Global Next Generation Fighter Jet Programs and Strategy Market - Strategic Insights and Forecasts (2025-2030)

Report CodeKSI061618358
PublishedNov, 2025

Description

Next Generation Fighter Jet Programs and Strategy Market Size:

Global Next Generation Fighter Jet Programs and Strategy Market is anticipated to expand at a high CAGR over the forecast period.

Next Generation Fighter Jet Programs and Strategy Market Highlights:

  • NGAD program advances Boeing F-47 for superior air dominance with adaptive engines and drone integration.
  • Global Combat Air Programme merges Tempest for collaborative sixth-generation stealth fighter development across nations.
  • FCAS initiative unifies European efforts in next-gen fighter with AI-driven sensor fusion and remote carriers.
  • Indigenous programs accelerate worldwide emphasizing hypersonic weapons and optionally manned platforms for strategic edge.

The global military aviation industry is being rewritten by a feverish, multi-billion-dollar competition to field so-called sixth-generation fighter jet systems. In the most outspoken conceptualization, the next wave of airpower transcends the relatively narrow fifth-generation stealth and sensor fusion paradigm by embracing an amorphous, holistic "system-of-systems" networked warfare, AI, and manned-unmanned teaming centricity. This competition has been driven largely at the strategic level by growing demands for assured access to air superiority over increasingly contested battlespaces characterized by anti-access/area denial (A2/AD) threats led more generally by rising peer challengers.

Several important factors are driving the market for next-generation fighter jets. Countries are upgrading their fleets to meet the growing demand for advanced air combat capabilities, while the increasing emphasis on 5G connectivity and network-centric warfare is enabling more efficient communication and data sharing between aircraft and ground systems. As countries prioritize cutting-edge technologies to stay ahead of emerging threats, rising investments in defense modernization programs are also driving the market. Innovation and improvements in fighter jet design and capabilities are also being fueled by technological breakthroughs in fields such as autonomous systems, artificial intelligence, and hypersonic capabilities. The market is also expanding due to the need for improved situational awareness, stealth, and precision strike capabilities.

Next Generation Fighter Jet Programs and Strategy Market Overview & Scope:

The Global Next Generation Fighter Jet Programs and Strategy Market is segmented by:

  • Program Name: The market includes major programs such as NGAD (Next Generation Air Dominance), GCAP (Global Combat Air Programme), FCAS/SCAF (Future Combat Air System), AMCA (Advanced Medium Combat Aircraft), and KF-21 Boramae. NGAD program advances Boeing F-47 for superior air dominance with adaptive engines and drone integration, representing the US approach to sixth-generation air superiority. GCAP merges Tempest for collaborative sixth-generation stealth fighter development across the UK, Italy, and Japan, focusing on shared military and industrial base development.
  • Architecture Philosophy: The market segment consists of System-of-Systems (SoS) approaches, Modular Open Systems Architecture (MOSA), and incremental development models. System-of-Systems philosophy predominates, since it can integrate manned platforms with unmanned assets, AI-powered combat clouds, and remote carriers to create comprehensive air dominance networks suited for contested environments. This allows for flexible mission profiles, enhanced survivability, and the integration of various technology generations across the battlespace.
  • Sustainment Phase: The market is segmented as Maintenance and Repairs, Logistics, and others. Logistics represents a critical segment, driven by the need for predictive analytics, digital engineering, AI-enabled diagnostics, and connected logistics systems that enhance readiness, reduce downtime, and increase aircraft availability for next-generation platforms.
  • Region: Geographically, the market is expanding at varying rates depending on the location.

