The value of global in-flight entertainment be as high as $7.9 billion by the year 2028 according to the latest report by Detroit-based Stratview Research, a global market and research firm.
The report provides an analysis of the global and regional industry forecast, current and emerging trends, segment analysis, and competitive landscape.
Stratview began its report by breaking down the global in-flight entertainment and connectivity market (IFEC) into segments based on aircraft type, product type, end-user type, sales channel type, and region.
Based on the aircraft type, the IFEC market is segmented into narrow-body aircraft, wide-body aircraft, regional aircraft, and business jets. The wide-body aircraft is expected to be the fastest-growing aircraft type in the market during the forecast period.
The increasing number of non-stop, long-haul flights worldwide is one of the key factors driving the segment’s growth. With IFEC becoming a more acceptable low-cost alternative to new OEM components, the segment is expected to witness a significant increase in demand in the coming years.
As for end-user type, the market is bifurcated into original equipment and aftermarket. OE is expected to remain dominant, whereas aftermarket is likely to be the fastest-growing market type in the market during the forecast period, due to the presence of a large number of pre-installed in-flight entertainment systems by airlines.
Based on the product type, the market is divided into hardware, connectivity, and content. Hardware was the most dominant segment of the market in 2022. IFE hardware is the prime component in the IFEC market to experience visual entertainment content.
In-flight connectivity is expected to be the fastest-growing segment of the market over the forecast period, with increasing penetration of wireless in-flight connectivity in aircraft fleets across the world coupled with high usage of Ku-band for commercial aircraft, whereas ATGs are used mostly in business jets as well as narrow-body aircraft.
The report suggests that North America is expected to remain the largest market for IFEC during the forecast period. This growth is majorly attributed to the following:
- IFEC is installed on more than 80 percent of all aircraft originating from North America, and the top six largest connected fleets are all based in this region, making it the most attractive market, globally.
- The presence of major IFEC vendors, such as Panasonic, Viasat, Astronics, and Gogo, indicates the region’s huge dominance and ongoing healthy growth opportunities.
Asia-Pacific is likely to grow at the fastest rate in the coming five years, driven by increasing penetration of IFEC systems in emerging economies, such as India; increasing acceptance of IFE in China and other developing countries; and expected market entry of new aircraft programs such as C919.
Some of the key drivers listed in the report are:
- A rise in the number of annual installations of IFEC systems paired up with excellent growth in air passenger traffic.
- The expected ramp-up in production rates of key aircraft programs paired with increasing penetration of IFE in the global aircraft fleet.
The market is fairly consolidated with the presence of some global and regional players. Stratview Research has identified the following companies as the top market players.
- Panasonic Avionics Corp.
- Gogo Inc.
- Intelsat S.A.
- Thales Group
- Viasat Inc.
To learn more, visit here.
