Connected Ship Market by Application (Vessel Traffic Management, Fleet Operation, Fleet Health Monitoring, Other Applications), Installation (Onboard, Onshore), Platform (Ships, Ports) & Fit (Line Fit, Retrofit, Hybrid Fit) and Global Forecast to 2028
[253 Pages Report] The Connected Ship Market is projected to grow from USD 11.3 billion in 2022 to USD 17.2 billion by 2028, at a CAGR of 7.7 %. The demand for enhanced safety and security in maritime industry is driving the market for Connected Ship. The maritime industry is developing rapidly by building digitalized vessels with all advanced technologies to improve the efficiency of ship in maritime . Government support and growing investments are propelling the development of advanced ships, further boosting the growth of the Connected Ship Industry. Increased adoption of big data, artificial intelligence (AI), the Industrial Internet of Things (IIoT), the Internet of Things (IoT), and data analytics in Connected Ship are democratizing maritime and making new marine applications a reality. These Connected ship systems help to collect and transmit the real time data and improve efficiency of ship and prevent accidents in maritime. They are now being developed in large volumes for enhancing navigation, communication, and IoT. Furthermore, the conncected ship uses new technologies to reduce emissions and improve fuel efficiency
Connected Ship Market Forecast to 2028
To know about the assumptions considered for the study, Request for Free Sample Report
Connected ship Market Dynamics
Driver: Increase in global seaborne trade
In the past 18 years, sea routes have seen a gradual rise in the amount of bulk cargo transported, as ships are a more cost-effective means of transportation than others. This has led to an increase in global seaborne trade. The top 20 carriers have almost doubled their market share in the past 25 years, now controlling more than half of the global container shipping capacity. According to the United Nations Conference on Trade and Development, global seaborne trade reached 11 billion tons in 2021, with Asia being the largest trading continent. In 2021, about 42% of goods were loaded, and around 64% were unloaded at Asian seaports, while other continents registered less than half of these volumes. Despite the current slump in the global shipbuilding industry, it is expected to grow in the future due to the increasing world population and rising demand for traded goods. Consequently, the demand for purchasing new ships and retrofitting existing ones is also expected to increase globally, leading to an increase in the number of connected ships that offer a high level of safety and enhanced operational efficiency.
Restraints: Digitalization renders connected ships vulnerable to cyber threats
Digitalization of ships worldwide has led to an increase in the risk of cyber threats as they follow satellite routes during their voyages. These connected ships are the first step toward the complete automation of the marine vessels as they enable integration of crucial subsystems of marine vessels with each other through local networks. Use of Big Data analytics for the development of smart ships is expected to increase the operational efficiency of vessels and enhance their safety, but it is also expected to render ships vulnerable to threats from hackers. The Maritime Safety Committee (MSC) of the International Maritime Organization (IMO) has introduced temporary guidelines to prevent cyber attacks on ship systems as the instances of online threats and potential attacks on connected ships are increasing across the globe. Potential routes through which connected ships can be exposed to cyberattacks are shown in the following diagram.
While continuous advancements are being made in communication and data interchange technologies, several security measures need to be taken to ensure that systems and subsystems of connected ships and shore-based stations are protected from hackers. The risk of cybercriminals using the dark web to access private data, install malware, or launch debilitating denial-of-service attacks renders connected ships vulnerable. This leads to apprehensions among marine operators to digitalize their ships, thereby restraining the growth of the connected ship market across the globe.
Opportunities: Adoption of Vessel Traffic Services (VTS) by shipping companies
In order to ensure safe and secure navigation, the marine industry relies on effective real-time communication between ships and onshore stations. This is facilitated through the use of ICT, which connects vessels with stations and allows for uninterrupted flow of information. To improve interoperability and support new vessel operations, shipping companies are adopting advanced vessel traffic services (VTS). These services allow for the sharing of real-time data and intelligence between connected ships and ports, which is expected to drive demand for connected ships globally.
VTS are critical for coordinating maritime rescue efforts, managing incidents, and detecting oil pollution. To ensure high-performance and adherence to changing safety standards, VTS must be constantly updated. They provide real-time navigational and traffic information specific to the areas they cover, and are essential for detecting potential incidents through surveillance systems such as radar, sonar, automatic identification systems (AIS), and closed-circuit televisions (CCTVs). The adoption of VTS in the marine industry is expected to help control and mitigate potential accidents, leading to opportunities for growth in the connected ship market.
Challenges: Limited Internet facilities in connected ships
Internet connectivity is provided by satellites and similar modes, thereby limiting Internet data usage due to the high costs of the satellite data transfer. This acts as a challenge for the growth of the connected ships market. Even though the shipping companies across the globe are adopting connected ships for their smooth and safe operations, because of limited & high-priced internet access, the adoption rate of such systems in seafaring vessels is still limited. On the other hand, the manned labour is cheaper & traditionally been used to operate large vessels.
