PUBLISHER: Meticulous Research | PRODUCT CODE: 1576658
PUBLISHER: Meticulous Research | PRODUCT CODE: 1576658
Smart Airports Market by Offering (Systems, Services), Application (Terminal Side (Baggage Management, Passenger Management, Resource Management, Others), Airside, Ground Side), Technology (AI, IoT, 5G, Others), & Geography-Forecast to 2030.
The research report titled, 'Global Smart Airports Market by Offering (Systems, Services), Application (Terminal Side (Baggage Management, Passenger Management, Resource Management, Others), Airside, Ground Side), Technology (AI, IoT, 5G, Others), & Geography-Forecast to 2030', provides in-depth analysis of smart airports market across five major geographies and emphasizes on the current market trends, market sizes, market shares, recent developments, and forecasts till 2030.
The smart airports market is projected to reach $10.16 billion by 2030, at a CAGR of 7.8% from 2024 to 2030. The growth of this market is driven by the rising investments in advanced technology at airports, the widespread adoption of self-service solutions, and the increased utilization of smart solutions to enhance non-aviation revenue. However, concerns related to data privacy and security may restrain the market's growth.
Moreover, the growing adoption of smartphones for a seamless check-in process and the rising adoption of automated baggage handling systems are expected to create significant growth opportunities for stakeholders in the smart airports market. However, issues associated with technology integration are some of the challenges impacting the market's growth.
Furthermore, the increasing use of AI and 5G technology in airports and the growing adoption of biometric technology for automated identity verification are prominent trends in the market.
The smart airports market is segmented by offering (systems [security systems, communication & network systems, information management systems, air and ground traffic control systems, passenger, cargo, and baggage handling systems, information display systems, building management systems, asset management, and parking management systems], and services [consulting services, integration & deployment services, support & maintenance services]), application (terminal side [baggage management, passenger management, retail operations, and resource management], airside [air traffic management, parking management, building operation, runway management, and other airside applications], and landside [parking management, and security]), and technology (IoT, AI, cloud computing, blockchain, big data and analytics, 5G, and other technologies). The study also evaluates industry competitors and analyzes the market at the regional and country levels.
Based on offering, the global smart airports market is broadly segmented into systems and services. In 2024, the systems segment is expected to account for the larger share of over 71.0% of the global smart airports market. The large market share of this segment can be attributed to factors such as the rising adoption of smart airport systems to enhance the overall travel experience for passengers, the rising investments in advanced technology at airports, and the increasing initiatives aimed at implementing top-tier security and cybersecurity measures at airports. For instance, in May 2024, Amadeus IT Group SA (Spain), a technology company dedicated to the travel industry, signed an agreement with Noida International Airport Limited to provide a passenger processing system (PPS). Through this collaboration, Amadeus will design, supply, commission, operate, and maintain the cloud-hosted end-to-end PPS for the airport.
Moreover, the systems segment is projected to register the highest CAGR during the forecast period. This growth can be attributed to the growing demand for online and mobile check-in solutions at airports to streamline check-in processes and the increasing adoption of self-service solutions at airports. Furthermore, initiatives by key players to launch airport solutions are expected to contribute to the growth of this segment. For instance, in June 2022, Thales Group (France), a global technology leader, launched HELIXVIEW. This innovative, stationary, compact, and lightweight Cabin Baggage Explosive Detection System (EDS CB) enables passengers to keep items in their luggage during security checkpoints.
Based on application, the global smart airports market is broadly segmented into terminal side, landside, and airside. In 2024, the terminal side segment is expected to account for the largest share of over 55.0% of the global smart airports market. The large market share of this segment can be attributed to the growing integration of baggage handling systems at airports, an increase in passenger traffic, and the increased deployment of digital signage for various purposes, such as advertising, emergency notifications, and way-finding information. Additionally, the rising utilization of smart airport solutions is expected to fuel the growth of this segment. For instance, in October 2024, Munich Airport introduced baggage trolleys equipped with built-in smart technology, enabling travelers to receive flight information and real-time updates via a built-in tablet. Similarly, in August 2024, an intelligent computer vision platform was installed at Bengaluru airport in India. This platform collects images from 500 live camera feeds, allowing airport staff to efficiently track everything from people to unattended luggage and manage passenger flow more effectively at congestion points.
