Top 10 Aerospace and Defense Software Vendors, Market Size and Market Forecast 2020-2025

Worldwide Aerospace and Defense Applications Market to reach $6 billion by 2025, compared with $5.34 billion in 2020 at a compound annual growth rate of 2.3%.

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In 2020, the top 10 Aerospace and Defense software vendors accounted for 53% of the global Aerospace and Defense applications market which grew 0.9% to approach nearly $5.34 billion in license, maintenance and subscription revenues.

Dassault Systemes led the pack with an 8.7% market share riding on a 5.5% jump in Aerospace and Defense license, maintenance and subscription revenues. Microsoft was #2, followed by Autodesk, Cadence Design Systems, and Siemens PLM Software.

We ask the simple question: Who’s buying Aerospace and Defence applications from whom and why? And we provide the answers – supported by decades of research – to our clients around the world. (Sample from our Apps Database)

Top 10 Aerospace and Defense Software Vendors, Market Size and Market Forecast 2020-2025
Exhibit 1 – 2020 Aerospace and Defence Applications Market Shares Split By Top 10 Aerospace and Defence Vendors and Others

Through our forecast period, the Aerospace and Defense applications market size is expected to reach $6 billion by 2025, compared with $5.34 billion in 2020 at a compound annual growth rate of 2.3%.

Exhibit 2: Worldwide Aerospace and Defense Software Market 2020-2025 Forecast, $M
Year202020252020-2025 CAGR, %
Total534159772.3%

Source: Apps Run The World, December 2021

Top 10 Aerospace and Defense Software vendors

Aerospace and Defense (Aircraft and parts, defense contractors) – Aviation Maintenance Management, Air Traffic Management applications, Flight operations software, Quality management system, Financials, HR, Procurement

Legacy replacements could spur growth in the A&D market, but cybersecurity risks may prevent A&D firms from embracing the Cloud in its current form. Still GE Digital is pushing ahead with Cloud initiatives like Predix to reshape the A&D market with device connectivity solutions for predictive maintenance.

Here are the rankings of the top 10 Aerospace and Defense applications vendors in 2020 and their market shares.

RankVendor2019 Aerospace & Defense Apps Revenues, $M2020 Aerospace & Defense Apps Revenues, $MYoY Growth2020 Aerospace & Defense Market Share, %Recent Developments
1Dassault Systemes Subscribe Subscribe5.5% SubscribeAcross the Aerospace & Defense industry, rising customer expectations (lower costs, higher standards and increase capabilities) along with growing program complexity make it more challenging to compete. As systems become more complex to design, build and deliver, OEMs and suppliers need to accelerate innovation, drive efficiencies and move to the factory of the future to allow for greater agility on production rate. This requires a new way to conceptualize, design, manufacture, test, certify and sustain new air and space vehicles.
2Microsoft Subscribe Subscribe9.1% SubscribeMicrosoft made a unique partnership with the U.S. Army, which recently awarded the company a contract to produce mixed-reality headsets based on Microsoft’s HoloLens technology. The devices, using what is called the Integrated Visual Augmentation System (IVAS), will allow soldiers to see through smoke and around corners, use holographic imagery for training, and have 3D terrain maps projected onto their field of vision at the click of a button. By February 2021, the team had collected almost 80,000 hours of soldier feedback, including four rounds of testing within a six-month period during the COVID-19 pandemic. The group used Microsoft Teams to meet and share documents and Microsoft’s Power BI data visualization tool to track the status of the project.
3Autodesk Subscribe Subscribe17.8% SubscribeThe Autodesk suite is the ideal choice for aerospace companies willing to move their manufacturing plants towards a smart-factory setup. The whole software suite is integrated with the Internet of Things via Autodesk’s Fusion Production software, which collects real-time data from various nodes throughout factory floors, identifies errors, updates its cloud-based database, and gives quick access to information to users. Currently, Autodesk has 4,000 desktop developers, and they hope to draw many of them into the cloud in addition to attracting new ones.
4Cadence Design Systems Subscribe Subscribe15.7% SubscribeIn January 2020 Cadence has acquired AWR Corporation from National Instruments Corporation. The addition of AWR’s technologies and talent will further expand Cadence’s reach into 5G RF communications and support system innovation for the aerospace and defense, automotive, and wireless market segments.
5Siemens PLM Software Subscribe Subscribe8.0% SubscribeDigital Thread for Defense is already in use by the U.S. Air Force (USAF) to support current and future programs, having awarded Siemens Government Technologies a $24.6M contract for Teamcenter® software, a foundation of the Xcelerator portfolio and Digital Thread for Defense. The Air Force Product Lifecycle Management Capability Support Office will rely on Teamcenter for its open architecture, interoperability and use by aerospace and defense industry partners across a multitude of Air Force programs.
6Ansys Inc. Subscribe Subscribe10.6% SubscribeThe acquisition of LST, Ansys empowers its customers to solve a new class of engineering challenges, including developing safer automobiles, aircraft, and trains while reducing or even eliminating the need for costly physical testing. Additionally, Ansys acquired Dynardo, Helic, and DfR.
7Synopsys Subscribe Subscribe9.3% SubscribeIn November 2021, in order to enrich its silicon lifecycle management solution with real-time, in-field optimization technologies, Synopsys acquired Concertio Inc., a provider of AI-powered performance optimization software. The acquisition is another step in the continued enhancement of the Synopsys SiliconMAX™ Silicon Lifecycle Management (SLM) Platform.
8Lufthansa Systems Subscribe Subscribe2.0% SubscribeIn August 2020, Lufthansa Systems launched the New Demand Indicators (NDI) Dashboard, a web-based solution that displays schedule insights, weekly market size updates, and current travel restrictions through an intuitive and user-friendly interface. The newly developed NDI Dashboard enables businesses operating in the aviation industry to analyze and evaluate ever-changing supply and demand trends. Based on comprehensive information on scheduled vs. flown flights, supply-driven market size estimates, and COVID-19 travel restrictions, decision-makers are able to make smart data-driven choices when rebuilding airline networks in the recovery phase.
9SAP Subscribe Subscribe2.2% SubscribeSAP Business One is ERP for the aerospace industry that helps you deliver products on time by carefully managing the supply chain. It uses cloud technology to store all the data which can be easily accessed by the user instantly. It also breaks the ever-lasting myth about inefficient security in storing the data online via the cloud with impregnable security built specifically for defense and classified data. Around 41% of the companies in the industry are still following the traditional ERP systems, therefore, getting ahead in the market by adapting and switching over to SAP Business One helps to cut down costs by a minimum of 10%.
10Salesforce Subscribe Subscribe9.8% SubscribeSalesforce shored up its presence in the enterprise applications market during the pandemic as it became the de-facto Customer 360 champion because hundreds of thousands of its customers that have already adopted its Sales Force Automation as well as Customer Service and Support apps found themselves doubling down their investments to fully automate their digital operations with help from Salesforce.
Subtotal Subscribe Subscribe9.3% Subscribe
Other Subscribe Subscribe-7.2% Subscribe
Total529553420.9%100%

