Airport Automation Market To Reach USD 12.44 Billion By Year 2032

According to a new report published by Introspective Market Research, titled, ?Airport Automation Market by Application, Type, End-user, Automation level, and Region: Global Opportunity Analysis and Industry Forecast, 2023?2032,? 

the global Airport Automation Market Size Was Valued at USD 7.30 Billion in 2023 and is Projected to Reach USD 12.44 Billion by 2032, registering at a CAGR of 6.1% From 2024-2032.

The implementation of automation at airports is transforming the aviation sector, providing tremendous benefits across all parts of airport operations. Automation improves passenger flow and minimizes wait times by utilizing self-check-in kiosks, automated security checks, and baggage handling systems, all while optimizing personnel resources. Automation enhances passenger comfort and control by enabling autonomous check-in, seat selection, and luggage drop-off, leading to increased satisfaction and loyalty. Automation improves safety and security by using biometric identity systems and advanced surveillance technologies. It also improves operational resilience by allowing airports to manage unanticipated occurrences and demand changes more effectively. Furthermore, automation saves money by reducing the need for manual labor and the risk of mistakes, thus boosting operating efficiency and lowering costs. Artificial intelligence, robots, and the Internet of Things all contribute to the cost and feasibility of airport automation, allowing for continuous innovation and development. Overall, airport automation is positioned to continue revolutionizing the aviation industry, defining future airports with more efficiency, passenger happiness, safety, and sustainability.

Digitalization and AI automation technologies provide dramatic opportunities for airport operations. AI integration allows airports to simplify procedures, increase efficiency, and improve the entire passenger experience. Automated check-in and boarding methods that use face recognition can improve passenger flow while minimizing wait times.  AI algorithms can enhance baggage management and tracking, reducing the chance of misplaced bags. AI-powered predictive maintenance may discover and fix equipment faults before they occur, maintaining smooth operations and avoiding interruptions. AI-driven route optimization has the potential to improve air traffic management by reducing congestion and fuel consumption. AI-based security techniques improve threat detection and safety processes. AI-powered customer care systems like chatbots may give travelers with immediate support and information. However, for airport automation to be effective, concerns about job displacement must be addressed, as well as solid data privacy and security safeguards. Leveraging AI automation allows airports to improve operational efficiency, increase customer pleasure, and adapt to the needs of the digital world.

The airport automation industry is being heavily driven by the growing emphasis on satisfying consumer expectations, improving experiences, and assuring satisfaction. As travelers want smoother, more efficient journeys, airports around the world are using automation to simplify activities such as check-in, luggage management, and security screening. Airports strive to cut wait times, eliminate inconveniences, and provide individualized services based on individual preferences by prioritizing customer-centric solutions. This customer-centric strategy not only improves passenger pleasure, but it also increases operational efficiency and lowers costs for airport operators. Furthermore, in a competitive market, airports that prioritize customer experience gain a strategic edge by drawing more passengers and increasing loyalty. As technology advances, airports must respond to changing customer expectations by investing in automation solutions that provide smooth, hassle-free travel experiences

Global Airport Automation, Segmentation

The Type segment is further classified into Standard Terminal Automation and Replacement System (STARS) and En Route Automation Modernization (ERAM). Among these, the En Route Automation Modernization (ERAM) sub-segment accounted for the highest market share. ERAM is seen as the more prevalent system in terms of its overall influence and utilization.
ERAM's main focus is on automating en-route airspace to handle high-altitude flights between airports. It upgraded the previous Host and Oceanic Computer Systems, bringing a modern approach to air traffic control during the en-route stage of flight.
On the contrary, STARS is predominantly utilized in terminal airspace to control air traffic in and around airports during departure, arrival, and flights at low altitudes. It upgraded previous terminal radar and automation systems, giving controllers improved resources to handle aircraft movements in high-traffic terminal zones.
Both systems are important in the FAA's automation efforts, but ERAM, responsible for en-route airspace, is more dominant and impactful in national airspace management. Nevertheless, both systems are essential for guaranteeing the safety and effectiveness of air traffic operations in the United States.

