Situation Awareness System SAS Market Size, Share & Trends Analysis Report By Component Type (Network video recorders (NVRs), Sensors, Global positioning system (GPS), Displays, Others), By Product Type (Command and Control System, Fire and Flood Alarm System, Radio Frequency Identification (RFID), Radar, Chemical, biological, radiological, and nuclear (CBRN) Systems, Sonar, Physical security information management (PSIM)/access control (including HMI), Others), By Industry Verticals (Military and Defense, Healthcare, Aerospace, Marine security, Automotive, Mining and oil and gas, Industrial, Cyber security, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2023-2031

Market Overview

The global situation awareness system SAS market size was valued at USD 28.11 billion in 2022. It is estimated to reach USD 48.71 billion by 2031, growing at a CAGR of 6.3% during the forecast period (2023–2031). 

The increasing use for the timely detection of problems and improved public health surveillance help in the early detection of disease outbreaks to impact public health emergencies. Using situational awareness systems due to rising security and public safety concerns will stimulate market growth. A Situation Awareness System (SAS) is a sophisticated technological solution that enhances situational awareness for individuals and organizations operating in various domains. The primary purpose of a Situation Awareness System is to gather data from multiple sources, process it in real-time, and present relevant information in a manner that aids in understanding the current situation. The system provides users with a comprehensive view of their environment by integrating data from various sensors, databases, and external sources. Data collection is a vital component of SAS. It involves gathering information from diverse sources, including sensors that capture environmental conditions, sensor readings, location data, and communication streams. The system collects this data continuously, ensuring a steady stream of information to feed into the situational analysis.

Overall, a situation awareness system is a powerful tool that enhances situational understanding by integrating, processing, and analyzing data from various sources. Providing users with a clear and comprehensive view of their environment enables effective decision-making, timely responses, and improved situational awareness.

Market Dynamics

Global Market Drivers

Rise in Demand for Security and Surveillance Systems

The adoption of security and surveillance systems is increasing for the timely detection of problems and to improve public health surveillance, which can help in the early detection of disease outbreaks to respond promptly and minimize the health, social, economic, and political impact of public health emergencies. It also supports military applications such as night vision, surface target tracking, long-range target identification, and covert surveillance.

In addition, different types of surveillance cameras, sensors, and other situational intelligence solutions are used in situational awareness systems to exchange target data in real time over long distances with control centers and personnel involved in a military operation. The increase in demand for security and surveillance systems is anticipated to drive the adoption of situational awareness systems. Further, many countries are strengthening their early-warning and rapid-alert systems to improve readiness at local, regional, national, and international levels to limit disease epidemics and reduce economic, health, and social damage, which is opportunistic for the market.

Surge in Concerns Over Public Safety and Security

The use of situational awareness systems is continuously increasing due to rising concerns over security and public safety. Public safety and security solutions propose efficient methods to ensure the safety of civilians, enterprises, and essential infrastructure against threats such as terrorist attacks, information theft, drug trafficking, cyber-attacks, and illegal immigration. In addition, the importance of public safety and security is increasing due to the growth in terrorism and high incidences of natural disasters. Thus, increasing natural calamities, information thefts, and unethical practices drive the global SAS market.

Global Market Restraints

High Cost of Advanced Situational Awareness Systems (SAS)

The costs associated with implementing advanced situational awareness systems (SAS) are quite high and pose a major challenge for the market. Along with the high cost of implementing these systems, their research and development also require huge capital, which is expected to impact the market negatively. Moreover, only a few companies across the globe manufacture situational awareness system components, which adds intellectual property costs to the final product.

Global Market Opportunities

Surge in Need for Space Situational Awareness Systems

The increase in the number of satellites for communication, navigation, and safety has led to the growth of the space situational awareness industry. SAS is increasingly used to monitor space debris, surveillance, and object tracking within orbits. The market is expected to witness several investments in commercial satellites due to the emergence of the "space tourism" concept and telecommunication advancements, which is opportunistic for the market.

Furthermore, the rise in demand for space situational awareness solutions, mainly to reduce potential hazards in space, along with the growth in the need for commercial on-orbit satellite activities, create lucrative opportunities for the market. In addition, the high demand for situational awareness systems for commercial applications such as monitoring and observing satellite operators' fleets and tracking satellite moments throughout their lifecycle further drives the market's growth.

Regional Analysis

North America Dominates the Global Market

Based on region, the global situation awareness system SAS market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

North America is the most significant global situation awareness system SAS market shareholder and is estimated to grow at a CAGR of 3.9% over the forecast period. The North American situation awareness system market includes the U.S. and Canada. North America is expected to hold the highest market share in 2022, owing to increased penetration of developing technologies, which impacts the market positively. Moreover, the region is witnessing high adoption of space situational awareness solutions due to the significant demand from prestigious organizations for space situational awareness activities, such as the U.S. Department of Defense and NASA.