Source: Apps Run The World, December 2021

Other Aerospace and Defence software providers included in the report are: ADP, AerData B.V., Altair Engineering, Inc., Amadeus, AMT-SYBEX’s Leasepoint, AVEVA Group, Bentley Systems Inc., Boeing Jeppesen, Cegid Cisco Systems, Citrix, Corel Corporation, CoStar Group, E2open, LLC, GE Digital, Gerber Technology, GFI Informatique Google, Hitit Bilgisayar, Honeywell International, Emerging Technologies, IBM, IBS Software Services, IFS, Infor, Intuit Inc., JDA Software Group, Inc., Kinaxis Inc., Landmark, a Halliburton business line, Mentor, a Siemens Business, Nuance Communications Inc., Open Text Corporation Oracle, Qualtrics, RingCentral, Rockwell Automation, Roper Technologies, Inc., Saab Sensis, Sage, Salesforce, SAS Institute, ServiceNow, Shopify, SITA, SupplyOn, Trimble Workday and many others.

Custom data cuts related to the Aerospace and Defense Applications market are available:

  • Top 500 Aerospace and Defense Applications Vendors and Market Forecast 2020-2025
  • 2020 Aerospace and Defense Applications Market By Functional Market (16 Markets)
  • 2020 Aerospace and Defense Applications Market By Country (USA + 45 countries)
  • 2020 Aerospace and Defense Applications Market By Region (Americas, EMEA, APAC)
  • 2020 Aerospace and Defense Applications Market By Revenue Type (License, Services, Hardware, Support and Maintenance, Cloud)
  • 2020 Aerospace and Defense Applications Market By Customer Size (revenue, employee count, asset)
  • 2020 Aerospace and Defense Applications Market By Channel (Direct vs Direct)
  • 2020 Aerospace and Defense Applications Market By Product

Exhibit 4 shows our projections for the enterprise applications market by vertical segment, based on the buying preferences and the customer propensity to invest in new software within those industries as they continue to upgrade and replace many legacy industry-specific applications that have been identified and tracked in our Buyer Insight Database.

