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Market Overview

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The global supersonic and hypersonic aircraft market, valued at $4,137 million in 2021, is projected to reach $5,400 million by 2032, with a CAGR of 2.73% during the forecast period of 2022-2032. Manufacturers of these aircraft are experiencing high demand from the defense industry and expect to enter the commercial market by 2025. The market ecosystem consists of aircraft manufacturers, subsystem manufacturers, and end users.

In recent years, there has been a significant increase in the speed of airliners, with speeds up to Mach 0.9 (high-subsonic), resulting in shorter turn-around times, increased flight volume, and lower fuel and maintenance costs. This trend towards faster aircraft has led to the expectation of commercial supersonic and hypersonic passenger aircraft, driven by the demand for faster and more sustainable travel. While supersonic flights consume nearly twice as much fuel as subsonic flights of the same duration, the time-saving benefits of supersonic travel can result in lower overall fuel consumption and emissions for long-haul flights. Airlines are looking to leverage this advantage when procuring supersonic aircraft. However, operators will carefully consider the feasibility and sustainment costs associated with these platforms once they receive the necessary certifications from manufacturers. Manufacturers of supersonic military aircraft are shifting their focus from pure performance to sustainable operations and joint-domain capabilities, integrating their platforms with homeland defense systems and autonomous technologies.

The development of high Mach propulsion, unmanned systems, and efficient turbine-based engines has advanced in the past decade, largely driven by defense requirements. In recent years, numerous startups and emerging players have entered the market, aiming to offer hypersonic and supersonic platforms for both commercial and military customers. This influx of private players is supported by government agencies and established defense manufacturers, who hope to reduce development costs and drive innovation in the market. For instance, Northrop Grumman and Boom Supersonic signed a partnership agreement in July 2022 to develop military variants of the Overture Aircraft with special mission capabilities, enhancing the adoption of the Boom Overture by defense industry leaders.

The increasing number of emerging players developing supersonic and hypersonic platforms for passenger flights, sub-orbital cargo flights, and low Earth orbit (LEO) services, alongside defense applications, has created a high demand for production in the forecast period. Additionally, modernization programs to replace aging 4th generation fighters have contributed to the rising demand for these aircraft among military end users.

Drivers for market demand include increased demand in military and commercial air-cargo flights, modernization programs for manned and unmanned military aircraft, and technology adoption in aviation manufacturing and space-tech innovations. Challenges in the market include regulatory laws for supersonic flights, higher maintenance costs for critical components, sustainable operational costs for commercial airlines, and concerns about environmental pollution and aircraft noise. Opportunities in the market include the growing demand for multirole high-speed platforms, the development of sustainable zero-carbon propulsion systems, and the adoption of new propellants.

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Market Segmentation

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The market is segmented based on various factors, including speed regime, application, subsystem, and region.

Segmentation by Speed Regime
Supersonic Aircraft
Hypersonic Aircraft

Segmentation by Application
Military
Commercial

Segmentation by Subsystem
Airframe
Propulsion
Avionics
Control Systems
Electrical Systems
Commercial and Military Payload Systems
Landing Gear

Segmentation by Region
North America – U.S.
Europe – France, Germany, Russia, U.K., Turkey, and Rest-of-Europe
Asia-Pacific – China, India, Japan, and Rest-of-Asia-Pacific

Based on different speed regimes, the demand for supersonic aircraft is expected to dominate the global supersonic and hypersonic aircraft market during the forecast period. This is due to the challenges associated with developing hypersonic aircraft, including long development timelines, integration issues with subsystems, and high costs. Supersonic aircraft have a longer operational history in both commercial and military aviation, which contributes to their higher growth potential. In 2021, the supersonic aircraft regime had the highest market penetration, valued at $4,087 million. It is projected to reach $4,962 million by the end of 2032, with a compound annual growth rate (CAGR) of 1.99% from 2022 to 2032. Supersonic aircraft operate at speeds ranging from Mach 1 to Mach 5, and their performance is characterized by high thrust requirements, increased heating loads on the airframe, and nearly double the fuel consumption compared to subsonic aircraft. The prolonged supersonic flight can significantly reduce the lifespan of critical subsystems, such as the engine and airframe, necessitating complete replacements.

In terms of application, defense agencies are expected to drive the demand for supersonic and hypersonic aircraft in the global market during the forecast period. The military application of these aircraft is more prominent, driven by modernization programs to replace aging fighters and the development of new hypersonic capabilities by defense forces. The military segment was valued at $4,137 million in 2021 and is projected to reach $4,784 million by the end of 2032, with a CAGR of 1.49% from 2022 to 2032. Military requirements have been the primary driver of the supersonic aircraft market and will continue to fuel the growth of the supersonic and hypersonic aircraft market. The key applications of high-speed platforms include surveillance and reconnaissance, cargo transport, and combat operations. The future of this market will see an increased role of unmanned aircraft and hypersonic flight-capable aircraft. Unmanned vehicles are crucial for enhancing warfighting capabilities while minimizing risks to the flight crew. Hypersonic aircraft are essential for maintaining superiority and dominance over rival nations. The demand for both categories of aircraft is expected to grow as manufacturers complete the development of mature technologies and meet flight test requirements.

