The Military and Aerospace markets remain an integral part of the overall semiconductor industry thanks to the high levels of innovation that take place and the propensity for long term and lucrative contracts. However, a sustained trend of reduced military spending around the world will work to keep sales growth in this industry somewhat minimal.  This report provides a comprehensive look at the semiconductor demand in the military and aerospace segment of the industrial market.  Forecast for revenue, units, and pricing are provided.  Regional forecasts are provided along with product forecast, OEM market share and IDM market share.

Although generally considered a more niche market, the military and aerospace industries remain a reliable revenue source with considerable room for growth for IC suppliers. These industries are generally considered to be far less susceptible to the ups and downs of the commercial and industrial markets, which is pushed by a steady stream of government spending fueled by the ongoing war efforts in the Middle East and the ever-present need for newer and better technology.

 Even so, U.S. president Barack Obama has called for massive reductions in defense spending in recent months, cutting as much as $400 billion in defense spending over the next decade, in a major effort to help reduce the soaring U.S. deficit. Still, there are some areas of emerging military strength the U.S. will seek to foster, including unmanned robotic technologies.

 The semiconductor distributors who choose to play in this space are adapting to several sustained market trends, the most notable of which include a renewed focus on reliability, shorter business cycles, and demand for the latest commercial so-called "off-the-shelf" solutions, in which the end customer purchases and modifies a system instead of buying the custom components to build that same system. All of these trends must still take place while simultaneously operating within the tighter budget constraints put upon by government organizations

The dominant military suppliers include a small list of big contract suppliers such as Lockheed Martin, Northrop Grumman, EADS, Boeing, Raytheon, BAE Systems, General Dynamics, L-3 Communications, and United Technologies. The aerospace sector is similarly controlled by a just a few top market holders including Lockheed Martin, Northrop Grumman, Boeing, and Airbus. 

TABLE OF CONTENTS

Significant Findings
   Military and Aerospace Industry
   Military and Aerospace Electronics Market
   Military and Aerospace Semiconductor Market
 
Regional Forecast
   Americas
   Europe
   Japan
   China
   Other
         Russia
         India
 
Production Forecast
   Discretes
   Optoelectronics
   Sensors
   Analog
   MPU
   MCU
   DSP
   Logic
   Memory
 
Military and Aerospace OEMs
   Lockheed Martin
   Raytheon
   Boeing
   EADS/Airbus
   General Dynamics
   Northrop Grumman
 
Suppliers
Microsemi
Xilinx
Altera
Intel
Infineon Technologies
 
Methodology
 
Databeans Market and Product Segmentation Definitions
Market Segmentation
Automotive
Computers
Consumer
Communications
Industrial

