Disaster Preparedness System Market Size [2032]

Report Description

Disaster Preparedness System Market Outlook 2032

The global disaster preparedness system market size was USD 163.7 Billion in 2022 and is likely to reach USD 309 Billion by 2031, expanding at a CAGR of 8.5% during 2023–2031. The market growth is attributed to the growing concern for climate change, rapid urbanization, and smart city initiatives.

Increasing rate of disasters and epidemics across the globe has augmented the demand for disaster preparedness systems. Increasing concerns about climate change and its effect on weather are encouraging organizations to introduce disaster preparedness systems.

• According to a survey by the Internal Displacement Monitoring Centre (IDMC) in 2021,among 38 million internal displacements,23.7 million people were displaced, owing to several disasters such as extreme weather.

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Government initiatives and assistance provided by several organizations further created traction in the market during the forecast period. Extreme weather conditions need a robust plan of action to protect infrastructure, thereby propelling the market. For instance,

• In September 2023, Siemens AG and Siemens Health ineers donated USD 500,000 each for immediate assistance to lower the suffering of the earthquake and flood victims in Morrocco and Libya as well asto support rescue efforts.

The market report finds that the COVID-19 pandemic boosted the market during the forecast period. During the pandemic, disruptions in the supply chain and labor force affected several industries; however, disaster preparedness solutions ensured the availability of important resources, including medical supplies, PPE kits, vaccines, and others. Moreover, the pandemic boosted the use of several technologies, which contributed to disaster preparedness solutions. The pandemic has increased the importance of preparing for unplanned events, which is expected to fuel the market during the forecast period.

Artificial Intelligence Impact on the Disaster Preparedness System Market

The realm of artificial intelligence has vast possibilities, similarly, it has enhanced its disaster resilience potential in the market. AI helps teams to understand natural hazards and monitor real-time events. Additionally, the emphasis on leveraging technologies, including artificial intelligence (AI), Machine Learning (ML), and big data analytics in consulting services is growing, further boosting the market. These technologies help to analyze large amounts of data and effective decision-making.

Disaster Preparedness System Market Dynamics

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Major Drivers

Rising number of natural disasters is expected to drive the market during the forecast period. The increasing number of natural disasters,including earthquakes, cyclones, and others, has boosted the demand for disaster preparedness systems to reduce the risk. Additionally, increasing urbanization leads to high population, which makes it crucial to have a robust disaster management system.

Increasing importance of the insurance industry in mitigating disasters is expected to drive the market. Insurance companies assess the full situation and insure businesses & properties. Development of new insurances for disaster management by organizations is expected to drive the market in the coming years. For instance,

• In September 2023, The International Federation of Red Cross and Red Crescent Societies (IFRC), in collaboration with global service firms Aon, Lloyd’s Disaster Risk Facility, and the Centre for Disaster Protection, announced a pioneering approach to disaster response. The ground breaking risk transfer mechanism ensures that swift and agile support is available during a disaster. This insurance tool provides a backstop for the IFRC Disaster Response Emergency Fund (DREF) to meet the need at the time of disaster.

Existing Restraints

Lack of awareness regarding disaster management and proper educationis expected to restrain the market during the forecast period. Lack of awareness and proper knowledge about how to tackle situations during damage is expected to create challenges for the market growth. Moreover, delay in response during disasters creates vulnerability among people and causes serious damages, there by impeding the market.

Emerging Opportunities

Emergence of smart city initiatives is expected to create lucrative opportunities for market players in the coming years.The shift towards smart city initiatives presents an opportunity for disaster management companies to integrate robust services in the cities to prevent unplanned disasters. Technologies, including IoTand data analytics, are expected to enhance the resilience of the city during the forecast period.

Increasing partnerships among private and public sectors for disaster management is expected to create opportunities for the market growth in the coming years. For instance,

• In November 2023, The National Institute of Disaster Management (NIDM) signed a Memorandum of Understanding (MoU) with The Energy and Resources Institute (TERI) to starta partnership in disaster risk reduction in India. This partnership aims to contribute to disaster risk reduction and reinforce the importance of cooperation in building a strong and safe country.

Scope of the Disaster Preparedness System Market Report

The market report includes an assessment of the market, trends, segments, and regional markets. Overview and dynamics have also been included in the report.