Further complicating the issue of connected ships are simple technological logistics. Connected ships are required to offer broadband connectivity and have ship-wide Wi-Fi capability. Several connected ships have limited Internet facilities, which can be accessed from mess decks and public areas only and not from individual cabins. This requirement of broad connectivity and Wi-Fi capability of connected ships still acts as a major challenge for shipowners from both, cost and installation aspects.
Connected Ship Market Ecosystem
Companies that design and manufacture Connected Ship, includes government firms, NAVY, & ship builders as key stakeholders in Connected Ship Market. Investors, funders, academic researchers, integrators, service providers, and licensing authorities are the major influencers in this market. Prominent companies in this market include ABB (US), Emerson Electric Co. (US), Wartsila (Finland), Kongsberg Gruppen ASA (Norway), and Thales Group (US).
Based on the Application, the Fleet Operation segment is estimated to account for the largest market share of the Connected Ship market.
Based on the Application, the Fleet Operation segment is estimated to account for the largest market share. Application are a rising need in the maritime industry and are expected to grow by adopting advanced technological solutions. The objective of Fleet operation for connected ship is to adopt the use of advanced technologies and systems to optimize the management, safety, efficiency, and sustainability of a fleet of interconnected vessels. Fleet Operation accounts the largest market among fleet health monitoring, vessel traffic management and other applications based on application.
Based on Fit, the Line Fit is anticipated to dominate the market.
Based on the Fit, the Line Fit holds the largest market share. Line fit refers to equipment or systems that are installed on a ship during its construction. The primary objective of a Line fit is for connectivity which involves integrating various communication, sensor, and data management systems directly into the ship's design and construction. Line Fit ensures that the ship is equipped with the necessary technology from the beginning to enable efficient operations.
The Onboard segment of the Connected ship market by installation is projected to dominate the market.
The Onboard Segment holds the major market share of the Connected Ship market by Installation segment. Onboard objective are to installed and integrated directly onto the ship to enable connectivity, data exchange, automation, and efficient operations which plays a crucial role in ensuring that the ship is equipped to operate as a part of a connected fleet.
The Ships segment of the Connected ship market by Platform is projected to dominate the market.
The Ships Segment holds the major market share of the Connected Ship market by Platfrom segment.The ships are majorly classified as Commercial and Defense types. The commercial ship type includes Passenger ships & Cruise, Cargo Vessels and Other Vessels. The Defense ship includes Submarine, Aircraft Carrier, Destroyer, Frigate, Amphibous ships and corvettes.
The Asia Pacific market is projected to witness the highest growth rate for Connected Ship market.
Asia Pacific is expected to hold the highest growth rate in the Connected Ship market during the forecast period. The Asia Pacific holds the highest market share. China is the largest market for the Connected Ship market in Asia Pacific. The growth of the Connected Ship market in Asia Pacific can be attributed to the increased demand for Advanced and Digitalized vessels. The Connected Ship market in Asia Pacific was predicted to develop and evolve in future years, owing to advancements in maritime and rising demand for Advanced ship applications and services.
Connected Ship Market by Region
To know about the assumptions considered for the study, download the pdf brochure
Key Market Players
The Connected Ship Companies is dominated by a few globally established players such as ABB (Switzerland), Emerson Electric Co. (US), Kongsberg Gruppen ASA (Norway), Wartsila (Finland), and Thales (France) some of the leading players operating in the Connected ship market; they are the key manufacturers that secured Connected Ship contracts in the last few years. Major focus was given to the contracts and new product development due to the changing requirements of commercial, government and navy.
Get online access to the report on the World's First Market Intelligence Cloud
- Easy to Download Historical Data & Forecast Numbers
- Company Analysis Dashboard for high growth potential opportunities
- Research Analyst Access for customization & queries
- Competitor Analysis with Interactive dashboard
- Latest News, Updates & Trend analysis
Request Sample Scope of the Report
Get online access to the report on the World's First Market Intelligence Cloud
- Easy to Download Historical Data & Forecast Numbers
- Company Analysis Dashboard for high growth potential opportunities
- Research Analyst Access for customization & queries
- Competitor Analysis with Interactive dashboard
- Latest News, Updates & Trend analysis
Report Metric |
Details |
Market size available for years |
2019–2022 |
Base year considered |
2022 |
Forecast period |
2023-2028 |
Forecast units |
Value (USD Billion) |
Segments Covered |
By Application, By Installation, By Platform, By Fit |
Geographies covered |
North America, Europe, Asia Pacific, Rest of the World |
Companies covered |
ABB (Switzerland), Emerson Electric Co. (US), Wartsila (Finland), Kongsberg Gruppen ASA (Norway), and Thales Group (France) and among others. |
Connected Ship Market Highlights
The study categorizes Connected Ship market based on Application, Installation, Platform, Fit, and Region.
