Aircraft traffic management is the system used to assist the aircraft from its departure from an airport to its landing at a destination airport, including the transit phase.
The aircraft traffic management market is segmented by domain (air traffic control, air traffic flow management, and aeronautical information management), by component (hardware, and software), by end-use (commercial, and military), and by region.
Global economic growth, rise in passenger traffic, the need for airspace management, and modernization of air traffic management infrastructure are expected to drive the growth of the global aircraft traffic management market.
In terms of component, the hardware segment is likely to be the fastest growing segment and expected to hold a dominant share of the global aircraft traffic management market during the forecast period.
The hardware segment is dominant due to the construction of new airports, rising digitalization in existing airports, besides the fact that several airports are replacing aging hardware equipment with new advanced equipment. These factors propel the growth of the global aircraft traffic management market.
Moreover, developed regions such as North America and Europe are currently focusing on upgrading existing air traffic management to provide better air traffic services to the airlines, thus boosting the global aircraft traffic management market.
In January 2020, Raytheon Technologies signed a contract with US Federal Aviation Administration to develop usability and reduce operational costs for the Standard Terminal Automation Replacement System (STARS).
The major restraint of the aircraft traffic management market is high cost associated with air traffic management
Asia Pacific to Lead the Aircraft Traffic Management Market
In terms of region, the global aircraft traffic management market can be divided into North America, Europe, Asia Pacific, Middle East & Africa, and South America.
Asia Pacific is expected to witness the fastest growth in the aircraft traffic management market during the forecast period due to increasing demand from countries such as Japan, China, Taiwan, Indonesia, South Korea, and India.
The rising income of people, rising affordability, and low flight fares incentivizes passenger traffic in the APAC region, which is projected to drive the growth of the global aircraft traffic management market during the forecast period.
North America follows Asia Pacific in terms of growth in the aircraft traffic management market due to the rising modernization programs for existing airports in the U.S. and Canada which supports market demand.
The aircraft traffic management market in Europe is expected to expand at a substantial rate during the forecast period due to the rising demand for aircraft traffic management from various countries of the region. On the other hand, the market in Middle East & Africa, and South America is estimated to expand at a moderate pace during the forecast period.
Key Players Operating in the Global Aircraft Traffic Management Market
The global aircraft traffic management market was highly fragmented in 2019. Major players operating in the global market are focusing on technological advancements and expansion to meet the rising demand for aircraft traffic management. Moreover, manufacturers are undertaking mergers and acquisitions for the development of innovative products.
Key players operating in the global aircraft traffic management market include: