Aircraft communication system market has witnessed a remarkable expansion, over the recent years, synonymous to the burgeoning global aviation sector. As per the World Transport Statistics, the 2017 yearbook published by International Air Transport Association, airlines worldwide carried approximately 3.8 billion passengers in 2016 - representing an additional 242 million air trips and a humongous increase of 7% in the global air travel compared to 2015. Moreover, the rise in civil aviation has been complemented with surging military spending by numerous governments which has only added to the existing fleet of defense aircrafts.
As a consequence of the aforementioned factors, the aircraft communication system industry has been accumulating lucrative proceeds in the recent years. In fact, as per a research report by Global Market Insights, Inc., the overall aircraft communication system market share was estimated at over USD 815 million in the year 2016.
U.S. Aircraft Communication System Market, By Product, 2016 & 2024, (Units)
The rising popularity of SATCOM to drive aircraft communication system market share expansion
A rather crucial component of the air traffic management, SATCOM has emerged as the most popular product of the aircraft communication system industry in the recent past. As the global air traffic is expected to increase at an unprecedented pace every year, prominent airlines across the world would undoubtedly be upgrading their SATCOM systems to enhance passenger experience and upgrade operational efficiency. Furthermore, SATCOM is being deployed extensively in military aircrafts - a factor that has further boosted the growth prospects of aircraft communication system market.
Elaborating further on the rising prominence of this product segment, numerous industry players have been competing fiercely to develop top notch SATCOM systems to cater the increasing demand from aviation sector. Enumerated below are a few instances which highlight the growing influence of the latest SATCOM products on the overall aircraft communication system industry landscape:
Apart from rapid technological advancements in product development, one of pivotal factors to have contributed toward the exponential growth of aircraft communication system market is the swiftly expanding commercial aircraft space. One of the forerunners of the aerospace industry, Airbus for instance has set an ambitious target of tripling its services revenue from its commercial aircraft business to USD 10 billion within the ensuing seven.
The firm further aims to target measures worth USD 555 million to enhance productivity in 2018. With such massive investments being poured in by chief market players, it is quite undeniable that aircraft communication system industry would witness drastic transformation over the estimated time frame. All in all, the aircraft communication market is overt to stand as a major beneficiary of the next-gen technology incorporation in modern airplanes. In terms of remuneration portfolio, the fraternity is slated to surpass the billion-dollar benchmark by 2024.