Segment |
Subsegment |
By Application |
|
By Installation |
|
By Platform |
|
By Fit |
|
By Region |
|
Recent Developments
- In May 2023, ABB :- ABB is developing a revolutionary propulsion system concept to increase ship efficiency. It will be first electric propulsion system in the industry for ABB. These will give ultimate efficiency and new vessel design. The company estimated the first prototype of these product will be available in 2025..
- In May 2023, Kongsberg Gruppen ASA : - Kongsberg Maritime has successfully demonstrated a range of remote and autonomous technologies on a cargo vessel operating off the coast of Norway. These is one of the two vessels that are equipped for remote-operated and autonomous transport demonstrations for the Autoship project.
- In April 2022, Wartsila :- Wartsila launches Smart Realities, virtual and augmented simulation solutions for scalable and realistic training experience. These will be fully immersive extended reality (XR) training and assessment solution for ship handling, bridge and marine, engineering applications that allow mariners to develop their skills.
Frequently Asked Questions (FAQ):
Which are the major companies in the Connected Ship market? What are their major strategies to strengthen their market presence?
Some of the key players in the Connected Ship market are ABB (Switzerland), Emerson Electric Co. (US), Kongsberg Gruppen ASA (Norway), Wartsila (Finland) and Thales Group (France), among others, are the key manufacturers that secured Connected Ship system contracts in the last few years.
What are the drivers and opportunities for the Connected Ship market?
The market for Connected Ship has grown substantially across the globe, especially in Asia Pacific. With new capabilities, including faster data rates, better fleet operation, and increased efficiency, maritime is growing vigorously quickly. Due to this increased demand, there is an increased need for connected ship market with the necessary capabilities. Several advancements in connected ship have been made recently, and the creation of cutting-edge ship technologies such as Internet Of Things (IOT). Because of these developments, ship can now access the real time data and support more advanced sophisticated applications.
Which region is expected to grow at the highest rate in the next five years?
The market in the Asia Pacific region is projected to grow at the highest CAGR from 2023 to 2028, showcasing strong demand for Connected Ship in the region. Several Asia Pacific countries and organizations are also actively investing in the deployment of Connected Ship around the region.
What is the CAGR of the Connected Ship Market?
The CAGR of the Connected Ship Market is 7.7%
Which function of Connected Ship is expected to significantly lead in the coming years?
The Application segment of the Connected Ship market is projected to witness the highest CAGR. There have been various application of Connected ship for different purposes such as Fleet Health Monitoring, Fleet Operation, Vessel Traffic Management and other applications for various end-user. The market will be driven by the widespread usage of Connected Ship to improve Maritime.
To speak to our analyst for a discussion on the above findings, click Speak to Analyst
The study involved four major activities in estimating the current size of the Connected ship market. Exhaustive secondary research was done to collect information on the market, peer market, and 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. After that, market breakdown and data triangulation were used to estimate the market size of segments and subsegments.
Secondary Research
The ranking analysis of companies in the Connected Ship market was carried out using secondary data from paid and unpaid sources, as well as by analyzing the product portfolios and service offerings of key companies operating in the market. These companies were rated based on the performance and quality of their products. These data points were further validated by primary sources.
Secondary sources referred for this research study included the the United Nations Conference on Trade and Development (UNCTAD),corporate filings such as annual reports, investor presentations, and financial statements of trade, business, and professional associations. The secondary data was collected and analyzed to arrive at the overall size of the market, which was validated by primary respondents.
Primary Research
Extensive primary research was conducted after obtaining information regarding the Connected Ship market scenario through secondary research. Several primary interviews were conducted with market experts from both the demand and supply sides across major countries of North America, Europe, Asia Pacific, the Middle East & Africa, and Latin America. Primary data was collected through questionnaires, emails, and telephonic interviews. The primary sources from the supply side included various industry experts, such as Chief X Officers (CXOs), Vice Presidents (VPs), Directors from business development, marketing, product development/innovation teams, and related key executives from Connected ship vendors; system integrators; component providers; distributors; and key opinion leaders.
Primary interviews were conducted to gather insights such as market statistics, data on revenue collected from the products and services, market breakdowns, market size estimations, market forecasting, and data triangulation. Primary research also helped in understanding the various trends related to technology, application, vertical, and region. Stakeholders from the demand side, such as CIOs, CTOs, CSOs, and installation teams of the customer/end users who are using Connected Ship, were interviewed to understand the buyer’s perspective on the suppliers, products, component providers, and their current usage of Connected Ship and future outlook of their business which will affect the overall market.
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
The research methodology used to estimate the size of the Connected Ship market includes the following details.
