Military Simulation and Virtual Training

Global Military Simulation and Virtual Training Market to Reach US$17.9 Billion by 2030

The global market for Military Simulation and Virtual Training estimated at US$14.5 Billion in the year 2024, is expected to reach US$17.9 Billion by 2030, growing at a CAGR of 3.5% over the analysis period 2024-2030. Flight Simulation, one of the segments analyzed in the report, is expected to record a 2.7% CAGR and reach US$6.2 Billion by the end of the analysis period. Growth in the Vehicle Simulation segment is estimated at 4.5% CAGR over the analysis period.

The U.S. Market is Estimated at US$4.0 Billion While China is Forecast to Grow at 6.3% CAGR

The Military Simulation and Virtual Training market in the U.S. is estimated at US$4.0 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$3.5 Billion by the year 2030 trailing a CAGR of 6.3% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 1.4% and 2.6% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 2.0% CAGR.

Global Military Simulation and Virtual Training Market - Key Trends & Drivers Summarized

Why Is Simulation-Based Training Becoming Indispensable for Modern Militaries?
Simulation and virtual training systems are now foundational to military preparedness, offering a safe, scalable, and cost-efficient means to replicate real-world combat conditions. As military operations span air, land, sea, cyber, and space domains, traditional training methods are no longer sufficient to prepare forces for rapidly evolving threats and multidomain challenges. Simulation platforms allow for immersive mission rehearsal, weapon system familiarization, and tactical decision-making in a risk-free virtual environment.

Virtual and constructive simulations, along with live virtual constructive (LVC) integration, enable units to train jointly across distributed geographies using digital twins and virtual battle spaces. Advanced simulators are used across aircrews, naval personnel, infantry, special forces, and cyber units. From flight simulators to convoy operation trainers and VR-based weapons drills, simulation ensures cognitive preparedness, stress acclimatization, and rapid skill acquisition without wear and tear on actual equipment or environmental risks.

How Are Immersive Technologies Elevating Simulation Training for Military Forces?
Next-generation simulation environments are powered by AR/VR (augmented and virtual reality), AI-based scenario generation, real-time data analytics, and haptic feedback systems. These technologies create realistic, high-fidelity training experiences that respond dynamically to trainee decisions, simulating the chaos and unpredictability of live combat. VR headsets paired with motion tracking enable individual soldiers to train in 360-degree environments that mimic actual terrains-urban warfare zones, arctic fields, or dense jungle warfare-complete with adaptive weather and environmental conditions.

AI plays a critical role in behavior modeling, allowing for the simulation of adversary tactics based on historical battle data and predictive learning. Machine learning-driven scenario adaptation means each trainee receives unique challenges, enhancing strategic thinking under pressure. Cyber warfare simulators provide red-teaming environments where personnel can test defense protocols against simulated attacks on critical military infrastructure. Meanwhile, command-and-control simulators allow officers to plan joint-force operations across LVC platforms, coordinating air, naval, and ground assets within a unified tactical grid.

Digital twinning of physical platforms-from fighter jets to armored vehicles-enables familiarization and troubleshooting in virtual mode. As 5G and cloud connectivity improve, simulation systems are transitioning from localized setups to cloud-based, scalable architectures accessible across bases, theaters, and mobile devices-ushering in an era of continuous, on-demand military training.

Which Military Branches and Regions Are Scaling Simulation-Based Training Solutions?
Air forces worldwide have been early adopters of high-fidelity flight simulators for pilot training. These systems simulate various aircraft types, weather conditions, and combat scenarios, reducing the need for live sorties and expensive airborne hours. The U.S. Air Force, Israeli Air Force, and Indian Air Force use advanced simulators to train fighter pilots, UAV operators, and mission planners. Naval forces employ bridge simulators, submarine training modules, and damage-control virtual trainers to simulate navigation, ship maneuvering, and fire management.

Ground forces are integrating VR-based marksmanship training, immersive convoy operation simulations, and tactical field simulations into regular regimens. The U.S. Army’s Synthetic Training Environment (STE) initiative exemplifies the ambition to create an all-domain, interconnected simulation platform for multi-echelon training. In Europe, NATO partners are standardizing simulation modules for interoperability in joint exercises. Asia-Pacific countries-particularly China, South Korea, and Australia-are investing in indigenous simulation platforms to elevate training independence and preparedness.

Cyber commands and intelligence units are building cyber ranges-virtual environments for real-time cyber war games, red-teaming, and cyber defense rehearsals. These simulation environments are used to prepare for cyberattacks on command centers, communications, and weapon systems, with emphasis on both technical skills and decision-making under cyber duress.

What Is Fueling Growth in the Global Military Simulation and Virtual Training Market?
The growth in the global military simulation and virtual training market is driven by several factors, including the rising complexity of warfare, the need for scalable and cost-effective training, and the demand for uninterrupted force readiness amid geopolitical uncertainty. Militaries are moving toward leaner, tech-integrated force structures, making it imperative to maintain high proficiency without over-dependence on physical platforms or live exercises.

Budget constraints and sustainability concerns are also compelling defense ministries to invest in simulation-based training that minimizes fuel use, equipment wear, and environmental impact. Virtual training allows for repetitive practice, after-action reviews, and performance analytics-all of which improve individual and unit-level performance at a fraction of the cost of live training. Additionally, as combat shifts toward cyber, space, and information warfare, simulation offers the only viable path to train for invisible, algorithmic, and hybrid threats.

Growing investments in metaverse-based defense platforms, AI-powered war-gaming, and synthetic environments underscore simulation’s centrality in modern military doctrine. Governments and OEMs are collaborating on long-term programs to embed simulation across all ranks, branches, and scenarios. As simulation fidelity, immersion, and interoperability improve, virtual training is set to become the default standard across global defense training ecosystems.

SCOPE OF STUDY:

The report analyzes the Military Simulation and Virtual Training market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Platform Type (Flight Simulation, Vehicle Simulation, Battlefield Simulation, Virtual Boot Camp, Other Platform Types); Training (Live Training, Virtual Training, Constructive Training); Application (Ground Application, Air Application, Naval Application)

Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Select Competitors (Total 42 Featured) -

• BAE Systems
• Boeing Defense, Space & Security
• CAE Inc.
• Cubic Corporation
• Elbit Systems
• General Dynamics Mission Systems
• HAVELSAN
• Indra Sistemas
• Kongsberg Gruppen
• Kratos Defense & Security Solutions
• Leonardo S.p.A
• Lockheed Martin
• L3Harris Technologies
• Northrop Grumman
• Raytheon Technologies Corporation
• Rheinmetall AG
• Saab AB
• ST Engineering
• Thales Group
• VSTEP Simulation

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