Regional Analysis

In terms of region, the global disaster preparedness system market is classified as Asia Pacific, North America, Latin America, Europe, and the Middle East & Africa. North America is expected to dominate the market during the projection period. Increasingly well-established infrastructure in the region boosts the use of disaster relief system, as city infrastructures make people productive and able to keep themselves safe. Thereby, boosting the regional market during the forecast period.

Several government initiatives regarding disaster management boost the market in North America. The region is prone to disasters, including earthquakes, hurricanes, and wildfires, which propel the demand for disaster management, further driving the market in the region. For instance,

• According to a survey, from January 2013 to January 2023, approximately 88.5% of all US counties declared a state of natural disaster. This includes 95% of the 200 most populous counties in the country.

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Market Segment Insights

Type Segment Analysis

Based on type, the disaster preparedness system market is divided into safety management system, emergency/mass notification system, earthquake/seismic warning system, disaster recovery and backup systems, surveillance system, and others. The surveillance system segment is expected to dominate the market during the projection period. The growing use of intelligent video surveillance systems for analyzing and interpreting injuries and evaluating public health services drives the segment.
Surveillance systems help in detecting and determining the adverse effects on health and provide relevant information during a disaster. Growing awareness of detecting disease outbreaks and identifying research is fueling the segment.

• In November 2022, according to a survey from the Federal Emergency Management Agency (FEMA) National Household Survey 2022, 89% of influencers have seen, read, or heard information in the past year about how to prepare well for a disaster, 49% of individuals or their family members have experienced the impact of the disaster, and 48% believe in taking steps & prepare to get through a disaster and are confident in their abilities to prepare. 55% took three or more of these 12 preparedness actions, and 86% took at least one.

The earthquake/seismic warning system segment is expected to constitute a considerable market share during the forecast period. Earthquake/seismic warning system helps to detect ground motion when an earthquake begins and sends alerts to the public and various private and public sectors. Seismic warning systems are an effective way of preparing and responding to disasters. Furthermore, government regulations and necessary developments for the safety of the public are expected to drive the segment in the coming years. For instance,

• In November 2023, Commerce Department officials stated that NIST is expected to collaborate with the National Earthquake Hazards Reduction Program (NEHRP) agencies to initiate a national risk assessment that identifies the progress made by NEHRP to strengthen earthquake resilience in the nation.

Solution Segment Analysis

On the basis of solution, the global market is segregated into disaster recovery solutions & business continuity, geospatial solutions, situational awareness solutions, web-based emergency management system, perimeter intrusion detection, and fire & HAZMAT solution. The disaster recovery solutions segment holds the largest share of the market. Increasing use of disaster recovery systems by organizations to regain data and functionality after the occurrence of a series of events, including natural disasters and others, boosts the segment. For example, according to a survey report, about 96% of businesses with disaster recovery solutions are expected to fully recover.

The situational awareness solutions segment is projected to expand at a significant growth rate during the forecast period. The rapid implementation of situational awareness solutions by organizations to prevent errors and improve organizational performance boosts the segment. Situational awareness helps to identify the prerequisite to perform a task.

Several companies are collaborating and implementing situational awareness to prevent unplanned events and boost employee performance, which is expected to boost the segment in the coming years. For instance,

• In July 2023, Palantir Technologies Inc. and AirMatrix, an airspace infrastructure technology, partnered to accelerate and scale its drone operations by leveraging Palantir Foundry through the Foundry for Builders Program. The partnership aims to provide clients of AirMatrix with airspace security, including threat detection and risk mitigation through advanced situational awareness.

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Services Segment Analysis

Based on services, the disaster preparedness system market is segmented into consulting, support & maintenance, training & education, design & integration, public information, and emergency operation center (EOC) design & integration. The consulting services segment is expected to dominate the market during the forecast period.

Increasing adoption of consulting services for disaster preparedness is boosting the segment. Consulting services help government organizations and several other companies to be prepared and deal with a situation effectively. Several companies have entered in joint ventures for road traffic safety and other purposes. For instance,

• In June 2023, Safety, Infrastructure & Geospatial division of Hexagon and Fujitsu Limited announced the joint development of digital twin applications for predicting and mitigating natural disasters and traffic accidents. The application is expected to identify the risk of accidents and propose measures for improvement.

Communication Technology Segment Analysis

On the basis of communication technology, the market is categorized as satellite phones, vehicle-ready gateways, first responder tools, emergency response radars, and others. The emergency response radars segment is expected to hold a large share of the market during the forecast period, owing to the rapid use of emergency radars for alerting and detecting several weather conditions.

