USD 0.76 billion
Report ID:
SQMIG50C2018 |
Region:
Global |
Published Date: February, 2024
Pages:
157
|Tables:
36
|Figures:
74
Global 5G in Aviation Market size was valued at USD 0.76 billion in 2022 and is poised to grow from USD 1.12 billion in 2023 to USD 24.51 billion by 2031, at a CAGR of 47.1% during the forecast period (2024-2031).
The growth of air passenger traffic, the increasing application of connected technologies like the Internet of Things (IoT) in the aviation sector, and the rising demand for fast Internet connectivity and improved flight experience services are some of the key factors driving the 5G market in aviation. 5G application is receiving significant investments from various industries globally, and in the aviation industry, it is gaining traction due to the growing number of passengers and their demand for more bandwidth and faster internet speeds. Airline companies and airport stakeholders are also seeking seamless, secure, and high-speed connectivity to enhance the overall passenger experience and support essential technologies. The adoption of IoT is becoming increasingly prevalent in the aviation industry as part of the global digitalization trend. The IoT networks in airports and other aviation facilities require high-speed communication networks, thereby driving the demand for 5G application. For example, Schiphol Airport in the Netherlands utilizes approximately 70,000 sensors to collect real-time information on elevator and walkway performance. Wearables can also be employed in airports to enhance operational efficiency. Cincinnati/Northern Kentucky International Airport improved its facility management through a solution combining mobile devices, smart sensors, and a cellular network.
Industry associations are playing a crucial role in driving the adoption of 5G application in aviation, with a focus on providing better in-flight connected experiences for customers. The Seamless Air Alliance, composed of companies such as OneWeb, Airtel, GoGo, Sprint, Airbus, and Delta Airlines, aims to improve connectivity and enhance the passenger experience through collaborative efforts. The integration of 5G-connected Artificial Intelligence (AI) is expected to address major pain points in airports, border control, and other aviation facilities. For instance, AI can assist in matching passengers to their bags by recognizing unique characteristics such as scuff marks, creases, and material properties to differentiate seemingly identical bags and match them with the correct passengers. Furthermore, the automation of airports and other aviation facilities is becoming a reality thanks to the higher communication speeds enabled by 5G application. Combined with advanced technologies like AI and IoT, 5G has made significant advancements in the aviation sector. However, challenges such as potential interference with airplane altimeters and safety concerns related to 5G implementation in the aviation industry may impede market growth.
US 5G in Aviation Market is poised to grow at a sustainable CAGR for the next forecast year
Global Market Size
USD 0.76 billion
Largest Segment
In-Flight Connectivity
Fastest Growth
In-Flight Connectivity
Growth Rate
47.1% CAGR
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Global 5G in Aviation Market is segmented on the basis of application, end user, and region. By application, the market is segmented into in-flight connectivity, airport operations, and aircraft operations. By end user, the market is segmented into airlines, airports, and other aviation stakeholders. By region, the market is segmented into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.
Analysis By Application
The in-flight connectivity segment holds the largest share of the 5G in Aviation market. With the increasing number of air passengers and their growing demand for a seamless and connected travel experience, in-flight connectivity has become a crucial factor in enhancing overall passenger satisfaction. Airlines are recognizing the significance of providing high-speed internet access to passengers during their flights, enabling them to stay connected, work, stream media, and access various online services. As a result, the demand for 5G in-flight connectivity solutions has surged significantly. The adoption of 5G technology in the in-flight connectivity segment offers remarkable benefits. With 5G's ultra-fast internet speeds, low latency, and capacity to handle a massive number of connected devices simultaneously, passengers can enjoy uninterrupted, high-quality internet access throughout their journey. This technology empowers airlines to offer enhanced entertainment options, live streaming, real-time communication, and personalized services on board. Furthermore, 5G enables the seamless integration of IoT devices, allowing airlines to monitor and manage various systems and services in real-time, leading to improved operational efficiency and cost optimization.
