Software Defined Radio Market Size - Global Industry, Share, Analysis, Trends and Forecast 2023 - 2032

The Global Software Defined Radio (SDR) Market Size accounted for USD 25.2 Billion in 2022 and is projected to achieve a market size of USD 54.3 Billion by 2032 growing at a CAGR of 8.1% from 2023 to 2032.

Software Defined Radio Market Report Key Highlights

• Global software defined radio market revenue is expected to increase by USD 54.3 Billion by 2032, with a 8.1% CAGR from 2023 to 2032
• North America region led with more than 35% of software defined radio market share in 2022
• In 2020, the US Federal Communications Commission (FCC) approved the use of SDR for the Citizens Broadband Radio Service (CBRS) in the 3.5 GHz band
• According to a report, the military and defense sector accounted for the largest share of the SDR market in 2022
• In 2019, the DoD announced plans to spend more than USD 7.5 billion on SDR development over the next five years
• Emergence of new technologies, such as artificial intelligence and the Internet of Things, drives the software defined radio market size

Software-defined radio (SDR) refers to a radio communication system where most of the signal processing functions that traditionally have been performed by hardware components, such as mixers, filters, amplifiers, and modulators, are instead performed by software running on a general-purpose computer or embedded system. This enables SDR systems to be highly flexible and reconfigurable, as different radio standards and frequencies can be supported through software upgrades, without the need for hardware modifications.

The market growth of SDR has been steadily increasing over the past few years, driven by factors such as the increasing demand for wireless communication systems and the need for cost-effective and efficient communication solutions. The report attributes this growth to the increasing adoption of SDR technology in various applications such as military and defense, telecommunications, transportation, public safety, and others. Additionally, the increasing focus on research and development activities in the field of SDR is expected to further drive market growth, as more advanced and sophisticated SDR solutions are developed and commercialized.

Global Software Defined Radio Market Trends

Market Drivers

• Increasing demand for wireless communication systems in various industries
• Need for cost-effective and efficient communication solutions
• Increasing adoption of SDR technology in military and defense applications
• Rising demand for software-defined radios in public safety and emergency communication systems
• Flexibility and reconfigurability offered by SDR technology

Market Restraints

• High development costs associated with SDR technology
• Complexity of integrating SDR systems with existing communication infrastructure

Market Opportunities

• Increasing investments in research and development activities in the field of SDR
• Integration of SDR technology with emerging technologies such as artificial intelligence and the Internet of Things

Software Defined Radio Market Report Coverage

With the rising evolution of digital science and digital electronics, the global radio market and global communication technologies industry has evolved to a great extent. Although the concept of software-defined radio (SDR) is pertaining in the market over the last few years, the global software defined radio (SDR) market has undergone various changes in terms of its uses and technology. Software-defined radio is a type of radio communication system wherein communication is carried out by deployment of software on a personal computer or embedded systems instead of deploying hardware such as amplifiers, filters, detectors, mixers, modulators, and demodulators. Software defined radio is capable of receiving and transmitting a broad spectrum of frequencies. When the data is converted from its source format into digital format, the remaining factors in radio communications are carried out with the aid of automated functions driven by software. Software defined radio optimizes the key information system as embedded software used in software defined radio which helps in the selection of communication channels.

Different countries such as India, South Korea, Japan, Germany, and the U.S. are performing increasing R&D on modernization in military programs, which is further resulting in the enhancement of SDR technology, thus driving market growth. Also, interoperability offered by software defined radios is another important factor driving the growth of the global software defined radio market. The critical issues faced in the integration of several systems may challenge the growth of software defined radio market value over the forecast period. Key players in the global software defined radio market possess potential opportunities in technological advancements of software defined radio technology including wide frequency range, resolving the problem of frequency congestion, and improved broadcasting services in the foreseeable years. This can be further associated with various benefits of the technology such as cost efficiency, flexibility, and the power to drive overall communication channels. Rising demand for mobility coupled with an increasing need for data and information is another key factor anticipated to fuel the global software defined radio market growth.

