WASHINGTON, D.C., 7 Oct. 2005. The emerging market sector for electronics in homeland security could reach $20 billion by 2010, according to a market forecast from Homeland Security Research Corp.
In 2001, firms in the electronics industry won contracts worth $1 billion in homeland security business, mostly from the intelligence and aviation security sectors. That business is forecasted to quadruple within the next five years, rising from $5 billion in 2005 to $20 billion by 2010.
The electronics industry's fastest growing homeland security markets are forecasted to be in the following eight sectors:
* wireless sensors
* microwave and terahertz technology
* "web like" communication gear
* command, control, and communication systems
* identification technologies (e.g. radio frequency identification, biometrics, closed circuit television)
* nanotechnology electronics backend
* national infrastructure protection technologies, and
* front end electronics for CBRN sensors (chemical, biological, radiological, and nuclear)
This growth rate is driven by three main factors.
First, during the four years since the terror attacks of Sept. 11, 2001, it has become clear to homeland security planners that nearly all their electronics means -- which are by and large 1990-vintage technologies -- must be replaced within the next five years.
Second, the new strategy of the U.S. administration, which focuses on upgrading the intelligence communities and homeland defense against catastrophic events (eg, weapons of mass destruction) is based on electronically-centered technologies, such as sensors, surveillance, and biometrics.
Finally, technology, which is the "force multiplier" of the war against terror, can be made cost-effective only through the extensive use of electronics and information technology.
The entire global market for homeland security is expected to grow from $26 billion in 2003 to $178 billion in 2015.
This forecast comes from "2003 - 2015 Homeland Security Electronics Industry Market," one segment of an industry-wide forecast. A full report is available for purchase from Homeland Security Research Corp. Titled "2006- 2015 Homeland Security & Homeland Defense Global Market," it includes over 400 pages, 194 graphs and 109 tables. For more information, see www.hsrc.biz/Sales/Reports/Reports.asp.
Homeland Security Research Corp. is a Washington, D.C.-based international market research and strategic consulting firm serving the homeland security community. Our company provides premium market, technology and industry expertise that enable clients around the world gain critical insight into the business opportunities that exist within the homeland security market. Our clients include governments in the U.S., Europe and Israel, Fortune 500 companies and security decision makers worldwide. For more information, see www.hsrc.biz.
By Ben Ames
Senior Editor, Military & Aerospace Electronics