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Key Market Programs

Program Name Participating Countries Program Goals Architecture Philosophy Key Contractors (Prime/Major Partners)
GCAP (Global Combat Air Programme) UK, Italy, Japan Develop a sixth-generation stealth fighter to enter service around 2035, succeeding the Eurofighter Typhoon. Aims for a shared military and industrial base, and a target for export. System-of-Systems (SoS), leveraging AI/ML, Digital Engineering, and integration with unmanned assets (Loyal Wingmen/Remote Carriers). Features an international, collaborative, and digitally enabled approach. BAE Systems (UK), Leonardo S.p.A. (Italy), Mitsubishi Heavy Industries (Japan), Rolls-Royce (UK), IHI Corporation (Japan), Avio Aero (Italy), MBDA (UK/Italy)
FCAS/SCAF (Future Combat Air System / Système de Combat Aérien du Futur) France, Germany, Spain Develop a sixth-generation "System of Systems" to replace the current Rafale and Eurofighter fleets by 2040 and beyond. Aims to maintain European strategic autonomy in combat aviation. System-of-Systems (SoS) concept, centered on the Next-Generation Fighter (NGF), supported by Remote Carriers (unmanned drones), all linked by a secure, AI-powered Combat Cloud (manned-unmanned teaming). Dassault Aviation (France), Airbus (Germany/Spain), Safran (France), MTU Aero Engines (Germany), Indra Sistemas (Spain), MBDA, Thales
NGAD (Next Generation Air Dominance) United States Develop a "Family of Systems" for air superiority, centered on a new sixth-generation crewed fighter (designated F-47) to succeed the F-22 Raptor. Designed for the operational needs of the Indo-Pacific theatre. System-of-Systems (SoS) with a Modular Open Systems Architecture (MOSA). Emphasizes digital design, advanced adaptive propulsion (NGAP), and extensive manned-unmanned teaming (MUM-T) using Collaborative Combat Aircraft (CCA). Boeing (Prime contractor for F-47), Lockheed Martin (major contender), General Electric (GE), Pratt & Whitney (for NGAP engine development)
AMCA (Advanced Medium Combat Aircraft) India Develop an indigenous fifth-generation stealth, multi-role fighter for the Indian Air Force. Aims for domestic self-reliance (Aatmanirbharta) in advanced aerospace technology. Fifth-generation stealth platform with supercruise capability, internal weapons bays, and advanced AI-assisted mission support. Involves a shift to a competitive, consortium-led model with significant private sector participation. Aeronautical Development Agency (ADA) / DRDO (Government Lead). Hindustan Aeronautics Limited (HAL) (Key partner). Private players like Larsen & Toubro (L&T), Tata Advanced Systems Ltd (TASL), Adani Defence & Aerospace, and others are competing for consortia roles. Engine component partnership with Safran (France) for the Mk-2 variant.
KF-21 Boramae South Korea (with Indonesia as partner) Develop a 4.5/5th-generation multi-role fighter to replace F-4s and F-5s. The long-term plan (Block III) is to transform it into a full fifth-generation stealth platform with indigenous systems. Incremental development (Blocks I, II, III). Block III aims for full stealth with internal weapons bays, advanced indigenous avionics, and integration with unmanned wingmen via high-capacity datalink. Korea Aerospace Industries (KAI) (Prime Contractor), Hanwha Systems (AESA Radar), Hanwha Aerospace (Engine Development), GE Aviation (Current F414 engines)

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Adoption of Advanced System-of-Systems Architectures

More defense programs are developing System-of-Systems approaches that integrate manned platforms with unmanned assets, AI-powered combat clouds, and remote carriers in an effort to achieve comprehensive air dominance in contested environments. These advancements in architecture are thus a means of availing to the military market the increased demand for networked warfare capabilities and compliance with multi-domain operational requirements, and contribute to reducing vulnerability and enhancing mission effectiveness throughout the battlespace.

Focus on AI and Digital Engineering Integration

Increased emphasis on artificial intelligence and digital engineering technologies is pushing defense contractors into adopting advanced design, testing, and sustainment practices in relation to fighter jet development, including digital twins, predictive maintenance, and AI-enabled diagnostics. This trend thus has implications of reduced development timelines, enhanced operational readiness and increased attractiveness of the market to nations concerned with maintaining technological superiority.

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Next Generation Fighter Jet Programs and Strategy Market Growth Drivers vs. Challenges:

Drivers:

  • Rising Global Defense Modernization: The next-generation fighter jet market is dominated by increasing demand from air forces upgrading aging fourth-generation fleets to advanced fifth and sixth-generation platforms. Nations are significantly investing in stealth technology, sensor fusion, artificial intelligence-enabled avionics, and manned-unmanned teaming capabilities, all of which define the architecture of modern air dominance aircraft. The growth of these modernization programs will result in a growing need for advanced fighter systems, leading to investments in increased capacity and new technologies.
  • Technological Advancements in Fighter Jet Development: Defense contractors are recognising the merits of using System-of-Systems architectures and digital engineering techniques and are increasingly developing such methods for use in the development of next-generation fighters. The application of new techniques will increase combat effectiveness, improve survivability and end up with more capable air dominance platforms. These advancements in turn allow the new fighter programs to manufacture various systems for air superiority, for networked warfare, for multi-domain operations, etc. New techniques will also enable the companies producing fighter jets to comply with modern security and operational requirements and enable their products to remain competitive.

