AI in defense market is anticipated to grow at an exponential CAGR of 36.1% during the forecast period. The market growth is attributed to the growing demand for autonomous systems in unmanned aerial vehicles (UAVs), drones, and autonomous spacecraft, increasing adoption of AI algorithms optimizes mission planning for military operations with AI-powered image and signal processing technologies globally. Cybersecurity defense with powerful, portfolio-wide artificial intelligence capabilities scales in favor of defenders by helping make informed decisions, augment existing capabilities, and automate complex tasks. For instance, in December 2023, Cisco introduced the Cisco AI Assistant for Security. This marks a major step in making artificial intelligence (AI) pervasive in the Security Cloud, Cisco's unified, AI-driven, cross-domain security platform. The AI Assistant helps customers make informed decisions, augment their tool capabilities, and automate complex tasks.

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AI models that continuously learn from real-world client data, including security analyst responses, are engineered to automatically close low-priority and false positive alerts based on a client-defined confidence level. For instance, in October 2023, IBM introduced new AI-powered threat detection and response services. IBM's new threat detection and response services can augment an organization's security defenses with a scalable capability, continuously improving, and strong enough for tomorrow's threats.

The defense sector is undergoing major changes related to the proliferation of data on the battlefield. The market players introducing AI technology into all of the company’s sectors of activity (defense, space, aerospace, cybersecurity, and digital identity). For instance, in March 2024, Thales, Europe’s high-tech company in the civil and defense fields, announced the creation of cortAIx, which brings together the company’s AI capabilities in research, sensors, and systems. CortAIx is the AI accelerator that will equip armed forces, aircraft manufacturers, and all critical infrastructure operators with highly secure solutions to provide them with more efficient data analysis and decision support, whilst taking into account specific constraints such as cybersecurity, embed ability, and frugality that are related to critical environments.

Global AI in Defense Market Report Segment

By Component

Hardware
Software
Services

By Platform

Air
Land
Naval
Space

By Application

Cyber Security
Logistics & Transportation
Simulation & Training
Battlefield Healthcare
Threat Monitoring
Surveillance and Situational Awareness
Command & Control
Simulation & Training
Threat/Target Tracking and Monitoring
Information Processing
Other (Warfare Platforms)

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Company Profiles

Airbus SE
Anduril Industries, Inc.
AURORA FLIGHT SCIENCES
Axon Vision
ai, Inc.
Epirus Inc.
General Dynamics Mission Systems, Inc.
HERMEUS CORPORATION
Honeybee Robotics
Kratos Defense & Security Solutions, Inc.
Leidos, Inc.

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