Data Bus Market Size to Surpass USD 32.07 Billion by 2031, Experiences Growth Owing to Rise in Demand in Aerospace and Defense Applications | The Insight Partners

NEW YORK, June 26, 2025 /PRNewswire/ -- According to a new comprehensive report from The Insight Partners, the global data bus market is observing significant growth owing to the rise in demand in aerospace and defense applications, and continuous technological advancements.

The data bus market size was valued at US$ 22.50 billion in 2024 and is expected to reach US$ 32.07 billion by 2031; it is estimated to record a CAGR of 5.3% from 2025 to 2031. A data bus is a data-centric software framework designed to efficiently distribute and manage real-time data within intelligent distributed systems, enabling seamless collaboration among applications and devices as a unified system. By focusing on the flow and accessibility of data rather than traditional message exchange, the data bus simplifies application and integration logic through a powerful data-centric paradigm. Software components communicate by reading and writing shared data objects, which are locally cached by each participant, ensuring timely access and consistency across the system.

The report runs an in-depth analysis of market trends, key players, and future opportunities. In general, the data bus market comprises segmentation such as component, type, and application. The rise in demand in aerospace and defense applications and continuous technological advancements are driving the data bus market. The data bus market is anticipated to grow during the forecast period owing to the growing adoption of industrial automation and advancements in telecommunications. Increased adoption of open and interoperable standards is predicted to be one of the key trends in the market.

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Overview of Report Findings

1. Rise in Demand in Aerospace and Defense Applications: The data bus market is experiencing accelerated expansion, largely owing to the rising need for secure, high-speed communication in mission-critical environments. The MIL-STD-1553B protocol, despite its decades-old origin, continues to find new relevance due to its deterministic performance and proven robustness, particularly in applications where failure is not an option. 1553B Data Bus Transformers are not just legacy components but enablers of modern digital communication in environments where redundancy, EMI resilience, and fault isolation are paramount. Their continued adoption supports the scalability and modularization trends in aerospace and defense systems, where open architectures and software-defined capabilities are becoming the norm. Thus, the rising demand for data buses in aerospace and defense applications boosts the market growth.
   
   
2. Regional Overview: North America dominated the data bus market in 2024. North America 's data bus market is segmented into US, Canada, and Mexico. In a strategic move to bolster its manufacturing footprint and technological leadership, General Electric (GE) Aerospace has unveiled plans to invest US$ 101 million in its North Carolina facilities in March 2025. This significant investment highlights GE Aerospace's commitment to developing the next generation of aircraft propulsion and integrated systems across the commercial, military, business, and general aviation sectors.
   
   The investment will be directed toward expanding manufacturing capabilities, integrating advanced production technologies, and fostering innovation in aerospace systems that support the future of flight. This development holds particular significance for the data bus market in North America, especially within the aerospace and defense domains. Data buses serve as critical infrastructure within aircraft, enabling real-time communication between avionics, engine systems, and other onboard components. As GE Aerospace scales its production and integrates more complex, interconnected systems into aircraft design, the demand for high-speed, fault-tolerant data bus architectures, such as ARINC 429, MIL-STD-1553, and newer Ethernet-based standards, is poised to rise.
   
   
3. Geographical Insights: North America dominated the data bus market in 2024. Europe is the second-largest contributor to the global data bus market, followed by Asia Pacific.

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Market Segmentation

• The global data bus market, by component, is segmented into hardware and software. The hardware segment held the largest share of the data bus market in 2024.
• The global data bus market, by type, is segmented into ARINC 429/629, MIL-STD 1533 and others. The MIL-STD 1533 segment held the largest share of the data bus market in 2024.
• The global data bus market, by application, is segmented into marine, automotive, commercial aviation, and military aviation. The military aviation segment held the largest share of the data bus market in 2024.

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Competitive Strategy and Development

• Key Players: Major companies operating in the data bus market include Astronics Corporation, Collins Aerospace, TE Connectivity Ltd, Amphenol Ltd., Data Device Corporation, Excalibur Systems Inc., Curtiss-Wright Corporation, Keysight Technologies Inc, National Instruments Corp, and Holt Integrated Circuits.
• Trending Topics: Wireless Data Buses, Industrial IoT, Autonomous Vehicles, and Lightweight Data Bus Cables, among others

Global Headlines

• " Excalibur introduced its inline MACC-TJ rugged device"
• "Holt Integrated Circuits announced the introduction of ADK-1592"

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Conclusion

A data bus is a crucial subsystem within a computer or digital system that facilitates the transfer of data between various components, such as the central processing unit (CPU), memory, and peripheral devices. It consists of a set of parallel wires or electrical pathways that carry binary information (bits) and can transfer data in either direction depending on the system's architecture and requirements.

The width of a data bus—measured in bits (e.g., 8-bit, 16-bit, 32-bit, 64-bit)—determines how much data can be transmitted simultaneously, directly affecting the system's overall performance and data throughput. A wider bus allows more data to be transferred at once, enabling faster processing and communication between hardware elements. Unlike address buses, which carry information about where data should go, and control buses, which carry signals to manage operations, the data bus is specifically responsible for the actual movement of data.

In modern computing systems, the data bus works in coordination with address and control buses under the guidance of the system clock and instruction set to ensure synchronized, accurate, and efficient data communication across the computer architecture. Factors such as the rise in demand in aerospace and defense applications and continuous technological advancements are driving the data bus market. The market is expected to grow during the forecast period owing to the increasing adoption of industrial automation and advancements in telecommunications. Increased adoption of open and interoperable standards is anticipated to be one of the key trends in the market. However, high implementation costs may hamper the market growth.

The report from The Insight Partners, therefore, provides several stakeholders—including component and raw material suppliers; hardware manufacturers; software and firmware developers; system integrators; regulatory and standards organizations; and end users/original equipment manufacturers (OEMs) —with valuable insights into how to successfully navigate this evolving market landscape and unlock new opportunities.

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