Aerospace simulation software market seen reaching $7.14 billion by 2030

The Business Research Company says the aerospace simulation software market will grow from $5.03 billion in 2025 to $5.41 billion in 2026, with North America leading and Asia-Pacific emerging as the fastest-growing region. The forecast points to defense modernization, virtual testing demand and digital twin adoption as the main growth drivers through 2030.

Why it matters: - Aerospace simulation software is becoming more central to aircraft, spacecraft and defense development because it cuts the need for costly physical prototypes and real-world trials. - The market’s growth signals stronger demand for virtual testing, predictive maintenance and digital engineering tools across aerospace and defense. - Defense modernization and space exploration spending are widening the market beyond traditional aviation use cases.

What happened: - The Business Research Company released its Aerospace Simulation Software Market Report 2026, covering the market outlook from 2026 through 2035. - The report says the market rose from $5.03 billion in 2025 to $5.41 billion in 2026. - The report forecasts the market will reach $7.14 billion by 2030. - North America held the largest market share in 2025. - Asia-Pacific is projected to be the fastest-growing region during the forecast period.

The details: - The 2026-to-2026 increase reflects a 7.6% CAGR. - The forecast period through 2030 implies a 7.2% CAGR from 2026 onward. - Growth is tied to aircraft development programs, higher defense modernization budgets, wider use of computer-aided engineering tools and a growing need for virtual testing environments. - Future expansion is expected to come from advanced air mobility projects, space missions, digital twin simulation platforms, unmanned aerial vehicle simulations and predictive maintenance solutions. - The report defines aerospace simulation software as specialized computer programs that model aircraft, spacecraft and other aerospace systems in virtual environments. - The software is used to test designs, predict system behavior, optimize operations and evaluate safety scenarios. - The report covers Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, the Middle East and Africa.

Between the lines: - Military modernization is a major demand driver because defense agencies want to design, test and refine systems faster and at lower cost. - The report cites the European Security and Defence College, which said in March 2023 that by 2030 the U.S. Army’s modernization effort will include 35 new future force systems across more than 500 development and upgrade projects. - North America’s lead likely reflects the region’s mature aerospace base and defense spending. - Asia-Pacific’s growth points to rising aerospace investment and faster technology adoption across the region.

What's next: - The market is expected to keep expanding as governments and aerospace companies invest in simulation-led development and digital engineering workflows. - The report says updated tools such as market attractiveness scoring, TAM analysis, company scoring matrices, Excel forecasting dashboards and hotspot infographics are included in its 2026 edition. - The Business Research Company is offering a free sample report and a full market report.

The bottom line: - Aerospace simulation software is moving from a supporting engineering tool to a core part of defense and aviation modernization, with growth set to continue through the decade.