Software Defined Radio Market Segmentation                                      

The global software defined radio market segmentation is based on component, type, platform, frequency band, end-use, and geography.

Software Defined Radio Market By Component

• Software
• Hardware
  • Transmitter
  • Receiver
  • Antenna
  • Others
• Service

According to software defined radio industry analysis, the hardware segment held the largest market share in 2022. The hardware segment in the market includes various hardware components that are used in SDR systems, such as radio frequency (RF) modules, digital signal processors, antennas, power amplifiers, and software-defined radio chips. RF modules are an essential component of SDR systems, as they provide the interface between the antenna and the digital signal processing components. These modules can be highly customized to meet the specific requirements of different SDR applications, and they play a critical role in determining the performance and efficiency of the overall system.

Software Defined Radio Market By Type

• General Purpose Radio
• Cognitive Radio
• Joint Tactical Radio System
• TETRA

In terms of type, the joint tactical radio system segment is dominating the market in 2022. The Joint Tactical Radio System (JTRS) is a software-defined radio (SDR) platform that was developed by the US Department of Defense (DoD) to provide a common architecture for a wide range of military radios. The JTRS platform is designed to support a wide range of military communication requirements, including voice, data, and video communications. It is highly flexible and reconfigurable, allowing different radio standards and frequencies to be supported through software upgrades, rather than hardware modifications. This makes it well-suited for military applications where communication requirements can change rapidly. The JTRS platform is expected to continue to drive growth in the SDR market, as the DoD and other militaries around the world continue to invest in SDR technology for their communication needs.

Software Defined Radio Market By Platform

• Ground
• Airborne
• Naval
• Space

According to the software defined radio market forecast, the naval segment is expected to witness significant growth in the coming years. Naval communication systems require reliable and secure communication solutions that can operate in challenging maritime environments. SDR technology provides a flexible and reconfigurable solution that can meet these requirements. One of the key advantages of SDR technology in the naval segment is its ability to enable interoperability between different naval communication systems. SDR technology can support multiple radio standards and frequencies, which can facilitate communication between different naval platforms and branches.

Software Defined Radio Market By Frequency Band

• HF Band
• UHF Band
• VHF Band
• Others

In terms of the frequency band, the HF band segment is expected to witness significant growth in the coming years. The HF band is used for long-range communication in a variety of applications, including military, maritime, aviation, and emergency response. Overall, the HF band segment is an important part of the SDR market, as it represents a significant opportunity for SDR technology providers. As communication requirements continue to evolve and become more complex, the demand for flexible, reconfigurable, and reliable communication solutions in the HF band is expected to drive growth in the SDR market.

Software Defined Radio Market By End-use

• Aerospace & Defense
  • Military
  • Space
• Telecommunication
• Commercial
• Public Safety
• Others

In terms of end-user, the aerospace and defense sector is a major end-user of software-defined radio (SDR) technology. SDRs are widely used in military and defense communication systems, including air, ground, and sea-based platforms. The aerospace and defense sector in the SDR market includes a range of products and solutions, such as military radios, satellite communication systems, unmanned aerial vehicles (UAVs), and radar systems, that are designed to operate in challenging environments and provide reliable and secure communication solutions. One of the key advantages of SDR technology in the aerospace and defense sector is its ability to provide a common architecture for different communication systems. SDR technology can support multiple communication standards and frequencies, enabling different platforms and systems to communicate with each other, regardless of the specific communication standard or frequency used.

Software Defined Radio Market Regional Outlook

North America

• U.S.
• Canada

Europe

• U.K.
• Germany
• France
• Spain
• Rest of Europe

Asia-Pacific

• India
• Japan
• China
• Australia
• South Korea
• Rest of Asia-Pacific

Latin America

• Brazil
• Mexico
• Rest of Latin America

The Middle East & Africa

• South Africa
• GCC Countries
• Rest of the Middle East & Africa (ME&A)