Challenges:

  • High Development Costs and Budget Constraints: Extremely high research, development, and acquisition costs associated with next-generation fighter programs present significant financial challenges and can complicate international partnerships and procurement decisions.

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Next Generation Fighter Jet Programs and Strategy Market Regional Analysis:

  • The Americas: the US: The growing next generation fighter jet market in the United States is due to the advanced technological capabilities and major defense contractors in the country. The region also has an established industrial base with high demand from the Air Force and Navy for air superiority capabilities. Defense companies in the United States will continue adopting new System-of-Systems architectures and digital engineering technology in order to increase combat effectiveness and produce high-performance fighters, while also having to meet stringent budget and timeline requirements. These companies will increase their production capabilities in response to government actions stimulating defense modernization and technological innovation. The United States will remain a leading world supplier of fighter jet technology and systems because of expanding operational requirements and new investments in defense programs.

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Next Generation Fighter Jet Programs and Strategy Market Scope:

Report MetricDetails
Growth RateDuring the projected period
Study Period2020 to 2030
Historical Data2020 to 2023
Base Year2024
Forecast Period2025 – 2030
Forecast Unit (Value)Billion
SegmentationSoftware Development, Integration Phase, Testing Phase, Geography
List of Major Companies in Global Next Generation Fighter Jet Programs and Strategy Market
  • RTX Corporation
  • Lockheed Martin Corporation
  • BAE Systems plc
  • Northrop Grumman
  • General Dynamics
Customization ScopeFree report customization with purchase

Next Generation Fighter Jet Programs and Strategy Market Segmentation:

  • By Software Development
    • On-Aircraft System
      • Core Platform
      • HMI
      • Crossdomain Solutions
      • Mission System
      • Vehicle Management System
      • Others
    • Off-Aircraft System
      • Mission Planning System
      • Logistics Information System
      • Digital Twin
      • Training and Simulation
      • Predictive Maintenance
      • Others
  • By Integration Phase
    • Lab-Based Integration
      • Systems Integration Labs (SIL)
      • Hardware-in-the-Loop (HIL)
      • Weapons Integration
    • Ground Integration
      • EMIEMC Testing
      • Ground Vibration Test
      • Others
  • By Testing Phase
    • Development Flight Test
    • Operation Test and Certification
  • By Operation Phase
    • Flight
    • Mission Planning and Brief
    • Training
    • Deployment
  • By Sustainment Phase
    • Maintenance and Repairs
    • Logistics
    • Others
  • By Upgrade Phase
    • Software
    • Hardware Components
  • By Geography
    • Americas
      • USA
    • Europe Middle East and Africa
      • Russia
      • France
      • Turkey
      • Sweden
      • Italy
      • United Kingdom
      • Belgium
    • Asia Pacific
      • China
      • Japan
      • South Korea
      • India