On the other hand, the fastest-growing segment in the 5G in Aviation market is airport operations. Airports are complex ecosystems that require efficient and reliable connectivity for a multitude of operations, including security, baggage handling, passenger flow management, communication between ground staff and air traffic control, and overall infrastructure management. The integration of 5G technology in airport operations provides a transformative impact by enabling faster and more secure communication, real-time data exchange, and automation of critical processes.
Analysis By End User
The airline segment holds a dominant position in the 5G in Aviation market, accounting for a significant share of the overall market. Airlines recognize the importance of providing an exceptional passenger experience and are leveraging 5G technology to meet the growing demand for high-speed, reliable connectivity. By adopting 5G, airlines can offer faster in-flight internet access, seamless streaming of entertainment content, and enhanced communication services to passengers. The logic behind the airline segment being the largest in the market lies in the fact that airlines serve as the primary point of contact with passengers throughout their journey. Passengers often spend several hours onboard an aircraft, and access to high-speed internet and other connected services is becoming an expectation rather than a luxury. Airlines are investing in 5G technology to differentiate themselves in a highly competitive market and cater to the evolving demands of tech-savvy travelers.
On the other hand, the airports segment is the fastest-growing segment in the 5G in Aviation market. Airports are complex environments with a multitude of systems and operations that can benefit from 5G connectivity. With the rapid growth of air travel and increasing passenger footfall, airports are seeking to provide seamless and connected experiences throughout the entire passenger journey. 5G technology enables airports to enhance various aspects of operations, such as real-time monitoring of security systems, efficient baggage handling, smart parking solutions, and advanced passenger flow management. Moreover, airports are leveraging 5G to support emerging technologies like AI and IoT, enabling them to create smart and automated facilities, improve operational efficiency, and enhance overall passenger satisfaction.
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North America dominated the global 5G in Aviation market, capturing a significant market share. The region boasts advanced technological infrastructure, a robust aviation industry, and a strong focus on innovation. The United States, in particular, has been at the forefront of implementing 5G technology in the aviation sector. Major airlines and airports in the region are actively adopting 5G to provide passengers with faster internet connectivity, seamless in-flight experiences, and improved operational efficiency. For instance, American Airlines has partnered with AT&T to utilize 5G technology for enhancing passenger entertainment options and increasing productivity for crew members. With its substantial market share and commitment to technological advancement, North America continues to lead the way in shaping the 5G in Aviation market.
In terms of the fastest-growing region, Asia Pacific is witnessing significant strides in the adoption of 5G in the aviation sector. The region is home to a thriving aviation industry, with a substantial number of passengers and a growing demand for enhanced connectivity and services. Countries like China, Japan, and South Korea are spearheading the implementation of 5G technology in aviation operations. For example, Incheon International Airport in South Korea, one of the busiest airports in the world, has been actively deploying 5G networks to enable smart airport solutions, real-time surveillance, and personalized passenger experiences. As Asia Pacific embraces 5G technology, the region is expected to experience exponential growth in the 5G in Aviation market, positioning itself as a vital player in the global landscape.
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Drivers
Growing Demand for Enhanced In-Flight Connectivity
Restraints
Regulatory Challenges and Spectrum Allocation
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The Global 5G In Aviation Market features a competitive landscape with several key players striving to capitalize on the growing demand for advanced wireless connectivity solutions in the aviation industry. Some of the prominent companies in the market offer a range of 5G-enabled solutions and services, including wireless network infrastructure, communication equipment, and software solutions tailored for aviation applications. They focus on strategic partnerships, collaborations, and product innovation to gain a competitive edge. Additionally, these players actively engage with airlines, airports, and other aviation stakeholders to understand their unique requirements and provide tailored 5G solutions that enhance operational efficiency, passenger experience, and safety. As the 5G in the Aviation market continues to evolve, competition among these key players is expected to intensify, leading to further advancements in wireless connectivity technologies for the aviation industry.