Emergency response radars are essential for forecasting weather, including tornados, storms, and others. Additionally, technological advancements in emergency radars for collecting data to enhance their capabilities are expected to boost the segment during the forecast period. For instance,

• In November 2021, researchers at Los Alamos National Laboratory are applying machine learning algorithms to help interpret massive amounts of ground deformation data collected with Interferometric Synthetic Aperture Radar (InSAR) satellites. The new algorithms are expected to improve earthquake detection.

Simulation Segment Analysis

In terms of simulation, the global market is segregated into traffic simulation system, hazard propagation simulation tools, and incident & evacuation simulation tools. The traffic simulation system segment held the largest market share in 2023, attributed to its ability to analyze and simulate traffic flow patterns. This capability enables efficient emergency response and evacuation planning, becoming increasingly crucial as urbanization continues to rise globally. Growing concerns about traffic congestion and the need for effective emergency management during disaster events are driving the segment.

The hazard propagation simulation tools segment is anticipated to expand at a substantial CAGR during the projected period. This growth is driven by the rising awareness about the importance of understanding and predicting the spread of natural and man-made disasters. These simulation tools provide valuable insights to emergency planners and decision-makers, allowing them to assess the potential impact of hazards, identify vulnerable areas, and develop effective mitigation strategies.

Equipment Segment Analysis

Based on equipment, the disaster preparedness system market is segregated into threat detection, personal protection gear, medical, temporary shelter, mountaineering, firefighting, and others. The threat detection segment led the market, in terms of revenue in 2023, owing to the increasing focus on enhancing security and early warning systems to mitigate the impact of disasters. Growing concerns over natural calamities, terrorist attacks, and other man-made emergencies have driven the demand for sophisticated threat detection equipment, which plays a crucial role in disaster preparedness and response.

The firefighting segment is projected to register a robust growth rate during the assessment years, due to the rising frequency and intensity of wildfires, and the increasing emphasis on improving firefighting capabilities to protect lives and property. Advancements in firefighting equipment, such as advanced personal protective gear and specialized vehicles, are further fueling the segment.

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Vehicle Platform Segment Analysis

On the basis of vehicle platform, the global market is segregated into land, marine, and airborne. The land segment held the largest market share in 2023 is attributed to the widespread adoption of land-based vehicles for disaster response and emergency management. Land-based platforms, such as specialized emergency vehicles and tactical transport, play a crucial role in rapidly deploying resources, personnel, and relief supplies to affected areas. Increasing investments in modernizing and expanding land-based disaster management infrastructure is driving the segment.

The airborne segment is anticipated to expand at a substantial CAGR during the projected period, due to the growing demand for aerial capabilities in disaster response and relief operations. Airborne platforms, including helicopters, drones, and fixed-wing aircraft, provide the ability to quickly assess the extent of damage, perform search and rescue missions, and deliver essential supplies to remote or inaccessible areas. The advancements in aviation technology, and increasing recognition of the importance of air-based disaster management, are expected to boost the segment during the assessment years.

End-user Segment Analysis

Based on end-user, the market is segmented into BFSI, public sector, transportation &logistics, aerospace &defense, energy &utilities, healthcare, IT & telecom, manufacturing, and others. The BFSI segment is expected to hold the largest share of the market during the forecast period. Banking and financial institutions manage sensitive financial data from breaches and cyberattacks. Moreover, key market players collaborate with several financial institutions, which is expected to boost the demand for disaster preparedness systems during the forecast period. For instance,

• In September 2023, IBM announced a collaboration with Indian Bank, a premier public sector bank, to accelerate its modernization with flexible and secure compute infrastructure for deploying new front-end banking applications. The purpose is to make a cloud-like functionality with low cost and enhanced security for the bank.

The healthcare segment is projected to expand at a considerable CAGR during the forecast period. Increasing awareness about the importance of efficient disaster management in healthcare fuels the segment. Technological integration in healthcare disaster relief improves response time and contributes to improved coordination and resource allocation. For instance,

• In April 2023, Telefónica Tech and 3M launched an evolving technological solution with predictive capabilities, based on AI, which aims to optimize the management and plan of hospital emergency department (HED) resources. The solution, which combines the technological capabilities of Telefónica Tech and 3M, offers a comprehensive view of HED operations to identify areas for improvement.