Connected Aircraft Market by Type (Hardware, Software), Platform (Commercial, Business & General Aviation, Military, UAV, AAM), Connectivity (In-Flight, Air-To-Air, Air-To-Ground) & Region (North America, Europe, APAC, MEA, ROW) - Global Forecast to 2028
[242 Pages Report] The Connected Aircraft Market size is projected to grow from USD 10.0 Billion in 2023 to USD 16.5 Billion by 2028, at a CAGR of 10.6% from 2023 to 2028. Connected Aircraft Systems allow for considerably enhanced operational efficiency of an aircraft along with enhancing passenger experience. The emergence of IoT and Industry 4.0 technologies considerably aid the connected aircraft ecosystem. These factors are driving growth in the market.
Connected Aircraft Market Forecast to 2028
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Connected Aircraft Market Dynamics
Driver: Growing demand to increase the airline operational efficiency
Airline operational efficiency is a crucial factor driving the connected aircraft market. Airlines are increasingly adopting connected aircraft technologies to streamline their operations, cut costs, and improve overall efficiency. Connected aircraft technologies offer real-time data analytics, which is instrumental in boosting operational efficiency. Airlines can gain valuable insights into fleet performance and health by collecting and analyzing data from various onboard systems such as engines, avionics, and flight controls. This enables proactive maintenance, faster issue resolution, and minimizes unexpected downtime, resulting in maximum aircraft availability.
Predictive maintenance systems are also gaining prominence in the connected aircraft market. These systems employ advanced algorithms and machine learning to forecast potential faults or failures in advance. Maintenance teams can schedule repairs and part replacements by detecting early warning signs, minimizing disruptions, and optimizing maintenance operations. Connected aircraft technologies contribute to improved flight planning and fuel optimization. Airlines can optimize flight routes, altitudes, and speeds by leveraging real-time weather data, air traffic information, and performance analytics, resulting in reduced fuel consumption and emissions. This helps airlines meet environmental regulations and lowers operational costs in the fiercely competitive aviation industry.
Restraints: Limited bandwidth for connected aircraft
The limited availability of bandwidth is a significant limitation in the connected aircraft market. Bandwidth refers to the capacity of a network to transmit data efficiently. Strong and reliable network infrastructure is crucial for seamless communication between aircraft, ground systems, and other devices. When bandwidth is scarce or insufficient, it poses obstacles for connected aircraft operations. Real-time data transmission, such as flight information, sensor data, or video feeds, may suffer from delays or interruptions. This can hinder critical functions like monitoring aircraft performance, sharing situational awareness, and making timely decisions.
Limited bandwidth becomes an even more pressing concern in remote areas or congested airspace, where connectivity infrastructure may be lacking. These regions often lack network coverage or resources to support high-speed data transmission. The constraints of limited bandwidth can impact the efficiency, safety, and responsiveness of connected aircraft systems. It can impede potential benefits such as real-time analytics, remote monitoring, or seamless collaboration between aircraft and ground teams.
Opportunity: Increased focus on predictive maintenance
Predictive maintenance is a key opportunity in the connected aircraft market, which involves leveraging advanced data analytics and real-time monitoring to identify potential issues and predict when maintenance actions should be taken on aircraft components or systems. This proactive approach helps optimize maintenance schedules, minimize unplanned downtime, and enhance operational efficiency. In connected aircraft, sensors and monitoring systems continuously collect data on the performance and condition of critical components. This data is analyzed using sophisticated algorithms and machine learning techniques. Predictive maintenance systems can anticipate potential failures or malfunctions before they occur by detecting patterns and anomalies.
Predictive maintenance enables airlines and aircraft operators to schedule maintenance activities during planned downtimes, minimizing disruption to flight schedules. This proactive approach helps avoid costly unscheduled maintenance, reduces the risk of in-flight incidents, and improves safety. It offers cost-saving benefits. Early detection of issues allows airlines to optimize spare parts usage and reduce inventory costs. It also helps extend the lifespan of aircraft components by addressing maintenance needs promptly, thereby reducing the need for premature replacements. As connected aircraft technology advances, predictive maintenance will continue to play a vital role in enhancing safety, reliability, and profitability in the aviation industry.
