Search, Detection, Navigation & Guidance System Manufacturing Industry Profile

Companies in this industry make products such as aircraft instruments, flight recorders, navigational instruments, and radar and sonar systems. Major companies include FLIR and divisions of defense contractors such as Boeing, General Dynamics, Northrop Grumman, and RTX Corporation (all based in the US), as well as Airbus Group (the Netherlands), BAE Systems (the UK), Bharat Electronics (India), Furuno Electric (Japan), and Thales (France).

The US and China continue to lead in overall defense expenditures, according to PricewaterhouseCoopers (PwC). Additionally, both Israel and Russia have significantly increased their purchases. Global aerospace and defense revenue, a key demand driver for search, detection, navigation, and guidance systems, had a revenue of about $920 billion in 2024. According to Deloitte, although travel demand is slow, the global aerospace and defense industry is expected to recover as countries have not significantly reduced their defense budgets.

The US search, detection, and navigation equipment manufacturing industry includes about 550 companies with combined annual revenue of about $50 billion. Production of GPS equipment is covered in the Wireless Telecommunications Equipment Manufacturing industry profile.

COMPETITIVE LANDSCAPE

Demand depends on discretionary consumer income, general economic conditions, and federal budgets for defense and homeland security. Large companies have advantages in purchasing power, manufacturing volume, and distribution efficiencies. Small companies compete by offering specialized products and providing subcontracting services to larger system integrators. The US industry is highly concentrated: the largest 50 firms account for ...