The A&D business landscape is going through disruption driven by focusing on innovation and digital transformation. No matter if there is the uncertainty for future, demand for commercial aerospace and defense finished with an upbeat industry outlook in the last year. Both the sectors had an amazing growth a rare market situation which is called counter cyclical. The growth of commercial aerospace is determined by the increasing number of passengers. Considering this among other factors and from the perspectives of suppliers, manufacturers and tech experts and technical authoring, here are the trends of the A&D Industry in 2019.

  1. More focus on Asia Pacific region and having closer engagements with the A&D Supply chain

In the recent years, the APAC Section has taken number of assessments in defense strategies and resources. There is a thriving network in research, design, operational, and production support by defense equipment manufacturers who are building local industrial base for both economic reasons and greater security, no matter the geopolitical conditions. A major portion of increased traffic and expenses in the commercial aerospace segment comes from huge demands from the APAC. The outdated models of driving engagement from a centralized or regionalized location can transition the industry players working in close contact with APAC offer value for money product that fit with specific needs instead of a repurpose of equipment meant for other markets.

  1. Consistent digital transformation but on low risk strategies with trusted partners

The A&D department has the lowest innovation intensity percentages. With new technologies on the rise, the industry will notice a push in the adoption of digital innovation. But, the A&D digital innovation will take a disciplined approach where the trusted partners are sorted to develop low risk solutions that will balance out the complexity of new technology to increase the lowest possible costs. With smaller customer base, high risk investments don’t pay off as there are not many leads and gaining scale is a challenge. This can be fixed by digital transformation, but the process is slow and use cases are limited. This year will focus on developing the right technologies and seeking test cases to prove a concept that is scalable. Moreover, it will also focus on artificial intelligence, VR, data analytics, advanced sensors and IoT. The growth maybe slow but there is less risk in adoption.

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