Challenge: Lack of skilled labor
The connected aircraft market faces a significant challenge due to the lack of skilled labor. As aviation technology advances and aircraft become more connected, there is a growing demand for professionals with specialized skills to operate, maintain, and troubleshoot these complex systems. However, the shortage of skilled labor poses obstacles to the successful implementation and operation of connected aircraft. Pilot training is affected by the lack of skilled labor. Connected aircraft rely on advanced avionics systems and digital interfaces, requiring pilots to possess a thorough understanding of the technology. Skilled pilots must be trained to interact effectively with integrated systems, interpret data, and make informed decisions. The shortage of qualified pilots with the necessary technical expertise can hinder the seamless integration and optimal utilization of connected aircraft capabilities.
Skilled maintenance technicians are crucial to ensure the proper functioning of connected aircraft. These technicians require specialized training to handle the intricate systems and advanced sensors in connected aircraft. They must be proficient in diagnosing and repairing complex technical issues and conducting regular maintenance procedures. The shortage of skilled maintenance technicians can lead to longer maintenance cycles, increased downtime, and potential disruptions to operations. Moreover, the ground crew responsible for supporting aircraft operations also face challenges related to the lack of skilled labor. Ground crew members need to be trained in the intricacies of the connected systems, such as data management, communication protocols, and system integration. They must possess the skills to efficiently monitor and maintain the connectivity infrastructure, troubleshoot network issues, and ensure uninterrupted data exchange. Insufficient training and expertise among ground crew members can result in operational inefficiencies, delays, and increased risks to passenger services.
Connected Aircraft Market Ecosystem:
Prominent players in this market consist of reputable, financially secure manufacturers and solution providers. They have solidified their position through a wide range of products, cutting-edge technologies, and extensive global sales and marketing networks. Some key companies include Honeywell International (US), Raytheon Technologies (US), Thales Group (France), Viasat Inc (US), and Gogo Inc (US). The major end users of this market will be aircraft manufacturers, MRO service providers, airliners, and defense organizations.
Software Segment to lead market share during the forecast period.
Based on type, the Connected Aircraft Market has been segmented into hardware and software. The software solutions segment is expected to hold a larger market share as well as grow at a higher CAGR during the forecast period. The connected Aircraft market is a software-heavy ecosystem where end users are frequently required to upgrade their software and pay for yearly subscriptions. These factors are the major factors driving the growth in the market.
Advanced air mobility is expected to grow the highest during the forecast period.
Based on the platform, the Advanced air mobility (AAM) segment is expected to grow the highest during the forecast period. AAM is a niche market that is gaining immense market potential in the coming decade. AAM platforms are installed with some of the state of technologies to aid aircraft operations. The high growth of the AAM market clubbed with the need for high-end software and hardware driving the market growth.
The in-flight connectivity segment is expected to lead the market during the forecast period.
Based on connectivity, the in-flight connectivity segment is expected to have a larger market share as well as have a high CAGR during the forecast period. Enhancing in-flight connectivity to enhance passenger experience as well as crew connectivity is one of the major factor’s airliners are investing in. High-speed connectivity has become the need for passengers as well as to ensure seamless connectivity across the aircraft. These factors are driving the growth in the market.
North America is projected to witness the highest market share during the forecast period.
North America leads the Connected Aircraft Market due presence of key players, solution providers, and component manufacturers, which are major factors expected to boost the growth of the Connected Aircraft Market in the region. These players invest in extensive R&D to develop IoT systems and advanced sensor solutions along with seamless connectivity and advanced processing software. Major manufacturers and suppliers of Connected Aircraft Solutions in this region include Honeywell International (US), Raytheon Technologies (US), Viasat Inc (US), and Gogo Inc (US).
Connected Aircraft Market by Region
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Key Market Players
Major players operating in the Connected Aircraft Market include Honeywell International (US), Raytheon Technologies (US), Thales Group (France), Viasat Inc (US), and Gogo Inc (US).
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Report Metric |
Details |
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Market size available for years |
2020-2028 |
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Base year considered |
2022 |
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Forecast period |
2023-2028 |
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Forecast units |
Value (USD Million/Billion) |
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Segments Covered |
Platform, Type, Connectivity, and Region |
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Geographies Covered |
North America, Europe, Asia-Pacific, Middle East, Rest of the World |
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Companies Covered |
Gogo Inc. (US), Honeywell International Inc (US), Raytheon Technologies Corporation (US), Thales Group (France), Viasat Inc (US), and TE Connectivity Ltd. (Switzerland). |
Connected Aircraft Market Highlights
This research report categorizes the Connected Aircraft Market based on Platform, Type, Connectivity, and Region.