- The top-down and bottom-up approaches were used to estimate and validate the size of the Connected Ship market. The research methodology used to estimate the market size includes the following details.
- The key players were identified through secondary research, and their market ranking was determined through primary and secondary research. This included a study of the annual and financial reports of the top market players and extensive interviews of leaders, including chief executive officers (CEO), directors, and marketing executives.
- All percentage shares, splits, and breakdowns were determined using secondary sources and verified through primary sources. All possible parameters that affect the markets covered in this research study were accounted for, viewed in extensive detail, verified through primary research, and analyzed to obtain the final quantitative and qualitative data. This data was consolidated, enhanced with detailed inputs, analyzed by MarketsandMarkets, and presented in this report.
Connected Ship market size: Bottom-Up Approach
- The bottom-up approach was employed to arrive at the overall size of the connected ship market from the revenues of the key players in the market.
- Calculations based on the revenues of key players identified in the market led to the estimation of the overall size of the connected ship market
- The bottom-up approach was also implemented for extracting data from the secondary research to validate the revenues of different market segments
- With the data triangulation procedure and validation of data through primaries, the overall sizes of the parent market and each individual segment of the market were determined and confirmed in this study
Global Connected Ship Market Size: Top-Down Approach
In the top-down approach, the size of the connected ship market was used to estimate the sizes of individual markets (mentioned in the market segmentation) through percentage splits obtained from secondary and primary research. For the calculation of the sizes 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 for the data extracted from secondary research to validate the market segment revenues obtained. With the data triangulation procedure and validation of data through primaries, the sizes of the overall parent market and each individual market were determined and confirmed in this study. Companies manufacturing Connected Ship are included in the report.
- Companies’ total revenue was identified through their annual reports and other authentic sources. In cases where annual reports were unavailable, the company revenue was estimated based on the number of employees using sources such as Factiva, ZoomInfo, press releases, and any publicly available data.
- Company revenue was calculated based on their operating segments.
- All publicly available company contracts related to Connected ship were mapped and summed up.
- Based on these parameters (contracts, agreements, partnerships, joint ventures, product matrix, secondary research), each segment’s share of connected ship was estimated.
Data Triangulation
After arriving at the size of the connected ship market from the market size estimation process explained above, the total market was split into several segments and subsegments. The market breakdown & data triangulation procedures explained below were implemented, wherever applicable, to complete the overall market engineering process and arrive at the exact statistics for the market segments and subsegments. The data was triangulated by studying various factors and trends from both, demand- and supply-side. Along with this, the market size was validated using both, top-down and bottom-up approaches.
Report Objectives
- To define, describe, and forecast the connected ship market based on ship type, installation type, application, fit, and region
- To forecast the size of different segments of the connected ship market with respect to 4 major regions, namely, North America, Europe, Asia Pacific, and Rest of the World (RoW), along with their respective key countries
- To identify and analyze drivers, restraints, opportunities, and challenges influencing the growth of the connected ship market
- To identify the industry trends, market trends, and technology trends that are currently prevailing in the connected ship market
- To analyze micromarkets1 with respect to their individual growth trends, prospects, and contribution to the connected ship market
- To provide company profiles of the leading players in the connected ship market based on their product portfolios, market shares, and key growth strategies
- To provide detailed information on the financial positions, key products, and key developments of the leading companies operating in the connected ship market
- To track and analyze competitive developments such as joint ventures, mergers, and new product launches carried out by the key players in the connected ship market
Market Definition
Connected ships enable interconnection between various systems and subsystems of ships to provide a common operating picture to ship operators and shipping companies to help them organize and operate their ship fleets in an efficient manner. Connected ships are the evolution of ship automation solutions as they integrate disparate systems of ships to shore platforms to facilitate effective management of ship fleets. These ships use different techniques of Big Data analytics for monitoring the performance of ships.
The use of integrated and autonomous systems are major part of connected ships which makes it automated and gives fast solutions. Advanced technologies like Artificial Intelligence (AI), Data analytics, Cyber Security are being used and developed in connected ships.
Market Stakeholders
- Suppliers of Ship Systems
- Shipbuilders
- Shipping Companies
- Software/Hardware/Services, and Solution Providers
- Original Equipment Manufacturers (OEMs)
Available Customizations
MarketsAndMarkets offers the following customizations for this market report:
- Additional country-level analysis of the Connected Ship market
- Profiling of additional market players (up to 5)
Product Analysis
- Product matrix, which provides a detailed comparison of the product portfolio of each company in the Connected Ship market
Growth opportunities and latent adjacency in Connected Ship Market
I was wondering if your market research report included any information on shipments associated with the country France. More specifically, the number of importers/exporters and the frequency of shipments per year, and, that said, the importers/exporters engaged in, the top markets for importing/exporting, etc. Email correspondence works best, if and when possible. Thank you for your time.