WASHINGTON, 23 Nov. 2005. The market for homeland security and homeland defense products will triple from $130 billion to $400 billion in a comparison of the 2001-2005 period and the 2006-2010 period, according to a forecast from market analysts.
More specifically, it will grow from $26 billion in 2003 to $178 billion in 2015.
Additional changes that will happen in the next five years include:
* an energized focus on intelligence and WMD mitigation,
* a greater reliance on the private sector, and
* the emergence of new market leaders.
These are the conclusions from the "2006-2015 Homeland Security & Homeland Defense Global Market" report by Homeland Security Research Corp. (HSRC).
During the 2001-2005 period, the market was characterized by tremendous growth, ballooning from $7 billion in 2001 to $46.2 billion in 2005, a cumulative spending of $130 billion.
Companies were focused on building an effective homeland security infrastructure. So much of the funding that reached private hands was spent on vintage off-the-shelf products and services, the report says.
In contrast, during the 2006-2010 period, the same market will react to new federal strategy and to the tragic events of Hurricane Katrina, sparking a more systematic building of the national infrastructure with a much greater reliance on the private sector, according to HSRC analysts.
U.S. homeland security will be focused on the mitigation and containment of catastrophic terror attacks. The ramifications of this policy change are that in addition to wide-scale attacks using conventional weapons (e.g. 9/11), WMD mitigation will be provided with resources and budgets that in the past were allocated towards "small-scale" attacks. The responsibility for these "small- scale" attacks will now shift to the state and local level.
Homeland Security Research Corp. is a Washington, D.C. based international market research and strategic consulting firm serving the homeland security community. Our company provides premium market, technology and industry expertise that enable clients around the world gain critical insight into the business opportunities that exist within the Homeland Security market. Some of our government clients include U.S. Congress GAO, DHS, EU, U.S. Army, U.S. Navy, Great Britain and NATO. We also number nearly 300 private clients among Fortune 500 companies and security decision makers worldwide. For more information, see www.hsrc.biz.