LIST OF FIGURES
Figure 1: 2003 – 2011 US Department of Defense Budget
Figure 2:  Worldwide Mil/Aero Electronics Revenue Forecast by Market Segment
Figure 3:  2011 Worldwide Mil/Aero Electronics Revenue Share by Market Segment
Figure 4:  2011 Worldwide Mil/Aero Electronics Revenue Share by Sector
Figure 5:  Worldwide Mil/Aero Electronics Revenue Forecast by Sector
Figure 6:  2011 US Mil/Aero Electronics Revenue Share by Sector
Figure 7:  US Mil/Aero Electronics Revenue Forecast by Sector
Figure 8:  Worldwide Mil/Aero Semiconductor Market Forecast (Revenue, Units, and ASPs)
Figure 9:  Worldwide Mil/Aero Semiconductor Revenue Forecast by Product Class
Figure 10:  2011 and 2016 Worldwide Mil/Aero Semiconductor Revenue Share by Product Class
Figure 11:  2011 Worldwide Mil/Aero Semiconductor Revenue Share by Region
Figure 12:  Worldwide Mil/Aero Semiconductor Revenue Forecast by Region
Figure 13:  Americas Mil/Aero Semiconductor Revenue Forecast
Figure 14:  Europe Mil/Aero Semiconductor Revenue Forecast
Figure 15:  Japan Mil/Aero Semiconductor Revenue Forecast
Figure 16:  China Mil/Aero Semiconductor Revenue Forecast
Figure 17:  ROW Mil/Aero Semiconductor Revenue Forecast
Figure 18:  2011 Worldwide Mil/Aero Semiconductor Revenue Share by Product Category
Figure 19:  Worldwide Mil/Aero Discretes Market Forecast (Revenue, Units, and ASPs)
Figure 20:  Worldwide Mil/Aero Optoelectronics Market Forecast (Revenue, Units, and ASPs)
Figure 21:  Worldwide Mil/Aero Sensors Market Forecast (Revenue, Units, and ASPs)
Figure 22:  Worldwide Mil/Aero Analog Market Forecast (Revenue, Units, and ASPs)
Figure 23:  Worldwide Mil/Aero MPU Market Forecast (Revenue, Units, and ASPs)
Figure 24:  Worldwide Mil/Aero MCU Market Forecast (Revenue, Units, and ASPs)
Figure 25:  Worldwide Mil/Aero DSP Market Forecast (Revenue, Units, and ASPs)
Figure 26:  Worldwide Mil/Aero Logic Market Forecast (Revenue, Units, and ASPs)
Figure 27:  Worldwide Mil/Aero Memory Market Forecast (Revenue, Units, and ASPs)
Figure 28:  2010 Worldwide Mil/Aero Electronics Revenue Share by OEM
Figure 29:  2010 Worldwide Mil/Aero Semiconductor Revenue Share by Supplier

LIST OF TABLES
Table 1:  US Department of Defense Budget
Table 2:  Worldwide Mil/Aero Electronics Revenue Forecast by Market Segment
Table 3:  Worldwide Mil/Aero Electronics Revenue Forecast by Sector
Table 4:  US Mil/Aero Electronics Revenue Forecast by Sector
Table 5:  Worldwide Mil/Aero Semiconductor Market Forecast (Revenue, Units, and ASPs)
Table 6:  Worldwide Mil/Aero Semiconductor Revenue Forecast by Product Class
Table 7:  Worldwide Mil/Aero Semiconductor Revenue Forecast by Region
Table 8:  2010 European Military Spending by Country
Table 9:  2006-2010 Global Arms Exports by Country and Recipient Country
Table 10:  Worldwide Mil/Aero Semiconductor Revenue Forecast by Product
Table 11:  Worldwide Mil/Aero Semiconductor Shipment Forecast by Product
Table 12:  Worldwide Mil/Aero Semiconductor Revenue Forecast by Product Category
Table 13:  Worldwide Mil/Aero Semiconductor Shipment Forecast by Product Category
Table 14:  Worldwide Mil/Aero Semiconductor ASP Forecast by Product Category
Table 15:  Worldwide Mil/Aero Discretes Market Forecast (Revenue, Units, ASPs)
Table 16:  Worldwide Mil/Aero Optoelectronics Market Forecast (Revenue, Units, ASPs)
Table 17:  Worldwide Mil/Aero Sensors Market Forecast (Revenue, Units, ASPs)
Table 18:  Worldwide Mil/Aero Analog Market Forecast (Revenue, Units, ASPs)
Table 19:  Worldwide Mil/Aero MPU Market Forecast (Revenue, Units, ASPs)
Table 20:  Worldwide Mil/Aero MCU Market Forecast (Revenue, Units, ASPs)
Table 21:  Worldwide Mil/Aero DSP Market Forecast (Revenue, Units, ASPs)
Table 22:  Worldwide Mil/Aero Logic Market Forecast (Revenue, Units, ASPs)
Table 23:  Worldwide Mil/Aero Memory Market Forecast (Revenue, Units, ASPs)
Table 24: 2010 and 2009 Worldwide Mil/Aero Electronics Revenue Share by OEM
Table 25: 2010 and 2009 Worldwide Mil/Aero Semiconductor Revenue Share by Supplier