Monday 23 September 2013, Amsterdam
Singapore's army is considered to be the most advanced military force in Southeast Asia, and the country’s military expenditure, which stands at US$9.9 billion in 2013, grew at a CAGR of 6.75% between 2007-2012. Threats presented by terrorist organizations, such as Jemaah Islamiah, the acquisition of automated equipment and overseas training for its armed forces are expected to drive the growth in country’s defense expenditure. In addition to this, Singapore has been actively participating in international peace-keeping and relief operations. Owing to these factors, Singaporean defense expenditure is projected to register a CAGR of 6.21% during the forecast period (2012-2018), according to this new report: Future of the Singaporean Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2018.
This report provides in depth analysis of the Singaporean defense market, with identification of market drivers augmenting its provision of data on the current industry size and growth expectations to 2018. Together with its investigation of the industry structure and procurement dynamics, with analysis of the competitive landscape of the Singaporean defense industry, and its assessment of the business environment, Future of the Singaporean Defense Industry – Market Attractiveness, Competitive Landscape and Forecasts to 2018 should be considered the definitive guide to the Singaporean defense market, and required reading for those serious about capitalizing on the significant opportunities it holds.
KEY DEFENSE DRIVERS
Terrorist organizations drive defense expenditure
The country’s defense expenditure is high due to threats posed by terrorist organizations, pirates, and the small size and costly training needs of the country’s army. These factors require the government to acquire advanced weaponry in order to protect against existing, and potential security threats. Threats from Terrorist organizations, such as the Al-Qaeda-linked Jemaah Islamiah (JI), and other regional terrorist groups, pose a constant threat to Singapore’s national security. The main threat, JI, is an extremist group that operates in the south-east Asian region, with the desired aim of creating an idealized Islamic state; this would consist of Indonesia, Malaysia, Singapore, the southern Philippines, and southern Thailand. As a small and densely populated island, a relatively small terrorist attack could cause significant damage to the country. The threat posed by terrorist organizations therefore compels the Singaporean Government to invest heavily in defense procurements.
KEY HOMELAND SECURITY DRIVERS
Cyber Threats
The majority of the financial institutions operating in South Asia have their headquarters in Singapore, which makes it imperative that the government improves the levels of cyber security in the country; it is expected that Singapore will spend 1-2% of its current defense budget on cyber security. In 2013, Singapore launched a five-year cyber security master plan, to develop the country into a trusted ‘infocomm’ hub by 2018. As a result, the Singaporean military has set up a new Cyber Defence Operations Hub, with the aim of guarding the country’s systems against virtual attack, by consolidating cyber-security efforts. Singapore has made efforts to promote cyber security measures through leveraging publicity channels; these include road shows and educational programs. The MINDEF is expected to invest US$215.0 million in cyber security measures by 2023.
This report is the result of an extensive research covering the defense industry. It offers in-depth analysis of:
• Market opportunity and attractiveness: detailed analysis of the current industry size, and growth expectations during 2014-2018, including highlights of key growth stimulators. It also benchmarks the industry against key global markets and provides detailed understanding of emerging opportunities in specific areas.
• Procurement dynamics: trend analysis of imports and exports, together with their implications and impact on the Singaporean defense industry.
• Industry structure: five forces analysis of imports and exports, together with their implications and impact on the Singaporean defense industry.
• Market entry strategy: analysis of the possible ways to enter the market, together with detailed descriptions of how existing companies have entered the market, including key contracts, alliances, and strategic initiatives.
• Competitive landscape and strategic insights: analysis of the competitive landscape of the defense industry in Singapore, providing an overview of key defense companies (both domestic and foreign), together with insights such as key alliances, strategic initiatives, and a brief financial analysis.
• Business environment and country risk: a range of drivers at country level, assessing business environment and country risk. It covers historical and forecast values for a range of indicators, evaluating business confidence, economic performance, infrastructure quality and availability, labor force, demographics, and political and social risk.
This will facilitate:
• Clear identification of market opportunities and entry strategies to gain or grow market share in the Singaporean defense industry.
• Proper understanding of the competitive landscape of the defense industry in Singaporean, including key domestic and foreign defense companies, key alliances and strategic initiatives.
• A clear understanding of forces operating on the market, and actionable insight on forthcoming developments that will shape the landscape of opportunity in the foreseeable future
Target Audience
• Defense Companies
• Suppliers to Defense companies
• Defense researchers
• Contractor research organizations
• Trade body, academia or other industry observers
• Marketing and advertising executives