Exhibit 4 - Worldwide Enterprise Applications Market Forecast 2020-2025, By Vertical Market, $M
Exhibit 4 – Worldwide Enterprise Applications Market Forecast 2020-2025, By Vertical Market, $M

Aerospace and Defense Software Purchases Win/Loss Analysis As Part Of Enterprise Applications Buyer Insight Customer Database

On the buyer side, customers are investing in Aerospace and Defense systems based on new features and capabilities that are expected to replace their existing legacy systems. In many cases, competitive upgrades and replacements that could have a profound impact on future market-share changes will become more widespread.

Since 2010, our global team of researchers have been studying the patterns of the latest Aerospace and Defense software purchases by customers around the world, aggregating massive amounts of data points that form the basis of our forecast assumptions and perhaps the rise and fall of certain vendors and their products on a quarterly basis.

Updated continuously, our database features extensive win/loss analysis. Each year our research team identifies tens of thousands of these customer Aerospace and Defense wins and losses from public and proprietary sources.

The research results are being incorporated into regular updates in our Enterprise Applications Buyer Insight Customer Database. You can access the Quarterly Win/Loss Analysis Scoreboard and our Enterprise Applications Buyer Insight Customer Database by becoming a subscriber.

CustomerIndustryEmpl.RevenueCountryVendorNew ProductCategory
Bell FlightAerospace and Defense35000$13.60BUnited StatesAnsys Inc.ANSYS FENSAP-ICE2D/3D Simulation
ChermingAerospace and Defense2453$414.0MUnited KingdomAnsys Inc.ANSYS HFSSElectromagnetic Field Simulation
L3Harris Technologies (Harris Corporation and L3 Technologies)Aerospace and Defense48000$18.19BUnited StatesAnsys Inc.ANSYS IcepakComputational Fluid Dynamics (CFD)
MoogAerospace and Defense12809$2.91BUnited StatesAnsys Inc.ANSYS MotionMultibody Dynamic
General Dynamics CorporationAerospace and Defense100000$36.19BUnited StatesAnsys Inc.ANSYS LS-DYNAMaterial Simulation
Dassault AviationAerospace and Defense12757$8.76BFranceDassault SystemesDassault 3DEXPERIENCE PlatformProject Portfolio Management
Turkish Aerospace IndustriesAerospace and Defense5254$1.00BTurkeyDassault SystemesDassault 3DEXPERIENCE PlatformProject Portfolio Management
Safran Transmission SystemsAerospace and Defense1350$540.0MFranceDassault SystemesDassault Enovia PLMProduct Lifecycle Management
Babcock Mission Critical Services Offshore LimitedAerospace and Defense32409$5.72BUnited KingdomIFS Industrial and Financial Systems ABIFS ERPERP Financial
Senior Aerospace BWTAerospace and Defense500$105.0MUnited KingdomInforInfor CloudSuite Industrial (Syteline)Manufacturing ERP
RyanairAerospace and Defense15000$1.90BIrelandLufthansa Systems AGLufthansa Systems Lido/FlightFlight Management
American Airlines Group Inc.Aerospace and Defense117400$17.34BUnited StatesMicrosoftMicrosoft 365Collaboration
Remington Arms CompanyAerospace and Defense3500$950.0MUnited StatesMicrosoftMicrosoft 365Collaboration
General Dynamics Mission SystemsAerospace and Defense13000$2.36BUnited StatesMicrosoftMicrosoft 365Collaboration
Lockheed Martin CorporationAerospace and Defense114000$65.40BUnited StatesMicrosoftMicrosoft Dynamics 365 for Customer ServiceCustomer Support
Axon Enterprise, IncAerospace and Defense1323$531.0MUnited StatesMicrosoftMicrosoft Dynamics 365 for Finance and OperationsERP Financial
Raytheon AustraliaAerospace and Defense1500$539.0MAustraliaMicrosoftMicrosoft Dynamics 365 for Finance and OperationsERP Financial
Spirit AeroSystems Holdings, Inc.Aerospace and Defense14500$3.40BUnited StatesMicrosoftMicrosoft Power BIAnalytics and BI
The Boeing CompanyAerospace and Defense141000$58.16BUnited StatesMicrosoftMicrosoft Power BIAnalytics and BI
Solairus AviationAerospace and Defense1500$200.0MUnited StatesOracleOracle Cloud ERPERP Financial
GE AviationAerospace and Defense40000$22.04BUnited StatesOracleOracle Cloud ERPERP Financial
AWE PLCAerospace and Defense6000$1.20BUnited KingdomOracleOracle Cloud ERPERP Financial
Cobham PlcAerospace and Defense10000$2.64BUnited KingdomOracleOracle Cloud ERPERP Financial
Bell FlightAerospace and Defense35000$13.60BUnited StatesSalesforceSalesforce Sales CloudSales Automation,Sales Engagement
Axon Enterprise, IncAerospace and Defense1323$531.0MUnited StatesSalesforceSalesforce Sales CloudSales Automation,Sales Engagement
CAE Inc.Aerospace and Defense10000$2.82BCanadaSalesforceSalesforce Sales CloudSales Automation,Sales Engagement
FinnairAerospace and Defense6790$4.28BFinlandSalesforceSalesforce Sales CloudSales Automation,Sales Engagement
The Boeing CompanyAerospace and Defense141000$58.16BUnited StatesSalesforceSalesforce Service CloudCustomer Support
Northrop Grumman CorporationAerospace and Defense300$203.0MUnited KingdomSalesforceSalesforce Service CloudCustomer Support
SITAAerospace and Defense4468$2.00BSwitzerlandSalesforceSalesforce Marketing CloudMarketing Automation
FinnairAerospace and Defense6790$4.28BFinlandSalesforceSalesforce Marketing CloudMarketing Automation
Northrop Grumman CorporationAerospace and Defense300$203.0MUnited KingdomSalesforceSalesforce Marketing CloudMarketing Automation
QinetiQAerospace and Defense6890$1.78BUnited KingdomSAPSAP S/4 HANAERP Financial
BAE SystemsAerospace and Defense31900$11.40BUnited StatesSAPSAP S/4 HANAERP Financial
AVIATARAerospace and Defense23219$6.44BGermanySAPSAP S/4 HANAERP Financial
The Aerospace CorporationAerospace and Defense4010$105.3MUnited StatesSAPSAP S/4 HANAERP Financial
RyanairAerospace and Defense15000$1.90BIrelandSAPSAP SuccessFactors Employee CentralCore HR
BAE SystemsAerospace and Defense31900$11.40BUnited StatesSAPSAP SuccessFactors Employee CentralCore HR
BWX Technologies, Inc.Aerospace and Defense6450$1.89BUnited StatesSAPSAP SuccessFactors Employee CentralCore HR
Babcock Mission Critical Services Offshore LimitedAerospace and Defense32409$5.72BUnited KingdomSiemens PLM SoftwareSiemens NXProduct Lifecycle Management
ArianeGroupAerospace and Defense9000$3.27BFranceSiemens PLM SoftwareSiemens TeamcenterProduct Lifecycle Management
Turkish Aerospace IndustriesAerospace and Defense5254$1.00BTurkeySiemens PLM SoftwareSiemens TeamcenterProduct Lifecycle Management
Lockheed Martin CorporationAerospace and Defense114000$65.40BUnited StatesTableau SoftwareTableauAnalytics and BI
The Boeing CompanyAerospace and Defense141000$58.16BUnited StatesTableau SoftwareTableauAnalytics and BI