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Segment |
Subsegment |
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By Platform |
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By Type |
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By Connectivity |
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By Region |
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Recent Developments
- In May 2023, FlyExclusive chose Gogo Inc.’s popular AVANCE platform to upgrade 40 of their private aircraft. The decision was taken to benefit from Gogo's acclaimed connectivity and customer service, enhancing the overall experience for their passengers.
- In June 2023, Honeywell announced the signing of a Memorandum of Understanding (MOU) with ST Engineering. The collaboration aims to explore potential opportunities in retrofit, modification, and upgrade (RMU) programs for both fixed-wing and rotary-wing aircraft platforms.
- In February 2023, GE's subsidiary in India announced that it had signed a contract with Cochin Shipyard to provide a digital solutions package to increase the capabilities of the LM2500 marine gas turbines that will power the Indian Navy's first Indigenous Aircraft Carrier-1 (IAC-1) Vikrant, which was commissioned in August 2022.
Frequently Asked Questions (FAQ):
What are your views on the growth prospect of the Connected Aircraft Market?
Passengers are increasingly demanding more connected services during flights. In-flight Wi-Fi, streaming entertainment, and other connected amenities have become essential for a positive flying experience. Airlines that can offer these services are more likely to attract and retain customers. These are major growth factors in the connected aircraft market.
What are the key sustainability strategies adopted by leading players operating in the Connected Aircraft Market?
Key players have adopted various organic and inorganic strategies to strengthen their position in the Connected Aircraft Market. The major players include Honeywell International (US), Raytheon Technologies (US), Thales Group (France), Viasat Inc (US), and Gogo Inc (US). These players have adopted various strategies, such as acquisitions, contracts, expansions, new product launches, and partnerships & agreements, to expand their presence in the market.
What are the new emerging technologies and use cases disrupting the Connected Aircraft Market?
Advanced sensors and IoT (Internet of Things) devices are significant technological trends in the connected aircraft industry. They play a crucial role in enhancing safety, efficiency, and maintenance practices. Advanced sensors on aircraft enable real-time monitoring of parameters like temperature, pressure, vibration, and component health. By collecting and transmitting data, these sensors help detect faults or anomalies in critical systems, ensuring prompt action to prevent potential failures and prioritize passenger safety.
Who are the key players and innovators in the ecosystem of the Connected Aircraft Market?
The key players in the Connected Aircraft Market include Honeywell International (US), Raytheon Technologies (US), Thales Group (France), Viasat Inc (US), and Gogo Inc (US) are some of the major players.
Which region is expected to hold the highest market share in the Connected Aircraft Market?
The Connected Aircraft Market in North America is projected to hold the highest market share and highest CAGR during the forecast period due to the presence of several large Connected Aircraft solution providers in the region. The region also has some of the aircraft manufacturers, such as Boeing (US) and Bombardier (Canada), to name a few.
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The study involved four major activities in estimating the current market size for the Connected Aircraft Market. Exhaustive secondary research was conducted to collect information on the market, the peer markets, and the parent market. The next step was to validate these findings, assumptions, and sizing with industry experts across the value chain through primary research. Both top-down and bottom-up approaches were employed to estimate the complete market size. Thereafter, market breakdown and data triangulation procedures were used to estimate the market size of segments and subsegments.
Secondary Research
In the secondary research process, various secondary sources, such as D&B Hoovers, Bloomberg, BusinessWeek, and different magazines, were referred to identify and collect information for this study. Secondary sources also included annual reports, press releases & investor presentations of companies, certified publications, articles by recognized authors, and simulator databases.
