The popularity of aviation IoT is surging, despite the vulnerability of IoT systems in cybersecurity, the report says
The value of global aviation Internet of Things (IoT) market is expected to reach 25.13 billion by 2023, according to a latest report by Market Research Future.
The market is likely to grow at a healthy compound annual growth rate (CAGR) of 16.34 per cent from 2018 to 2023, the report says.
Citing the reason for such massive growth, the report mentions, smart airports are deploying the IoT technology not only to provide delightful user experience, but also to make up the losses in business.
In this era digitalisation, it has become critical to deploy technology solutions throughout the ecosystem of airport. This is time to leverage the latest IoT technology to discover a new dimension to digital transformation. The perfect blend of IoT and artificial intelligence (AI) can boost service delivery in the aviation sector.
Improving connectivity and efficiency
However, the popularity of aviation IoT is surging, despite the vulnerability of IoT systems in cybersecurity. Airlines are implementing IoT to streamline efficiency, improving connectivity and speed of communication, and reducing operational costs.
Segment-wise, the fleet management segment is expected to grow at a CAGR of 16.06 per cent between 2018 and 2023. The segment has captured the maximum market share of 50.29 per cent in 2017, valuing around US$ 3.6 billion.
The component market consists of communication services, devices, data center systems, IT Services and software, is likely to grow at 15.64 per cent CAGR by 2023. In 2017, this market segment was valued US$ 3.1 billion.
Region-wise, Asia Pacific is expected to be the fastest growing market during the said period. The aviation IoT market in the region is estimated to grow at a CAGR of 18.4 per cent, owing to the rising demand for in-flight connectivity and connected electronic devices, rapid urbanisation, growing technological advancement, improving the passenger experience and rising investments in IoT solutions by airports authorities and airline operators.
The countries like India, China, Japan and South Korea, would witness an exponential growth in the aviation IoT market.