The geopolitical environment and the global economic situation were not easy conditions for Rohde & Schwarz. Nevertheless, the Munich-based technology group broke through the 3 billion euro sales barrier. However, this is not due to the core business of measurement technology.
Rohde & Schwarz is expanding its teams at its headquarters in Munich and at several German and international locations. The company now employs more than 15,000 people worldwide, including almost 10,000 in Germany.
(Image: Rohde & Schwarz)
The measurement technology market is currently experiencing one of the most challenging phases in recent years. While the semiconductor industry is struggling with fluctuations in demand and many electronics developers are holding back their investments, it is becoming clear that those who are broadly positioned will fare better through the crisis. Rohde & Schwarz, one of the established top dogs in electronic measurement technology alongside Keysight and Tektronix, demonstrates this impressively.
Rohde & Schwarz achieved sales of EUR 3.16 billion in the 2024/25 financial year (+7.8%), exceeding the three billion mark for the first time. However, the growth does not come from the core business of measurement technology, but primarily from the security and defense sector, which is compensating for the weakening demand for measurement devices.
Measurement technology stabilizes due to portfolio breadth
While the market environment for electronic measurement technology remains challenging, Rohde & Schwarz's diversified product portfolio is proving to be a stabilizing factor. Customers are increasingly using the test solutions for 6G research, AI integration in mobile networks and for the development of sensor communication systems.
The convergence of terrestrial and satellite-based mobile networks is driving demand for specialized test solutions. Rohde & Schwarz already demonstrated 5G satellite technology for non-terrestrial networks at World Expo 2025 and realized a connection via Eutelsat's OneWeb constellation.
Strategic expansion of the technology portfolio
The Group has expanded its market position through targeted acquisitions: The partnership with start-up fiveD enables digital radar development and optimization. With ZES Zimmer Electronic Systems, the portfolio was expanded to include precision power measurement technology for e-mobility and renewable energies.
Current strategic steps include the acquisition of Munich Innovation Labs (data analytics) and a stake in Orbint for space-based signal intelligence.
Partnership with Trump for drone defense
One strategic focus is on applications for critical infrastructures. In October 2025, Rohde & Schwarz and Trumpf announced their partnership to develop a comprehensive, sovereign drone defense solution. The system combines Rohde & Schwarz's drone detection technology with Trumpf's laser technology. Rohde & Schwarz had already further developed its proven drone detection and defense systems. What is new is the ability to identify unauthorized drones in 5G campus networks. The partnership with TRUMPF expands the portfolio to include high-precision laser weapons for the protection of critical infrastructure such as airports, power plants and government buildings.
Defense compensates for measurement technology weaknesses
The order backlog of over five billion euros results mainly from security and defense projects. These include the Bundeswehr's D-LBO programme (digitization of land-based operations), naval projects for German F124 frigates and Australian Hunter-class frigates as well as AI backbone development for the FCAS (Future Combat Air System) fighter aircraft programme.
In response to the high order situation, Rohde & Schwarz is planning to expand its production sites in Germany, the Czech Republic and Malaysia. In recent years, 300 million euros have already been invested in production capacity. The workforce has grown to over 15,000 employees worldwide, including almost 10,000 in Germany.
Date: 08.12.2025
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R&D ratio remains in double figures
Despite the market volatility, Rohde & Schwarz is maintaining its high level of research expenditure. The double-digit percentage of sales continues to flow into development projects, with a focus on key technologies such as AI, semiconductor development and high-frequency technology above 100 GHz.
For electronics developers, this means that an established measurement technology provider remains able to invest and deliver, even if the core business is under pressure. The diversification strategy seems to be working - but at a price: dependence on government contracts is increasing. (heh)