In addition, increasing reliance on space assets and maintaining safe space operations further drive the adoption of situational awareness systems in the aerospace sector. The wide presence of key players in North America, such as Microsoft Corporation, Honeywell International Inc., BAE Systems, Inc., and others, positively impacts the market growth. In addition, players are launching advanced SAS systems, forecasted to boost the market's growth in the coming years. For instance, Northrop Grumman is developing an upgraded version of a modernized radar warning receiver, the AN/APR-39E(V)2, for the U.S. Army. It is anticipated to provide enhanced situational awareness to users with increased precision, as it can locate, detect, and identify numerous threats.

Europe is anticipated to exhibit a CAGR of 7.2% over the forecast period. Europe's situational awareness system market includes the U.K., Germany, France, Italy, Russia, and the rest of Europe. Growing demand for capabilities by which military commanders can measure the risk of cyber-attacks at all operational levels among the European Defense Agency (EDA) drives the market's growth. Adopting Cyber Situational Awareness (CSA) enables military commanders to clearly understand the threat landscape to manage cyber risks during the planning and conducting phases of a military operation. 

Additionally, the adoption of situational awareness systems is increasing among many European industries, which fuels the market's growth. For instance, a major retail company in Scandinavia experienced several threats against management staff and required an early warning system, which could minimize the risk for key employees. SAS provides methodology, tools, and analysts to monitor all relevant open sources, such as social media, for potential threats against key individuals, products, or brands. Based on data captured in its analysis, a company can implement cost-effective risk-mitigating measures before potential incidents develop into a crisis.

In Asia Pacific, the situational awareness system market includes China, India, Japan, South Korea, and the rest of Asia-Pacific. The popularity of SAS is increasing among public institutions, enterprises, and key information infrastructure-related industries in the region due to its numerous benefits, thereby driving the market’s growth.

The situational awareness system market in LAMEA includes Latin America, the Middle East, and Africa. In LAMEA, SAS is widely used to facilitate surveillance and security needs. However, its application is increasing across numerous industry verticals for threat identification and assessment, risk analysis, strategy planning, and course-of-action development, finding maximum application in the military and aerospace industries.

Segmental Analysis

The global situation awareness system SAS market is bifurcated into component type, product type, and industry verticals.

Based on component type, the global market is bifurcated into network video recorders (NVRs), sensors, global positioning systems (GPS), and displays. 

The network video recorders (NVRs) segment dominates the global market and is projected to exhibit a CAGR of 5.7% over the forecast period. A network video recorder is a centralized system that collects multiple IP cameras simultaneously. It is a networked server and storage solution for network video applications and IP cameras. The major advantage of network video recorders is that they help users quickly and easily manage their complete IP video system. 

Furthermore, the major factors that drive the adoption of network video recorder systems in the situation awareness market include growing security and privacy concerns and a surge in instances of terrorist attacks across the globe. In addition, numerous benefits these systems provide, such as improved security for data, greater flexibility, and high-definition data, propel the growth of NVRs in the market.

Based on product type, the global market is bifurcated into command-and-control systems, fire, and flood alarm systems, radio frequency identification (RFID), radar, chemical, biological, radiological, and nuclear (CBRN) systems, sonar, physical security information management (PSIM)/access control (including HMI), and others. 

The command-and-control systems segment dominates the global market and is projected to exhibit a CAGR of 4.2% over the forecast period. A command-and-control system integrates real-time information from various units and provides operators with necessary information about a situation. Additionally, many countries worldwide implement this technology for their defense industry since it offers accurate information about a scenario and enhances decision-making in urgent circumstances. Command and control systems are crucial in coordination and safety, mainly in the military, defense, and aerospace industries. Misalignment of technology can cause dire consequences during critical safety and security operations.

However, these systems ensure that the integrity of the mission is saved by enabling comprehensive operational visibility, efficient threat detection, and prompt threat response from a single place. These benefits support increased demand for command-and-control systems in various industries to create effective situational awareness. Furthermore, the surge in demand for command and control systems from the transportation, healthcare, and law enforcement sectors provides lucrative opportunities for the market.

Based on industry verticals, the global market is bifurcated into Military and Defense, Healthcare, Aerospace, Marine security, Automotive, Mining and oil and gas, Industrial, Cyber security, and Others.

The military and defense segment dominates the global market and is projected to exhibit a CAGR of 3.9% over the forecast period. The industry is considered one of the most important pillars of a country’s economy. Any disruption in its function leads to several dire consequences. In addition, defense is the most important during terrorist attacks and needs active and faster functioning in such circumstances. Situation awareness systems provide opportunities to actively respond to such threats and help this sector defend a nation. 

Situation awareness systems (SAS) find wide applications in military and defense, including homeland security, such as security and surveillance of a country or area, information security, and citizen safety. Military uses SAS products such as command and control systems, CCTV, and alarms. CCTVs are used for monitoring public areas.

Recent Developments

• March 2023- Thales announced the launch of its new SAS solution, called Sentinel. Sentinel is a cloud-based SAS solution that provides users with a single view of their environment, including real-time data from sensors, cameras, and other sources.
• February 2023- Elbit Systems announced the delivery of its SAS solution, called Hermes, to a customer in the Middle East. Hermes is a mobile SAS solution that can be deployed in various environments, including urban, rural, and maritime.