A line-of-sight stabilised sighting system, capable of target tracking and video stabilisation is a prime requirement of any armoured fighting tank vehicle for military surveillance and weapon firing. Typically, such sighting systems have three prime electro-optical sensors i.e. day camera for viewing in day conditions, thermal camera for night viewing and eye-safe laser range finder for obtaining the target range. For laser guided missile firing, additional laser target designator may be a part of sighting system. This sighting system provides necessary parameters for the fire control computer to compute ballistic offsets to fire conventional ammunition or fire missile. System demands simultaneous interactions with electro-optical sensors, servo sensors, actuators, multi-function display for man-machine interface, fire control computer, logic controller and other sub-systems of tank. Therefore, a complex embedded electronics hardware is needed to respond in real time for such system. An efficient electronics embedded hardware architecture is presented here for the development of this type of sighting system. This hardware has been developed around SHARC 21369 processor and FPGA. A performance evaluation scheme is also presented for this sighting system based on the developed hardware.