The Aerospace Engineering Services in Airlines Market is expected to register a 3.75% CAGR during the forecast period.
The aerospace engineering services in airlines market is expected to witness high growth over the next few years. Market growth is expected to be driven by an increase in passenger traffic and subsequent demand for new aircraft along with a focus on decreasing carbon footprint through aircraft weight reduction. Globally, air passenger traffic has been increasing at a significant pace over the past couple of years. Factors such as decreasing airfares, increasing disposable income especially in developing countries, and better quality of living have influenced the market growth. According to the International Air Transport Association (IATA), global air travel is likely to double by 2030. It also estimates that China is expected to surpass the US to become the largest aviation market, in terms of passenger traffic worldwide by 2030.
There are various other issues faced by the aerospace engineering services industry such as issues associated with data management, high initial investment, and long certification period. To counter these concerns and ensure safety, countries around the world are focusing on enhancing aerospace engineering services in airlines.
North America is estimated to be a prominent region for the market due to the presence of major manufacturers, such as IBM Corporation in the region. Europe is expected to be the second-largest market due to the increasing demand for aerospace engineering technologies in the region.
Global Aerospace Engineering Services in Airlines Market Share, by Region, 2018 (%)
Source: MRFR Analysis
Global Aerospace Engineering Services in Airlines Market Growth, 2018–2030
Source: MRFR Analysis
Increase in passenger traffic and subsequent demand for new aircraft and focus on decreasing carbon footprint through aircraft weight reduction are some of the key drivers for the growth of the global market. In 2018, North America accounted for 35.87% of the global market, followed by Europe with 26.14% of the global market share.
The global aerospace engineering services in airlines market has been segmented based on service type, technology, and region. Based on service type, the market has been divided into new product development, design support, software engineering, process engineering, and Maintenance, Repair, and Overhaul (MRO). Based on technology the market is segmented as 3D Modelling, Machine Learning, Augmented Reality & Virtual Reality (AR/VR), Big Data & Analytics, Internet of Things (IoT), Biometrics, Sensors & Tracking, and Blockchain.
“North America is leading the market with a valuation of USD 501.6 million in 2018.”
The global aerospace engineering services in airlines market has been segmented, by region, into North America, Europe, Asia-Pacific, the Middle East & Africa, and Latin America. North America is expected to be the largest market for aerospace engineering services in Airlines. North America is expected to register a CAGR of 3.34% during the forecast period. The presence of prominent aerospace engineering service providers such as IBM is driving the market growth. Additionally, growing investment by companies such as Boeing in 3D printing technology is also expected to boost the market growth in the region. Moreover, the increasing air passenger traffic and the presence of major aerospace companies such as Bombardier and CAE are expected to boost the market growth in Canada.
“The software engineering service type segment is expected to dominate the market.”
Software engineering in airlines involves developing, modifying, and supporting software of advanced aircraft systems. The role of a software engineer involves planning, conducting, and coordinating the development of scientific computer programs for aircraft. The segment includes embedded software services and independent software services. Embedded software services are the process of controlling various machines such as embedded systems that are different from standard computers by making use of software engineering. An independent software is a type of software that can run on any hardware platform or a software platform such as Linux or MacOS. An independent software service provider develops and markets software products that can run on various types of computer hardware or operating systems.
The key players in the global aerospace engineering services in airlines market are Altran (France), Alten Group (France), AVL (Austria), Tata Consultancy Services Limited (India), Wipro Limited (India), Accenture PLC (Ireland), Akka Technologies (Belgium), Thompson Aero Seating Ltd. (UK), Happiest Minds Technologies (India), HCL Technologies Limited (India), International Business Machines Corporation (US), Capgemini (France).
Key Questions Addressed by the Report
HCL Technologies Limited (India), International Business Machines Corporation (U.S.), Thompson Aero Seating Ltd. (U.K.), Happiest Minds Technologies (India) are the frontrunners in the global market.
A 3.75 % CAGR is predicted to create a favorable outlook for expansion in the forecast period.
The North American regional market is estimated to steer the market in the forecast period.
The market is estimated to witness steadily rising income levels in the coming years.
The emphasis on reducing carbon footprint via aircraft weight reduction is foreseen to benefit the market in the long term.