Airports

Airport automation market to grow to $7.7bn by 2028

A new report by research company MarketsandMarkets projects the airport automation market to grow from US$5.8bn in 2023 to $7.7bn by 2028.

The forecast would mean a CAGR (compound annual growth rate) of 5.8 per cent from 2023 to 2028.

The research projects that, during the forecast period, the ‘automation level 3.0’ segment will hold the largest market share. Meanwhile, medium-sized airports will make the most of automated technologies, holding the largest share of the market.

According to MarketsandMarkets, automated systems contribute to a smoother and more convenient passenger experience. Self-service check-in kiosks, automated security checks and electronic boarding passes contribute to shorter wait times and a more seamless journey through the airport.

In its new report, the research company identified that an increasing emphasis on customer-centric strategies is vital for market growth.

Liam Hunt, director and analyst at sophisticatedinvestor.com, told ARGS: “The projected expansion of the airport automation market reflects a notable shift in the aviation industry.

“This growth is driven by the pursuit of greater efficiency and passenger convenience, accelerated by the Covid-19 pandemic’s impact on touchless and automated solutions.

“Airports are modernising to accommodate rising travel demand, improve sustainability and align with evolving regulations.

“Automation not only offers cost savings but also introduces advanced technologies like artificial intelligence and the Internet of Things, providing data-driven insights for optimising operations and enhancing security.”

Bassem Elsayed Mostafa, lead market analyst and owner at GlobeMonitor market research agency, agrees that an increasing focus on the passenger experience is driving growth in the industry.

“There’s a growing focus on enhancing passenger experiences through automation. This includes developments in the ‘automation level 3.0’ segment, which is projected to hold the largest market share,” he said.

“This segment emphasises a collaborative approach between humans and machines, balancing automated tasks with human oversight for decision-making and control, thereby enhancing system reliability and safety ​​…

“Major companies like Daifuku, Collins Aerospace, Siemens, and Amadeus IT Group are actively developing advanced airport automation solutions.

“Their efforts are focused on leveraging advanced technologies to automate various airport operations, contributing to the overall growth of the market​​.”

He added that these factors indicate “a strong and dynamic growth trajectory for the airport automation market, driven by technological advancements, regional demand and industry efforts to improve passenger experiences and operational efficiency”.

 Image credit: @leeyiutung/Adobe Stock

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