The global Artificial Intelligence (AI) in Aviation market accounted for US$ 321.4 Mn in 2020 with a considerable CAGR of 47.3% during the forecast period of 2021 to 2028.
As artificial intelligence (AI) continues to evolve, companies are implementing tremendous changes in their respective fields. The majority of the tech giants are investing in AI technology to enhance their products and services offerings to serve their customers in an advanced manner. For the past decade, world-leading airlines are exploring how artificial intelligence can help them improve operational efficacy, offer passengers a more personalized travel experience and eventually boost revenue generation. In addition to that, many leading airlines use AI and machine learning to increase workload, speed, and safety to enable more complex technology like autonomous vision-based navigation and data ecosystems.
AI’s ability to process vast amounts of data and streamline tasks and procedures of airport facilities propels the global artificial intelligence (AI) in the aviation industry. AI has also helped humans to make real-time decisions in a threat-like situation. This aspect of AI will assist pilots to make quick decisions in critical scenarios and save hundreds of lives. AI takes less intervention than humans and performs most of the crucial tasks on its own. So, the dependability of staff on critical responsibilities is decreased, thus reducing the number of high-paying jobs. The implementation of AI is also propelled owing to its cost-effectiveness and timely managed tasks. AI is considered to be the most efficient technology when it comes to operational efficiency and time management. An AI tech will help airport authority with tickets management, flight management, flight delay, weather forecast, customer service, as well as staff management.
In addition, the growing adoption of big data in the aviation industry is likely to boost the demand for AI in the aerospace sector. Big data in the aviation sector is used to simplify the ticket purchasing process, baggage screening, and security checks. Eventually, automating these procedures will help travelers as well as airport staff to seamlessly carry out the security check procedures. However, the lack of AI experts in the aviation industry, system malfunction, and security concerns are few factors that might hamper the AI in aviation market growth. Prominent airlines are increasing their capital investing in AI to boost their revenue stream, which is likely to create numerous growth opportunities for the market in the coming years. Furthermore, an increase in fuel efficiency and growing demand for cloud-based services in the aviation sector are also expected to fuel the market growth during the projected years.
COVID-19 impact analysis on the Artificial Intelligence in Aviation Market
The Covid-19 pandemic forced countries to curb air travel across the world, while most of the international flights were grounded in 2020. Thus, the industry witnessed a huge drop in revenues, which eventually affected the adoption of AI in the aviation sector. However, with the re-opening of lock-downs withdrawal of travel restrictions is again increasing global air travel. Thus, AI in the aviation market is likely to pick-up demand in the coming years.
|Market||Artificial Intelligence (AI) in Aviation Market|
|Analysis Period||2017 - 2028|
|Forecast Data||2021 - 2028|
|Segments Covered||By Offering, By Application, By Technology, and By Geography|
|Regional Scope||North America, Europe, Asia Pacific, Latin America, and Middle East & Africa|
|Key Companies Profiled||
Airbus SE, Amazon, Boeing, Garmin Ltd., General Electric, IBM Corporation, Intel Corporation, Lockheed Martin, Micron Technology, MiSmart Maintenanceoft, MINDTITAN, Neurala, Inc. NVIDIA corporation, Samsung Electronics, TAV Technologies, Thales Group, and Xilinx among others.
||Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis|
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The global artificial intelligence in aviation market is segmented based on offering, technology, application, and region. Based on the offerings segment, the market classifies as hardware, software, and services. The software offerings contributed to the maximum share in 2020, owing to the developments in AI software for applications such as flight operations, surveillance, and airport operations.
By technology, the segmentation bifurcates into machine learning, natural language processing, context awareness computing, and computer vision. Among technology, machine learning occupied the maximum share in 2020. The growth is credited to machine learning’s ability to perform on previously irresolvable calculations and its ability to collect and manage big data efficiently.
Moreover, the application segment is further sub-segmented into virtual assistants, smart maintenance, manufacturing, training, surveillance, flight operations, dynamic pricing, and other applications. Based on the application, the virtual assistants occupied the principal share and are likely to continue its trend during the forecast period. Virtual assistants in AI help airliners improve their productivity and increase the efficiency of pilots by involving them in repeated works such as reading weather forecasts, changing radio channels, and giving position information.
North America region is expected to lead global Artificial Intelligence (AI) in Aviation market during the projected period of 2021 to 2028
Among all the regions, North America generated the highest revenues in 2020, accounting for more than half of the total market share. This is attributed to the continued leadership of AI in America. The American AI Initiative in the region helps it to hold a dominant position in the artificial intelligence sector across the globe. The US led the North American AI in aviation market due to increasing investments of leading players in AI tech to maintain their inventories and increase operational efficiency. Meanwhile, the Asia-Pacific artificial intelligence (AI) in aviation market is anticipated to witness the fastest CAGR throughout the forecast period. The market for APAC is growing because of the increased demand for AI techs in countries such as China and Japan. Moreover, growing air travelers in the APAC region have also steered leading airlines to adopt AI in their daily operations to enhance their efficiency.
This section of the report pinpoints various key vendors of the market. Some of the key players offered in the report include Airbus SE, Amazon, Boeing, Garmin Ltd., General Electric, IBM Corporation, Intel Corporation, Lockheed Martin, Micron Technology, MiSmart Maintenanceoft, MINDTITAN, Neurala, Inc. NVIDIA corporation, Samsung Electronics, TAV Technologies, Thales Group, and Xilinx among others.
Market By Offering
Market By Application
Market By Technology
Market By Geography
The estimated value of global Artificial Intelligence (AI) in Aviation market in 2020 was accounted to be US$ 321.4 Mn
The projected CAGR of Artificial Intelligence (AI) in Aviation during the analysis period of 2021 to 2028 is 47.3%
Asia-Pacific region exhibited fastest growing CAGR for Artificial Intelligence (AI) in Aviation during the analysis period of 2021 to 2028