this report visit https://www.researchandmarkets.com/r/kyee59
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