Primary Research
The Connected Aircraft Market comprises several stakeholders, such as raw material providers, aircraft connectivity system manufacturers, and aircraft connected system providers, and regulatory organizations in the supply chain. While the demand side of this market is characterized by various end users, the supply side is characterized by technological advancements in aircraft connectivity systems. Various primary sources from both the supply and demand sides of the market were interviewed to obtain qualitative and quantitative information. Following is the breakdown of primary respondents:
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Market Size Estimation
Both top-down and bottom-up approaches were used to estimate and validate the total size of the Connected Aircraft Market. These methods were also used extensively to estimate the size of various subsegments of the market. The research methodology used to estimate the market size includes the following:
- Key players in the industry and markets were identified through extensive secondary research.
- The industry’s supply chain and market size, in terms of value, were determined through primary and secondary research processes.
- All percentage shares, splits, and breakdowns were determined using secondary sources and verified through primary sources.
Market size estimation methodology: Bottom-up Approach
The bottom-up approach was employed to arrive at the overall size of the connected aircraft market by determining the fleet size in various countries along with the revenues of key market players, which helped in deriving the regional market size. Summation of all regional markets has led to determining the global size of the connected aircraft market.
Market size estimation methodology: Top-Down Approach
In the top-down approach, the overall market size was used to estimate the size of individual markets (mentioned in the market segmentation) acquired through percentage splits from secondary and primary research. For the calculation of specific market segments, the size of the most appropriate, immediate parent market was used to implement the top-down approach. The bottom-up approach was also implemented to validate the revenue obtained for various market segments.
- Companies supplying connected aircraft technology, as well as components, were included in the report.
- The total revenue of these companies was identified through their annual reports and other authentic sources. In cases where annual reports were not available, company earnings were estimated based on the number of employees, press releases, and any publicly available data.
- Company revenue was calculated based on the various operating segments.
- All publicly available company contracts related to the connected aircraft market were mapped and summed up.
- Based on these parameters (contracts, agreements, partnerships, joint ventures, product matrix, secondary research), the share of each connected aircraft system in each segment was estimated.
Data Triangulation
After arriving at the overall market size-using the market size estimation process explained above-the market was split into several segments and subsegments. Data triangulation and market breakdown procedures were employed, wherever applicable, to complete the overall market engineering process and arrive at the exact statistics of each market segment and subsegment. The data was triangulated by studying various factors and trends from both the demand and supply sides of the Connected Aircraft Market.
Report Objectives
- To identify and analyze key drivers, restraints, challenges, and opportunities influencing the growth of the Connected Aircraft Market
- To analyze the impact of macro and micro indicators on the market
- To forecast the market size of segments for five regions, namely, North America, Europe, Asia Pacific, Middle East, and the Rest of the World, along with major countries in each of these regions
- To strategically analyze micro markets with respect to individual technological trends, prospects, and their contribution to the overall market
- To strategically profile key market players and comprehensively analyze their market ranking and core competencies
- To provide a detailed competitive landscape of the market, along with an analysis of business and corporate strategies, such as contracts, agreements, partnerships, and expansions.
- To identify detailed financial positions, key products, unique selling points, and key developments of leading companies in the market
Market Definition
Connected aircraft refers to a cutting-edge technological ecosystem within the aviation industry, which is equipped with advanced communication systems, sensors, and data analytics capabilities. This enables seamless and real-time connectivity between the aircraft, ground-based operations, and maintenance facilities. This integrated connectivity empowers airlines to optimize flight operations, enhance safety through real-time monitoring, improve fuel efficiency, and offer passengers a range of benefits, such as in-flight entertainment, internet connectivity, and personalized services. Connected aircraft facilitates predictive maintenance, enabling quicker and more efficient troubleshooting and repairs, thus revolutionizing the way airlines operate and deliver services in a digitally interconnected aviation landscape. Connected aircraft revolutionizes modern-day flying, improving fleet management, flight safety, passenger experience, maintenance, flight operations, aircraft turnaround time, and costs.
Market Stakeholders
- Connected aircraft solution providers.
- Connected aircraft manufacturers.
- Subsystem manufacturers
- Airlines
- Regulatory authorities
- Connected aircraft software/hardware providers.
Available customizations
Along with the market data, MarketsandMarkets offers customizations as per the specific needs of companies. The following customization options are available for the report:
Product Analysis
- Product matrix, which gives a detailed comparison of the product portfolio of each company.
Regional Analysis
- Further breakdown of the market segments at country-level
Company Information
- Detailed analysis and profiling of additional market players (up to 6)
Growth opportunities and latent adjacency in Connected Aircraft Market