Hanwha Systems and BAE Systems signed a memorandum of understanding to develop a multi-sensor satellite system, marking another entry into the rapidly expanding military space surveillance market.
The South Korean defense contractor will combine its synthetic aperture radar capabilities with the British company’s ultra-wideband radio frequency sensors to create an intelligence-gathering platform. The system will use machine learning to analyze data from both technologies and deliver what the companies describe as “precise, timely, and high-resolution intelligence.”
The partnership comes as the military satellite market experiences robust growth, with industry analysts projecting the sector will expand from $63.66 billion in 2024 to $80.55 billion by 2030. Reconnaissance satellites represent the fastest-growing segment, driven by demand for advanced surveillance capabilities.
While the agreement represents a non-binding commitment to explore joint development, both companies bring relevant experience. Hanwha Systems provides radar payloads for South Korea’s 425 Project military reconnaissance program and successfully launched a domestically-built SAR satellite in December 2023. BAE Systems plans to deploy its first low Earth orbit satellite constellation, called Azalea, in 2025.
The memorandum lacks financial details or development timelines, typical for early-stage defense partnerships. Success will depend on securing government contracts and navigating the competitive intelligence satellite landscape dominated by established players like Lockheed Martin and Northrop Grumman.
