PUBLISHER: The Business Research Company | PRODUCT CODE: 1436766
PUBLISHER: The Business Research Company | PRODUCT CODE: 1436766
Urban Air Mobility involves highly automated small aircraft transporting passengers or cargo at lower suburban or urban altitudes, tackling traffic congestion using technologies such as helicopters, VTOL, eVTOL, and UAVs.
Urban air mobility primarily encompasses piloted and autonomous systems. Piloted refers to unmanned aircraft controlled remotely from a pilot station, operating within intercity and intracity ranges. Urban air mobility finds applications across diverse industries including ride-sharing firms, scheduled operators, e-commerce entities, hospitals, medical agencies, and private operators.
The urban air mobility market research report is one of a series of new reports from The Business Research Company that provides urban air mobility market statistics, including urban air mobility industry global market size, regional shares, competitors with market share, detailed market segments, market trends and opportunities, and any further data you may need to thrive in the urban air mobility industry. This urban air mobility 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 urban air mobility market size has grown exponentially in recent years. It will grow from $3.62 billion in 2023 to $4.38 billion in 2024 at a compound annual growth rate (CAGR) of 20.8%. The growth observed in the historic period can be linked to urban development and the implementation of smart city initiatives, modernization of infrastructure, increased demand for time-efficient transportation solutions, advancements in electric propulsion systems, and the proliferation of ride-sharing and mobility services.
The urban air mobility market size is expected to see rapid growth in the next few years. It will grow to $8.8 billion in 2028 at a compound annual growth rate (CAGR) of 19.1%. The anticipated growth in the forecast period is expected to be driven by the implementation of data-driven operations and safety measures, increased investment and funding opportunities, public acceptance and perception of aerial mobility, growing demand for aerial ride-sharing services, and infrastructure development focusing on vertiports. Major trends expected during this period include the rising popularity of electric vertical takeoff and landing (e-VTOL) vehicles, advancements in air traffic management solutions, efforts towards noise reduction, integration of AI and automation in aerial mobility, adaptations in urban infrastructure, and a heightened focus on improving user experience and accessibility.
Investments in urban air mobility promise to catalyze market demand. R&D initiatives in this industry attract aerospace companies eyeing its high growth potential. An example is American Airlines' June 2021 announcement of a significant investment in Vertical Aerospace, involving pre-orders for up to 250 aircraft valued at a potential $1 billion, with an option for an additional 100 aircraft. The airline also intends a $25 million PIPE investment in Vertical. These investments signal an upsurge in urban air mobility's demand and growth trajectory.
The burgeoning urban population is anticipated to propel the urban air mobility market. Urban areas, hosting higher population densities, advanced infrastructure, and economic complexity, benefit from aerial transportation solutions to enhance efficiency and alleviate congestion. Data from the Central Intelligence Agency-The World Fact Book indicated that the urban population in the US constitutes around 83.3%, with an annual urbanization rate of 0.96% from 2020 to 2025. Similarly, in the UK, 84.6% of the population resides in urban areas, expecting an annual urbanization rate of 0.8% from 2020 to 2025. Hence, the growing urban population drives the urban air mobility market's growth.
Major players in the urban air mobility market are focusing on innovative products such as the Vertiport Management System (VMS). ANRA Technologies launched the VMS in November 2023, filling a crucial technology gap in managing vertical takeoff and landing air mobility aircraft at vertiports. This online platform, adaptable to various vertiport layouts and aircraft, facilitates efficient UAM operations, ensuring secure aircraft arrival and departure through intelligent data exchange.
Major companies in the urban air mobility market are actively pursuing partnerships to enhance profitability and contribute to the sector's growth. In November 2023, Eve Air Mobility collaborated with Flexjet to explore the potential of Urban Air Mobility through groundbreaking software simulation. This strategic partnership aims to test and enhance Eve's Urban ATM software, crucial for future Urban Air Mobility services. The collaboration involved an initial software simulation at Flexjet's Tactical Control Centre, tracking real-time helicopter flights conducted by Flexjet's UK helicopter division. User testing and feedback gathered during the simulation will contribute to refining the software for upcoming UAM operations, ensuring alignment with the requirements of future air mobility endeavors.
In September 2021 witnessed Blade Air Mobility Inc., a leading US-based helicopter company, acquiring Trinity Air Medical Inc., a US-based air and ground transportation organization, for $23 million. This acquisition strategically consolidates Trinity's substantial flight volume with Blade's expanding MediMobility business. This union positions Blade Air Mobility as the largest dedicated organ air transport company in the United States. The integration of Trinity's assets further empowers Blade Air Mobility to expand its fleet, ultimately enhancing service availability and pricing for the hospitals they collectively serve.
Major companies operating in the urban air mobility market report are Hyundai Motor Co., The Boeing Company, Lockheed Martin Corporation, Airbus SE, Honeywell International Inc., Uber Technologies Inc., Safran SA, Textron Inc., Embraer SA, Bell Textron Inc., Volocopter GmbH, Wisk Aero LLC, Joby Aero Inc., Terra Drone Corp., Airspace Experience Technologies Inc., Terrafugia Inc., Jetson Electric Bikes LLC., Fortem Technologies Inc., Karem Aircraft Inc., Urban Aeronautics Ltd., SkyDrive Inc., Lilium GmbH, EHang Holdings Limited, Carter Aviation Technologies, Jaunt Air Mobility LLC, hopFlyt Inc., EHang Intelligent Technology Co. Ltd., Guangzhou EHang Intelligent Technology Co. Ltd., Passenger Drone Research Private Limited, Archer Aviation Inc., Opener Inc., ElectraFly LLC
North America was the largest region in the urban air mobility market in 2023. Europe is expected to be the fastest growing region in the forecast period. The regions covered in the urban air mobility market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the urban air mobility market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The urban air mobility market includes revenues earned by entities by by enhancing the effectiveness of transportation in urban and cross areas while minimising its negative effects on the environment. 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.
Urban Air Mobility Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on urban air mobility market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for urban air mobility ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The urban air mobility market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.