Table Of Contents

1. Executive Summary

2. Market Snapshot

2.1. Market Overview

2.2. Market Definition

2.3. Scope of the Study

2.4. Market Segmentation

3. Business Landscape

3.1. Market Drivers

3.2. Market Restraints

3.3. Market Opportunities

3.4. Porter's Five Forces Analysis

3.5. Industry Value Chain Analysis

3.6. Policies and Regulations

3.7. Strategic Recommendations

3.8. Combat Programs

3.8.1. GCAP (Global Combat Air Programme)

3.8.2. FCAS/ SCAF (Future Combat Air System)

3.8.3. Eurofighter Typhoon

3.8.4. Rafale

3.8.5. Gripen E/F

3.8.6. Mikoyan PAK DP

3.8.7. NGAD (Next Generation Air Dominance)

3.8.8. AMCA (Advanced Medium Combat Aircraft)

3.8.9. KF-21EX

3.8.10. TAI TF Kaan

4. Technological Outlook

5. Global Next Generation Fighter Jet Programs and Strategy Analysis By Software Development (2020-2035)

5.1. Introduction

5.2. On-Aircraft System

5.2.1. Core Platform

5.2.2. HMI

5.2.3. Crossdomain Solutions

5.2.4. Mission System

5.2.5. Vehicle Management System

5.2.6. Others

5.3. Off-Aircraft System

5.3.1. Mission Planning System

5.3.2. Logistics Information System

5.3.3. Digital Twin

5.3.4. Training and Simulation

5.3.5. Predictive Maintenance

5.3.6. Others

6. Global Next Generation Fighter Jet Programs and Strategy Analysis By Integration Phase (2020-2035)

6.1. Introduction

6.2. Lab-Based Integration

6.2.1. Systems Integration Labs (SIL)

6.2.2. Hardware-in-the-Loop (HIL)

6.2.3. Weapons Integration

6.3. Ground Integration

6.3.1. EMIEMC Testing

6.3.2. Ground Vibration Test

6.3.3. Others

7. Global Next Generation Fighter Jet Programs and Strategy Analysis By Testing Phase (2020-2035)

7.1. Introduction

7.2. Development Flight Test

7.3. Operation Test and Certification

8. Global Next Generation Fighter Jet Programs and Strategy Analysis By Operation Phase (2020-2035)

8.1. Introduction

8.2. Flight

8.3. Mission Planning and Brief

8.4. Training

8.5. Deployment

9. Global Next Generation Fighter Jet Programs and Strategy Analysis By Sustainment Phase (2020-2035)

9.1. Introduction

9.2. Maintenance and Repairs

9.3. Logistics

9.4. Others

10. Global Next Generation Fighter Jet Programs and Strategy Analysis By Upgrade Phase (2020-2035)

10.1. Introduction

10.2. Software

10.3. Hardware Components

11. Global Next Generation Fighter Jet Programs and Strategy Analysis By Geography (2020-2030)

11.1. Introduction

11.2. Americas

11.2.1. USA

11.3. Europe Middle East and Africa

11.3.1. Russia

11.3.2. France

11.3.3. Turkey

11.3.4. Sweden

11.3.5. Italy

11.3.6. United Kingdom

11.3.7. Belgium

11.4. Asia Pacific

11.4.1. China

11.4.2. Japan

11.4.3. South Korea

11.4.4. India

12. Strategic Domain And Opportunity Assessment (TAM, SAM and SOM)

12.1.1. Sensor Fusion

12.1.1.1. Military Application

12.1.1.1.1. UAVs

12.1.1.2. Civil Application

12.1.1.2.1. Autonomous Vehicles

12.1.1.2.2. Structural Health Monitoring

12.1.1.2.3. Natural Disaster Management

12.1.2. C4ISR

12.1.2.1. Military Application

12.1.2.1.1. Joint All-Domain Command and Control (JADC2)

12.1.2.2. Civil Application

12.1.2.2.1. BFSI

12.1.2.2.2. Public Safety

12.1.2.2.3. Emergency Management

12.1.3. Cloud Computing

12.1.3.1. Military Application

12.1.3.1.1. Satellites

12.1.3.2. Civil Application

12.1.3.2.1. IoT

12.1.3.2.2. Smart Cities

12.1.4. Digital Twin

12.1.4.1. Military Application

12.1.4.1.1. Navy Fleet

12.1.4.2. Civil Application

12.1.4.2.1. Infrastructure

12.1.5. Logistics

12.1.5.1. Military Application

12.1.5.1.1. Disaster Relief

12.1.5.2. Civil Application

12.1.5.2.1. Shipping

13. Competitive Environment and Analysis

13.1. Major Players and Strategy Analysis

13.2. Market Share Analysis

13.3. Mergers, Acquisitions, Agreements, and Collaborations

13.4. Competitive Dashboard

14. Company Profiles

14.1. RTX Corporation

14.2. Lockheed Martin Corporation

14.3. BAE Systems plc

14.4. Northrop Grumman

14.5. General Dynamics

14.6. General Electric Aerospace (General Electric)

14.7. Rolls-Royce Holdings plc

14.8. Safran S.A.

14.9. MBDA Inc.

14.10. Indra Sistemas, S.A.

15. Research Methodology

List of Figures

List of Tables

Companies Profiled

RTX Corporation

Lockheed Martin Corporation

BAE Systems plc

Northrop Grumman

General Dynamics

General Electric Aerospace (General Electric)

Rolls-Royce Holdings plc

Safran S.A.

MBDA Inc.  

Indra Sistemas, S.A.    

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