(Gawkwire) – System integration market consists of infrastructure integration services, applications integration services, and consulting. Infrastructure integration services consists of building management system, cloud integration (Infrastructure-as-a-Service (IaaS)), Command and Control (C2)/Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance (C4ISR), integrated communication, datacenter infrastructure management, network integration, and other infrastructure integration. Applications integration services include application integration, data integration, unified communication, integrated security software, integrated social software, and other applications integration. Consulting includes application lifecycle management, business transformation, business process integration, and other consulting services. Overall system integration market is a sum of all integration types namely infrastructure integration services, applications integration services, and consulting.
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Application areas of system integration include aviation and marine systems, Banking, Financial Services, and Insurance (BFSI), consumer goods and retail, defense, energy, healthcare, manufacturing, oil and gas, media and entertainment, telecommunication and IT, transportation and logistics, and other verticals.
The C2/C4ISR market is expected to account for the largest market share during the period 2013–2018. C2/C4ISR unit is a central hub, which controls and monitors the mechanical and electrical equipments such as emergency management systems, control units, middle-wares, and others. It integrates components such as command, control, communications, computers, intelligence, surveillance and reconnaissance. Major markets for C2/C4ISR offerings such as the U.S. are expected to prioritize their spending, due to change in both tactical and strategic operations. Land-based systems are expected to have a dominant position in the C2/C4ISR market, followed by airborne systems and space-based, respectively. Companies such as Lockheed Martin, Northrop Grumman, Raytheon, and Harris Corp provide C2/C4ISR services.
Defense vertical will account for the largest market share throughout the forecast period. Defense sector constitutes the majority of investment made in the system integration market. Companies such as Northrop Grumman, Lockheed Martin, Raytheon, and Harris are the giant players in this market, and they have majority of their businesses coming from this sector. It consists of integrated solutions for ground vehicles, missiles and guided weapons, missile defense, radar systems, sensors and situational awareness, tactical communications, training and logistics, and unmanned systems. With the advancement of technologies, system integration market in defense sector is set to grow at a much higher rate in the coming years.
Wide-Area Networks (WANs) or Local Area Networks (LANs) generally include devices connected to the network as well as programs and files supporting the network operations. Control is accomplished through a network control terminal and specialized communications software. There exists a lack of an enough network infrastructure in companies which results to physical problems that trigger failures in the technological and business environments. LANs facilitate the storage and retrieval of programs and data used by a group of people. LAN software and practices also need to provide for the security of these programs and data.
Currently, Mobile Ad hoc Networks (MANETs) allow the federation of a few hundred nodes to provide mutual connectivity. The only service provided by the network is basic connectivity; services such as Network Time Protocol (NTP), Domain Name System (DNS), and other high-level applications are not available or could not be deployed in an efficient manner. The underlying network does not lend itself well to centralized applications since the broadcast medium would be quickly saturated around the server. Although this lack of services may be acceptable for the small networks possible today, larger systems will need these applications to be useful.
Due to the complexity in networks and the need to develop sophisticated tools to counter the business-specific situation, the solution vendors need to constantly upgrade their solutions and develop new technologies. Companies are spending a large amount of money to develop these advanced technologies in system integration, thereby increasing the cost of implementation for the enterprises and government agencies.
The implementation of these technologies demand structured architectures and planned actions, thereby reducing the costs incurred to provide complete integration to infrastructures.
There are various assumptions that we have taken into consideration for market sizing and forecasting exercise. Few of global assumptions include political, economic, social, technological, and economic factors. For instance, exchange rates, one of the economic factors, are expected to have a moderate rate of impact on this market. Therefore, dollar fluctuations are expected to not seriously affect the forecasts in the emerging Asia Pacific (APAC) regions.
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