Apr 07, 2021
Over Three-Fourth Demand for Fiber Optic Gyroscopes Comes from Aerospace and Defence Verticals, Evaluates Fact.MR
by Team Fact.MR
The global aerospace industry reached a value of around US$ 350 Bn in 2019. Increased demand for air travel, change in social behaviour, and low interest rates are major factors pushing growth of the aerospace and defence industry, globally, which, in turn, increases the requirement of fiber optic gyroscopes. Demand for fiber optic gyroscopes from sectors such as automotive, transportation & logistics, and robotics is also increasing across the globe. Anticipated shifts in commodity & resource costs is a major economic factor in this market, which is expected to have a vital impact on market growth.
At present, North America holds the largest revenue share in the global fiber optic gyroscope (FOG) industry, owing to the well-established aerospace and defence industry in the region since decades. Three of the top manufacturers of fiber optic gyroscopes, i.e. Honeywell International Inc., Emcore Corporation, and KVH Industries are headquartered in the U.S.
As per the revised report published by Fact.MR, the fiber optic gyroscope market is anticipated to exceed a valuation of US$ 920 Mn by 2021, and is expected to expand at a CAGR of around 6% over the forecast period of 2021 to 2031.
Key Takeaways from Market Study
- Fiber optic gyroscopes are typically used for aerospace- and defence-related applications; however, their usage in automotive is also increasing.
- 3-Axis fiber optic gyroscopes account for 48% of sales, and are further expected to grow by 252 BPS over the forecast period.
- The Asia Pacific region, including East Asia, South Asia, and Oceania, accounts for around 27% of global shipments. Asia Pacific is expected to offer around US$ 218 Mn absolute dollar opportunity over the next ten years.
- The global market is moderately concentrated in nature. Around 45% of sales are held by tier-1 companies, including Honeywell International Inc. and Northrop Grumman LITEF GmbH.
- By device, inertial navigation systems hold over 40% of overall market share.
- Automotive and transportation & logistics accounts for over 14% of overall demand.
- The FOG market in China and ASEAN is projected to expand at a CAGR of around 7% through 2031, while that in Japan and Australia at 6%.
“Manufacturers building fiber optic gyroscopes for specific applications are expected to witness increase in their shares than those companies offering generalised products,” says a Fact.MR analyst.
Sales of inertial navigation systems are growing fast, as these systems are commercial off-the-shelf navigation and control solutions, finding application in many fields. To utilise the demand gap, key manufacturers of fiber optic gyroscopes are excessively spending on R&D to improve the functionality of their products.
More Valuable Insights
Fact.MR, in its latest revised offering, presents an unbiased analysis of the global fiber optic gyroscope market, presenting historical demand data (2016-2020) and forecast statistics for the period of 2021-2031. The study reveals essential insights on the basis of sensing axis (1-axis, 2-axis, and 3-axis), device (gyrocompasses, inertial navigation systems, inertial measurement systems, and others), and vertical (aerospace & defence, automotive, robotics, mining, healthcare, transportation & logistics, and others), across six major regions of the world (North America, Europe, East Asia, South Asia & Oceania, Latin America, and the Middle East & Africa).
About the Industrial Division at Fact.MR
Expert analysis, actionable insights, and strategic recommendations of the highly seasoned industrial team at Fact.MR helps clients from across the globe with their unique business intelligence needs. With a repertoire of over thousand reports and 1 million-plus data points, the team has analysed the industrial industry across 50+ countries for over a decade. The team provides unmatched end-to-end research and consulting services. Reach out to explore how we can help.
For more information, refer to our market research report or contact the PR author.
Chandra Kumar Deo
Consultant – Industrial Division
E-mail: [email protected]