In terms of subsystems, the airframe subsystem is expected to have the highest demand in the global supersonic and hypersonic aircraft market, closely followed by the propulsion subsystem. Both subsystems are critical for achieving supersonic and hypersonic flight, and manufacturers are focusing on innovating production methods and improving performance in these areas. In 2021, the airframe and propulsion subsystems accounted for a significant portion of the market value, with values of $1,315 million and $1,311 million, respectively. By 2032, these subsystems are estimated to reach values of $1,717 million and $1,709 million, respectively, with an overall CAGR of 2.73% from 2022 to 2032. The airframe subsystem currently has the highest demand in the market and is expected to remain the largest cost component for manufacturers throughout the 2022-2032 forecast period. Aircraft manufacturers such as Lockheed Martin, Northrop Grumman, and BAE Systems take up the responsibility of integrating, designing, and producing the airframe component.

In 2021, Europe contributed $1,884 million to the supersonic and hypersonic aircraft market. The region is projected to reach $2,114 million by the end of 2032. The growth in this market is primarily driven by the need to modernize aging combat aircraft and maintain dominance against rising aerial threats from rival nations. The presence of key market players like United Aircraft Corporation, Saab, BAE Systems, and Dassault Aviation in Europe contributes to the overall market revenue.

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Competitive Landscape

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The competitive landscape of the supersonic and hypersonic aircraft market is characterized by a range of strategic approaches employed by key players to enhance their market share. These strategies encompass both organic and inorganic initiatives such as product innovations, contract agreements, partnerships, acquisitions, and business expansions.

The market is primarily led by established players in the supersonic and hypersonic aircraft industry, accounting for approximately 60% of market presence. Additionally, there are also emerging players and startup entities constituting around 40% of market presence.

Prominent players in the supersonic and hypersonic aircraft market include Northrop Grumman Corporation, Lockheed Martin Corporation, BAE Systems plc, Thales, Safran SA, Raytheon Technologies, United Aircraft Corporation, Hermeus Corporation, Boom Technology, and Hypersonix Launch Systems Ltd. These companies are actively pursuing various collaborations, partnerships, agreements, and contracts to expand their global operations, strengthen their market position, generate revenues, and attract new customers.

Key companies profiled in this report include BAE Systems plc, Baykar Technology, Boom Technology, Inc., Dassault Aviation SA, Destinus SA, Exosonic, Inc., Hermeus Corporation, Hypersonix Launch Systems Ltd., Lockheed Martin Corporation, Northrop Grumman Corporation, GE Group, Raytheon Technologies Corporation, Reaction Engines Limited, Rolls-Royce plc., The Boeing Company.

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Recent Industry Developments

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In August 2022, American Airlines entered into a multi-billion-dollar prebook order agreement with Boom Supersonics for the Overture Aircraft. This supersonic jet, capable of accommodating 70 passengers, is anticipated to be introduced into the commercial aviation market by 2029.

In November 2021, the development of the DART AE hypersonic drone by Hypersonix Launch Systems Limited was successfully completed. Utilizing a hydrogen fuel-based scramjet engine named SPARTAN, the DART drone achieves air-breathing thrust up to Mach 12.

In June 2021, Reaction Engines Ltd. concluded the testing phase for its groundbreaking SABRE engine. This innovative engine is designed to generate thrust from the ground up to speeds of Mach 5.4, eliminating the need for any supplementary propulsion unit. The successful demonstration of this air-breathing engine has resulted in partnership agreements and contracts for the development of a hypersonic flight-capable aircraft based on the SABRE technology.

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Key Questions Answered

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What are the projected futuristic trends in the market, and how is the market expected to evolve during the forecast period of 2022-2032?

What are the main drivers and challenges faced by companies operating in the supersonic and hypersonic aircraft market?

How is the market anticipated to grow throughout the forecast period of 2022-2032?

What are the potential opportunities for companies to expand their operations in the supersonic and hypersonic aircraft market?

Which region is predicted to emerge as the leading market for supersonic and hypersonic aircraft by 2032?

Which application is expected to dominate the supersonic and hypersonic aircraft market by 2032?

Which subsystem is projected to have the highest market share in the supersonic and hypersonic aircraft market by 2032?

What are the key strategies implemented by major players to maintain competitiveness in this highly competitive market?

What is the current and future revenue outlook of this market?