End-user:

The end-user segment is further classified into Greenfield and Brownfield. Among these, the Greenfield sub-segment is anticipated to show the fastest growth by 2032. Greenfield airports, built on empty land, benefit from starting fresh with no existing infrastructure. This enables them to focus on enhancing passenger experience early on through the utilization of advanced automation technologies to simplify different procedures. By integrating self-service kiosks and automated check-in systems, airports can boost operational efficiency and enhance passenger satisfaction at the same time.
Greenfield airports have the necessary technology to adapt to travelers' changing needs by incorporating advanced innovations designed for current travel demands. By prioritizing automation and digitization, these airports can ensure smooth and stress-free travel experiences for passengers, from terminal entry to flight boarding. Increased emphasis on improving the overall passenger experience is predicted to spur further growth in the emerging airport sector, with travelers placing importance on convenience and efficiency while selecting their transportation preferences. Greenfield airports are set to have a major impact on the future of air travel by demonstrating a plan for incorporating technology and passenger-focused design in the development of airports.

Region:

Airport Automation in Asia-Pacific is projected to show the fastest growth by 2031. The Asia-Pacific region leads the Airport Automation Market due to major companies' presence and technical improvements. Leading manufacturers like Daifuku Co. Ltd., Collins Aerospace, Siemens, and Amadeus IT Group all contribute considerably to the region's growth. Rapid economic growth, increased air passenger traffic, and significant infrastructure development fuel the market's pace, notably in China. The region is seeing an increase in air travel due to increased disposable incomes, urbanization, and an expanding middle class. The region's commitment to improving passenger experiences and operational efficiencies is reflected in significant investments in airport infrastructure modernization. Automation technologies are crucial for improving capacity and streamlining operations, aligning with the need to accommodate increasing passenger volumes. Notably, contemporary automation technologies are used in both new airport building projects and the expansion of existing facilities, confirming the Asia-Pacific region's role as a critical hub for promoting innovation and efficiency in airport operations.

Some of The Leading/Active Market Players Are-

  • Siemens AG (Germany)
  • Honeywell International Inc. (United States)
  • Thales Group (France)
  • Rockwell Automation, Inc. (United States)
  • SITA (Belgium)
  • IBM Corporation (United States)
  • Bosch Security Systems (Germany)
  • Collins Aerospace (United States)
  • ABB Group (Switzerland)
  • Indra Sistemas SA (Spain)and Other Active Players

Key Industry Developments

  • In Jan 2024, ABB acquired Meshmind, a software service provider, to strengthen its research and development capabilities in AI, Industrial IoT, and machine vision. Through this purchase, ABB will combine technical skills, AI, and software experience to create a new global R&D hub, accelerating the development of breakthrough automation solutions within its Machine Automation business.
  • In Nov 2023, Siemens will invest $150 million in a new manufacturing factory in Dallas-Fort Worth to power American data centers and vital infrastructure. This facility will create cutting-edge, dependable, and efficient electrical equipment. It will allow for faster expansion of US data centers, which is being driven by the exponential use of generative AI.

 Key Findings of the Study 

  • AI integration enables airports to streamline operations, boost efficiency, and enhance the overall passenger experience.
  • The airport automation sector is being fueled by an increasing emphasis on meeting customer expectations, enhancing experiences, and ensuring satisfaction.
  • The En Route Automation Modernization (ERAM) segment is expected to dominate the market throughout the forecast period.

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Posted by  T. Kumbhar

T. Kumbhar is a results-driven Senior Market Research Consultant at IMR, specializing in market trends, competitive intelligence, and data-driven insights. With extensive experience across Agrochemicals, Food Tech, Consumer Goods, Automotive, and Construction, he helps businesses make informed strategic decisions through in-depth research and analysis. His expertise includes market research, competitive analysis, business strategy, forecasting, pricing strategies, and consumer insights.