Connected Aircraft Market Report 2025

The connected aircraft market size has grown rapidly in recent years. It will grow from $7.84 billion in 2024 to $9.16 billion in 2025 at a compound annual growth rate (CAGR) of 16.9%. The growth in the historic period can be attributed to demand for operational efficiency, enhanced safety and situational awareness, rise in air passenger traffic, fuel efficiency and emissions reduction, government regulations and standards, increased aircraft complexity.

The connected aircraft market size is expected to see rapid growth in the next few years. It will grow to $16.16 billion in 2029 at a compound annual growth rate (CAGR) of 15.2%. The growth in the forecast period can be attributed to next-gen air traffic management, demand for in-flight connectivity, predictive maintenance and health monitoring, smart cabin solutions, integration with ground operations, urban air mobility (UAM) expansion, green aviation initiatives. Major trends in the forecast period include rapid adoption of in-flight connectivity, integration of IoT technologies, enhanced aircraft health monitoring, digitalization of cockpit and cabin systems, data analytics and artificial intelligence (AI), cybersecurity concerns.

The connected aircraft market is poised for growth, driven by the anticipated increase in air passenger travel. The surge in air travel has prompted airline companies to expand their fleets to meet the growing demands of passengers. Notably, data from the International Air Transport Association in February 2023 revealed a significant increase of 64.4% in revenue passenger kilometers (RPKs) in 2022 compared to 2021. International traffic witnessed a remarkable surge of 152.7% during the same period, while domestic traffic increased by 10.9%. This surge in air passenger travel is a key factor propelling the connected aircraft market's growth.

The increasing demand for fuel efficiency is anticipated to drive the growth of the connected aircraft market in the future. Fuel efficiency is a term that indicates how far a vehicle can travel on a specific amount of fuel. The rising need for fuel efficiency supports the connected aircraft market by promoting the adoption of connected aircraft technologies that enhance operational efficiency, reduce costs, and improve passenger experience. For example, a report published by the Energy Information Administration (EIA), a US-based government agency, revealed that vehicle efficiency increased by an average of 2% in the United States between April 2021 and April 2022. Additionally, in April 2022, the U.S. Department of Transportation, a federal executive department, announced new fuel economy standards that mandate an 8% annual increase in fuel efficiency for model years 2024-2025 and a 10% annual increase for model year 2026. Thus, the growing demand for fuel efficiency is propelling the growth of the connected aircraft market.

Technological advancement is a significant trend gaining traction in the connected aircraft market. Major companies in this sector are concentrating on developing innovative technological solutions to enhance their market position. For example, in April 2022, Universal Avionics, a US-based company in the connected aircraft industry, introduced its connectivity ecosystem technology, which enables aircraft pilots to connect Apple iPads to the flight management system. This technology facilitates two-way communication, data collection, and the uploading and downloading of flight management systems (FMS) and other avionics systems. It improves the analytics related to each flight and allows operators to optimize flight operations and aircraft availability for individual aircraft or entire fleets when connected to ground infrastructure.

Major companies in the connected aircraft market are concentrating on product innovation, such as the AeroSync Mission (AEC115), to gain a competitive advantage. The AeroSync Mission is a connectivity solution specifically tailored for aircraft, particularly helicopters. For instance, in March 2022, Astronautics Corporation of America, a US-based manufacturer of aircraft and other avionics systems, launched the AeroSync Mission (AEC115). This solution is designed to enable secure and integrated wireless data transmission for aircraft, providing quick and reliable communication for crews and passengers in challenging helicopter environments. It serves as a comprehensive air-to-ground data management platform that securely transfers information to and from the aircraft, offering high-speed access to flight, mission, and maintenance data.

In May 2023, Viasat Inc., a US-based communications firm known for its satellite internet services, networking systems, and secure communications, acquired Inmarsat for an undisclosed sum. This acquisition allows Viasat Inc. to improve its satellite communication capabilities and enhance inflight connectivity services for both commercial and military aircraft. Inmarsat is a UK-based mobile satellite communication company that offers connected aircraft services.

Major companies operating in the connected aircraft market are Honeywell International Inc., Gogo Inc., Thales Group, Inmarsat PLC, Collins Aerospace, Viasat Inc., BAE Systems PLC, The Boeing Company, Airbus SE, Bombardier Aviation, Kontron AG, Panasonic Avionics Corporation, Nelco Ltd., Eutelsat S.A., Zodiac Aerospace, L3Harris Technologies, Société Internationale de Télécommunications Aéronautiques, Global Eagle Entertainment Inc., Cobham Aerospace Communications, Astronics Corporation, SmartSky Networks LLC, Intelsat S.A., Iridium Communications Inc., AeroVironment Inc., Avionica Inc., Satcom Direct Inc., Airspan Networks Inc., Tata SIA Airlines Limited, Gilat Satellite Networks Ltd., Phasor Inc.

North America was the largest region in the connected aircraft market in 2024. North America is expected to be the fastest-growing region in the connected aircraft market report during the forecast period. The regions covered in the connected aircraft market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the connected aircraft market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Connected aircraft refers to solutions designed to transform modern aviation by integrating satellite components, airplane hardware, airtime connectivity, and on- and off-board apps and services. This integration aims to alter the way people communicate in aviation, providing seamless connections between the aircraft and the ground, increasing flight efficiency, safety, and enhancing the passenger experience.

The primary types of connected aircraft include systems and solutions. Systems support operations such as data management and satellite communication. In the connected aircraft market, systems refer to electronic devices serving various purposes, including bringing fuel, air, and ignition together in an aircraft engine for combustion. These systems encompass basic tracking devices, installed communication devices, and high-capacity multitasking systems. Connectivity types include inflight connectivity, air-to-air connectivity, and air-to-ground connectivity, utilizing frequency bands such as Ka-band, Ku-band, and L-band. These technologies find applications in both commercial and military contexts.

The connected aircraft market research report is one of a series of new reports that provides connected aircraft market statistics, including connected aircraft industry global market size, regional shares, competitors with a connected aircraft market share, detailed connected aircraft market segments, market trends and opportunities, and any further data you may need to thrive in the connected aircraft's industry. This connected aircraft market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The market includes revenues earned by entities providing real-time information, ground and airborne command information, controlled communication services. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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