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The global defense industry has jumped on the digitalization trend and has allocated billions into incorporating digital technologies into modern warfare, launching a new era. We’re seeing not just an update to infrastructure and operations, but a change in operational requirements. These factors are driving a shift towards digitalization and outsourcing of support services, creating new opportunities for providers of digital solutions. The digitalization of defense equipment is a key trend with increasing software content in weaponry. This is leading to shorter maintenance cycles and more frequent software upgrades, which in turn highlights the importance of cybersecurity and changes the skillset required to support the new generation of equipment. Outsourcing of support activities is also gaining traction. This trend is leading to performance-based logistics contracts, which place a greater emphasis on outcomes and risk-sharing. There’s real pressure on industrial players to innovate and enhance their service offerings. Digital services are the present and future of the defense sector. By consolidating and analyzing data from various sources (equipment, mission data and external factors), digital solutions can help anticipate failures, improve maintenance planning and optimize resource allocation to greater results. This data-driven approach is leading to condition-based maintenance, which can further reduce costs and enhance asset availability. Looking ahead, the consolidation of data from across the defense value chain (think equipment, platforms, military bases and operators) will create new opportunities for digital services. Military forces are already applying digital solutions in training for operational forces, remote assistance for maintenance operations, traceability of spare parts, the optimization of military base operations, and support for mission preparation. By embracing digitalization and outsourcing, the defense industry can enhance its support services, improve asset availability and reduce costs. As technology progresses, we’re going to see a gradual streamlining of internal processes, which will steadily contribute to the efficacy of operations.

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