(Aviation-NewsWire.Com, August 26, 2020 ) According to the new market research report the IoT in Aviation Market is projected to grow from $593 million in 2019 to $1,941 million by 2025, at a CAGR of 21.9% during the forecast period. Advancements in wireless network technologies increased efficiency and connectivity, and improved passenger experience are some of the major factors driving the market. With increasing passenger traffic, airports are finding innovative ways to lower their operational costs and generate new revenue streams. By leveraging technologies such as IoT, airports can enhance their efficiency, specifically in the area of baggage handling, passenger handling, and air traffic control.
By end market, the airlines segment is expected to be a larger contributor to the IoT in aviation market during the forecast period.
The adoption of IoT technology by airlines reduces some of the most common complaints in the industry, such as lost bags, flight delays, and customer service issues. For example, Virgin Atlantic started using IoT in its fleet of Boeing 787 planes and cargo equipment connected via IoT devices. These projects resulted in a reduction in delays by 20% as well as a reduction of 2 hours from daily working hours.
By application, the passenger experience segment is projected to grow at the highest growth rate during the forecast period.
The passenger experience segment of the IoT in aviation market is expected to grow at the highest rate during the forecast period. The focus of airlines to increase their ancillary revenues and growing demand for enhanced travel experience are driving the growth of this segment. The use of smartphones enables passengers to plug-in to airline apps for baggage tracking, alerts, and request personalized services. They can also connect to beacons in airports for easy navigation.
North America is expected to be the largest market for IoT in aviation during the forecast period. The global need for optimizing operations at airports is fueling investments in the area of IoT, as implementing this technology has the potential to bring transparency in airport operations. With increasing passenger traffic and a fleet size of airlines, airports are required to make data-driven decisions by leveraging new technologies such as IoT, AI, and Blockchain.
Additionally, the presence of major airports and leading IoT in aviation companies in the US has resulted in high investments in the field of IoT in North America. Some of these leading companies include Microsoft Corporation (US), IBM Corporation (US), Cisco Systems, Inc. (US), and Honeywell Aerospace (US).
Key Market Players
Some of the major players in the IoT in aviation market include Microsoft Corporation (US), IBM (US), Huawei (China), Cisco (US), Wind River (US), Amadeus IT Group (Spain), SITAONAIR (Switzerland), Honeywell (US), Blip Systems (Denmark), Tata Sons (India), and Sendum Wireless Corporation (Canada). These players provide IoT solutions and platforms to various aviation companies.
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