Dublin, Jan. 15, 2026 (GLOBE NEWSWIRE) — The “Military Vehicle Simulations Market Report 2026” has been added to ResearchAndMarkets.com’s offering.
The military vehicle simulations market has witnessed robust growth, with projections indicating a rise from $5.22 billion in 2025 to $5.65 billion in 2026 at a CAGR of 8.2%. This growth is driven by factors such as the adoption of simulation-based training to cut operational costs, a surge in demand for realistic cabin replicas, and advancements in visual display systems that enhance training realism. Additionally, the expansion of defense training programs is necessitating scalable simulation platforms for effective training under various battlefield conditions.
Looking ahead, the market is expected to grow to $7.67 billion by 2030 at a CAGR of 7.9%. Key growth drivers include the integration of artificial intelligence for adaptive simulation training and increased investment in virtual and augmented reality technologies. Simulation-based assessments for modernized military fleets are also contributing to this trend. Major market trends include a shift towards cost-effective synthetic training environments, significance on interoperability, and customized scenarios aligned with national doctrines.
Geopolitical tensions are significantly boosting the military vehicle simulations market. Disputes over critical resources heighten the need for strategic readiness, facilitated by realistic training environments. According to a December 2024 report by the International Institute for Strategic Studies (IISS), violent event fatalities increased by 37% from July 2023 to June 2024, underscoring the need for simulations to prepare for complex defense challenges without escalating conflicts.
Strategic alliances are a focal point for leading companies in this market to streamline operations and cut costs. For instance, Rheinmetall AG partnered with Bohemia Interactive Simulations in January 2025 to advance next-gen defense training technologies, offering scalable and interoperable solutions across various mission profiles. Such collaborations are pivotal for innovation in synthetic training.
In August 2025, Applied Virtual Simulation Pty Ltd acquired AFV Sim, aiming to boost defense simulation capabilities by integrating AFV Sim’s expertise in armored vehicle control systems. This acquisition is set to expand AVS’s production capacity and enhance global reach and customer support. Major players in the market include Raytheon Technologies Corp., Boeing Co., Lockheed Martin Corporation, and others.
Asia-Pacific was the largest region in the military vehicle simulations market in 2025, with other regions covered including South East Asia, Western Europe, North America, and more. The market is influenced by global trade relations and tariffs, which impact costs and lead times, particularly in the high-fidelity platforms segment. However, these challenges are prompting regional supply chain strategies to strengthen local simulation ecosystems.
The market encompasses revenues from services like training systems integration and performance analysis. The market value includes the sale of visual display systems, vehicle cabin replicas, and related technologies. This comprehensive market report provides valuable insights into the current and future outlook of the military vehicle simulations industry.
The countries covered in this market report include Australia, Brazil, China, Germany, India, Japan, the USA, and more. The market’s defined value represents revenues from goods and services within the specified geography, with consumption values denoting revenues generated by organizations operating within these regions.
Report Scope:
- Markets Covered: Military vehicle simulation platforms and systems, maintenance, and varied applications.
- Vehicle Types: Armored Vehicles, Trucks, Tanks, Tactical Vehicles, Reconnaissance Vehicles.
- Technologies: AI, AR, VR, Cloud Simulation, Data Analytics.
- Applications: Training, Mission Planning, Operational Support, R&D.
- End Users: Defense Forces, Government, Contractors, Educational Institutions, Research Organizations.
- Countries: Includes Australia, Brazil, China, France, Germany, India, Japan, USA, among others.
- Regions: Asia-Pacific, Europe, Americas, Middle East, and Africa.
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 250 |
| Forecast Period | 2026 – 2030 |
| Estimated Market Value (USD) in 2026 | $5.65 Billion |
| Forecasted Market Value (USD) by 2030 | $7.67 Billion |
| Compound Annual Growth Rate | 7.9% |
| Regions Covered | Global |
Companies Featured
- Raytheon Technologies Corp.
- Boeing Co.
- Lockheed Martin Corporation
- General Dynamics Corp.
- Northrop Grumman Corp.
- Collins Aerospace Companies
- BAE Systems plc
- Thales Group
- L3Harris Technologies Inc.
- Leonardo S.p.A.
- ST Engineering Ltd.
- Rheinmetall AG
- Israel Aerospace Industries Ltd.
- Saab AB
- CAE Inc.
- FlightSafety International Inc.
- Arotech Corporation
- FAAC Incorporated
- Frasca International Inc.
- AVT Simulation Inc.
For more information about this report visit https://www.researchandmarkets.com/r/dxgbv6
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- Military Vehicle Simulations Market