Furthermore, the terminal side segment is projected to register the highest CAGR during the forecast period. The growth of this segment can be attributed to several factors, including the increasing demand for smart technology to provide passengers with flight information and real-time updates, the widespread adoption of 5G technology in airports to enhance communication, and the rising deployment of AI robots in passenger terminals. Additionally, the rising investments aimed at digitizing airports are expected to contribute to the growth of this segment. For instance, in August 2022, the Israel Airports Authority (IAA) announced an investment of more than USD 15 million (ILS 50 million) to initiate the digital transformation of Ben Gurion International Airport with the aim of reducing passenger overloads and shortening waiting times.
Based on technology, the global smart airports market is segmented into AI, IoT, cloud computing, blockchain, big data and analytics, 5G, and other applications. In 2024, the IoT segment is expected to account for the largest share of over 28.0% of the global smart airports market. The large market share of this segment can be attributed to the increased adoption of location tracking and facial recognition solutions, the increasing use of electronic tags and sensors for baggage tracking and tracing, and the growing deployment of IoT cameras equipped with facial recognition features to enhance safety at airports. Furthermore, airports are leveraging the capabilities of IoT to enhance passenger experience and enable smooth operations and inventory management. For instance, in November 2020, GMR Hyderabad International Airport (India) introduced IoT (Internet of Things) enabled Smart Baggage Trolleys - to track and maintain the availability of baggage trolleys for passengers in real time across the airport.
However, the AI segment is projected to register the highest CAGR during the forecast period. This growth is driven by the increasing adoption of AI to automate and optimize various airport processes, including baggage handling and security screening, and process large amounts of data to provide actionable insights to airport management.
Additionally, the rising use of AI solutions for forecasting passenger demand contributes to the segment's growth. For instance, Abu Dhabi International Airport is leveraging big data and AI to implement the 'Smart Travel' system aimed at improving passenger experience. Similarly, Eindhoven Airport in the Netherlands utilizes AI to enhance the turnaround process.
Moreover, the increasing investments aimed at integrating AI to enhance operational performance are anticipated to drive the growth of this segment. For instance, major airlines such as Delta Air Lines (U.S.), American Airlines (U.S.), and JetBlue (U.S.) are making substantial investments in AI to optimize their respective operations.
Based on geography, the global smart airports market is segmented into North America, Asia-Pacific, Europe, Latin America, and the Middle East & Africa. In 2024, North America is expected to account for the largest share of over 36.0% of the global smart airports market. North America's major market share can be attributed to the increased spending on technology by airports, the growing implementation of self-service solutions, increased deployment of biometric boarding to manage passenger traffic, and the rising adoption of smart solutions to address flight delays and cancellations.
The market in Asia-Pacific is projected to register the highest CAGR of 8.9% during the forecast period. The growth of this regional market is driven by factors such as the increasing investments in the construction of new airports and expansion of existing ones, a rapid surge in passenger traffic in countries like China, India, Japan, and South Korea, the widespread adoption of automation technologies throughout airports, and a growing emphasis on partnerships between airports and key market players for digital transformation.
Furthermore, airports in the region are digitizing processes such as online check-ins, e-boarding passes, and real-time flight updates, contributing to the market's growth. For instance, Asiana Airlines, Inc., a South Korean airline, facilitates seamless check-in through its web homepage or mobile app and provides passengers with e-boarding passes in advance.
The key players operating in the global smart airports market are Honeywell International Inc. (U.S.), Collins Aerospace (U.S.), SITA (Switzerland), Siemens AG (Germany), Daifuku Co., Ltd. (Japan), Amadeus IT Group SA (Spain), Huawei Technologies Co., Ltd. (China), T Systems International GmbH (Germany), Cisco System, Inc. (U.S.), IBM Corporation (U.S.), Thales Group (France), Schneider Electric SE (France), Wipro Limited (India), Veovo (U.K.), Sabre Corporation (U.S.), Ascent Technology (U.S.), Leidos, Inc. (U.S.), and Gorilla Technology Group Inc. (U.K.).
Smart Airports Market Assessment-by Offering
Smart Airports Market Assessment-by Application
Smart Airports Market Assessment-by Technology
Smart Airports Market Assessment-by Geography
(Note: SWOT Analysis of the Top 5 Companies Will Be Provided)