Source: Apps Run The World, December 2021

Further Readings

An expanded version of this report covers the top 500+ Aerospace and Defense Software Vendors, offering in-depth analysis of the market dynamics, vendors’ Strengths, Customers, Opportunities, Risks and Ecosystems as well as their ability to gain Shares (SCORES) within their respective space. We also offer win-loss analysis of the quarterly wins of these top vendors and whether incumbents and upstarts pose any real threat to their standing amid shifting market requirements and user preferences.

More Enterprise Applications Research Findings

Based on the latest annual survey of 3,000+ enterprise software vendors, Apps Run The World is releasing a number of dedicated reports, which profile the world’s 500 largest Enterprise Applications Vendors (Apps Top 500) and the world’s 500 largest Cloud Applications Vendors (Cloud Top 500) ranked by their 2015-2020 product revenues.

Their 2020 results are being broken down, sorted and ranked across 16 functional areas (from Analytics to Treasury and Risk Management) and by 21 vertical industries(from Aerospace to Utility), as shown in our Taxonomy. Further breakdowns by subvertical, country, company size, etc. are available as custom data cuts per special request.

Research Methodology

Each year our global team of researchers conduct an annual survey of thousands of enterprise software vendors by contacting them directly on their latest quarterly and annual revenues by country, functional area, and vertical market.

We supplement their written responses with our own primary research to determine quarterly and yearly growth rates, In addition to customer wins to ascertain whether these are net new purchases or expansions of existing implementations.

Another dimension of our proactive research process is through continuous improvement of our customer database, which stores more than one million records on the enterprise software landscape of over 100,000 organizations around the world.

The database provides customer insight and contextual information on what types of enterprise software systems and other relevant technologies are they running and their propensity to invest further with their current or new suppliers as part of their overall IT transformation projects to stay competitive, fend off threats from disruptive forces, or comply with internal mandates to improve overall enterprise efficiency.

The result is a combination of supply-side data and demand-generation customer insight that allows our clients to better position themselves in anticipation of the next wave that will reshape the enterprise software marketplace for years to come.