Top Player’s Company Profile
Recent Development
SkyQuest’s ABIRAW (Advanced Business Intelligence, Research & Analysis Wing) is our Business Information Application team that Collects, Collates, Co-relates, and Analyses the Data collected by means of Primary Exploratory Research backed by robust Secondary Desk research.
According to our Global 5G In Aviation Market analysis, the market is driven by several factors, including the increasing demand for high-speed and reliable connectivity in the aviation industry, the rising adoption of IoT and connected technologies, and the growing emphasis on enhancing the passenger experience. The deployment of 5G networks in airports and aircraft enables faster data transfer, low latency communication, and seamless connectivity, facilitating various applications such as in-flight entertainment, real-time monitoring, and autonomous systems. Furthermore, the integration of 5G with emerging technologies like AI and edge computing is expected to unlock new possibilities for automation and operational efficiency in airports. While challenges such as spectrum allocation and safety concerns need to be addressed, the market research analysts project a promising future for 5G in aviation, offering significant opportunities for vendors, airlines, and other industry stakeholders.
Report Metric | Details |
---|---|
Market size value in 2023 | USD 0.76 billion |
Market size value in 2031 | USD 24.51 billion |
Growth Rate | 47.1% |
Forecast period | 2024-2031 |
Forecast Unit (Value) | USD Billion |
Segments covered |
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Regions covered | North America (US, Canada), Europe (Germany, France, United Kingdom, Italy, Spain, Rest of Europe), Asia Pacific (China, India, Japan, Rest of Asia-Pacific), Latin America (Brazil, Rest of Latin America), Middle East & Africa (South Africa, GCC Countries, Rest of MEA) |
Companies covered |
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Customization scope | Free report customization with purchase. Customization includes:-
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Executive Summary
Market overview
Parent Market Analysis
Market overview
Market size
KEY MARKET INSIGHTS
COVID IMPACT
MARKET DYNAMICS & OUTLOOK
Market Size by Region
KEY COMPANY PROFILES
For the 5G in Aviation Market, our research methodology involved a mixture of primary and secondary data sources. Key steps involved in the research process are listed below:
1. Information Procurement: This stage involved the procurement of Market data or related information via primary and secondary sources. The various secondary sources used included various company websites, annual reports, trade databases, and paid databases such as Hoover's, Bloomberg Business, Factiva, and Avention. Our team did 45 primary interactions Globally which included several stakeholders such as manufacturers, customers, key opinion leaders, etc. Overall, information procurement was one of the most extensive stages in our research process.
2. Information Analysis: This step involved triangulation of data through bottom-up and top-down approaches to estimate and validate the total size and future estimate of the 5G in Aviation Market.
3. Report Formulation: The final step entailed the placement of data points in appropriate Market spaces in an attempt to deduce viable conclusions.
4. Validation & Publishing: Validation is the most important step in the process. Validation & re-validation via an intricately designed process helped us finalize data points to be used for final calculations. The final Market estimates and forecasts were then aligned and sent to our panel of industry experts for validation of data. Once the validation was done the report was sent to our Quality Assurance team to ensure adherence to style guides, consistency & design.
Customization Options
With the given market data, our dedicated team of analysts can offer you the following customization options are available for the 5G in Aviation Market:
Product Analysis: Product matrix, which offers a detailed comparison of the product portfolio of companies.
Regional Analysis: Further analysis of the 5G in Aviation Market for additional countries.
Competitive Analysis: Detailed analysis and profiling of additional Market players & comparative analysis of competitive products.
Go to Market Strategy: Find the high-growth channels to invest your marketing efforts and increase your customer base.
Innovation Mapping: Identify racial solutions and innovation, connected to deep ecosystems of innovators, start-ups, academics, and strategic partners.
Category Intelligence: Customized intelligence that is relevant to their supply Markets will enable them to make smarter sourcing decisions and improve their category management.
Public Company Transcript Analysis: To improve the investment performance by generating new alpha and making better-informed decisions.
Social Media Listening: To analyze the conversations and trends happening not just around your brand, but around your industry as a whole, and use those insights to make better Marketing decisions.
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Report ID: SQMIG50C2018
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