Market Research Report
Air Traffic Control Equipment Market, By Offering, By Application, By Airspace, By Investment, By Sector, and By Geography - Analysis, Size, Share, Trends, & Forecast from 2021-2027
|Published by||AnalystView Market Insights||Product code||950978|
|Published||Content info||254 Pages
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|Air Traffic Control Equipment Market, By Offering, By Application, By Airspace, By Investment, By Sector, and By Geography - Analysis, Size, Share, Trends, & Forecast from 2021-2027|
|Published: July 1, 2020||Content info: 254 Pages||
Air Traffic Control (ATC) Equipment Market, By Offering (Hardware, Software, and Solution & Services), By Application (Communications, Navigation, Surveillance, and Automation), By Airspace (Air traffic Control, Terminal Radar Approach Control, and Remote Tower), By Investment (Brownfield, and Greenfield), By Sector (Commercial, and Defence), and By Geography (EU, NA, APAC, LATAM, and MEA) - Analysis, Size, Share, Trends, & Forecast from 2021-2027.
The global air traffic control (ATC) equipment market was valued at USD 4.06 billion by 2020, growing with 3.9% CAGR during the forecast period, 2021-2027.
Air traffic control (ATC) is an essential technology for a safe, efficient, and effective aviation system. The main purpose of ATC technology is to keep a safe distance between flights, provide landing instructions to pilots, issuing takeoff, monitor and direct the movement of aircraft, and alert airport response staff in the event of an emergency. The ATC technology is primarily used to avoid infractions of minimum separation.
The integration of 3D radar technology in the air traffic control system significantly contributes to the global air traffic control market growth. 3D radar technology incorporates the latest technology for air route surveillance. Moreover, it provides detection under extreme weather conditions and provides detection and tracking of aircraft without secondary surveillance radar (SSR) transporter. Key players operating in this market are focusing on the development of new technologies to break through the cutthroat competition. For example, in April 2020, UK based Aircraft Company, BAE Systems announced the up-gradation of its ATC radar simulation with the latest version of the BEST TC simulation software.
Furthermore, as the regulatory frameworks pertaining to the automotive industry continue to evolve, advancements and innovations in the ATC industry are expected to align with these regulatory modifications. In October 2019, the U.S. based company, Raytheon Technologies in collaboration with data visualization firm "Weytec Team" has developed the next-generation air-traffic control workstation called Multi-platform ATC Re-hosting Solution (MARS). Likewise, in February 2020, Northern Colorado Regional Airport tested remote ATC. The Colorado Remote Tower Project is first of its kind design that integrates both ground-based video technology with satellite-based aircraft surveillance technology. .
On the flip side, the problem associated with the 3D interface such as it is quite indistinct, the existing cues and tools are in need of being simplified limits the growth of the market. The travel restrictions imposed due to the pandemic situation is also causing a negative impact on the worldwide ATC equipment market.
Based on the product, the global ATC equipment market is broadly divided into communication, navigation, automation, and surveillance equipment. The communication segment accounted for the majority of the market share in 2019. Various industry drivers are triggering the growth of this segment. Recently, in March 2020, Nokia announced the deployment of the Irish Aviation Authority (IAA)'s next-generation air traffic control network at West Ireland disaster recovery facility. Such initiatives would, in turn, establish a healthy platform for this segment growth. Likewise, Air Traffic and Navigation Services (ATNS) announced a strategic partnership with Africa's emerging countries, to enhance safety and contribute to developing worldwide aviation intelligence by keeping seamless flight communication from Cape to Cairo.
On the contrary, the navigation equipment is expected to grow at a promising rate over the forecast period. Most of the airports in the U.S. are using area navigation (RNAV) departure technology. It is stated that more than 80-90% of the commercial and corporate aircraft operators have accepted the RNAV SID clearance over the last few years.
Airspace Type Takeaway
Based on the airspace type, the air traffic control equipment market is classified into terminal radar approach control (TRACON), air route traffic control centers (ARTCC), air traffic control tower (ATCT), and remote towers. The ATCT category led the market in 2019. Dominance is supported by the growing number of ATCT globally. The advanced radar technology and camera technology is mainly done by visual observation and these towers offer the best view over the active pavement. Moreover, associated benefits such as streamlined access reduced delays and increased safety margins compared to non-towered airports augment the segment growth to some extent.
On the flip side, the remote tower category is expected to grow at a significant rate during the forecast period due to increasing number of low-activity airports globally. The remote tower offers better surveillance at night and in snow and rain conditions, through the use of infrared and camera equipment.
Investment Type Takeaway
Depending upon investment type, the industry is classified into Greenfield and Brownfield. Of which, the brownfield segment captured maximum share in 2019. Dominance is primarily attributed to the wider availability of brownfield airports across the globe. Moreover, a number of non-metro cities are increasingly accepting Greenfield airports to boost tourism and trade.
Sector Type Takeaway
Based on the sector type, the worldwide air traffic control equipment market is classified into commercial and defense. The commercial segment led the market in 2019. Dominance is primarily attributed to rising customer demand for passenger vehicles globally. For instance, U.S. American Airlines announced to upsurge the number of domestic flights due to an increase in customer demand for air traveling. Moreover, it also announced a 55% increase in flights for the domestic schedule in July 2019, as daily air travelers increased from 32,000 to 110,000 within the month of April to May.
North America accounted for the highest share of the market with a significant stake in 2019. Increasing government investment in the ATC sector coupled with new developments has supported significantly to regional growth. For instance, in March 2019, U.S. Company Raytheon Company signed an agreement with the data solution provided, Frequentis to modernize civil airport operations in the U.S. using remote virtual tower technology. At the back of these factors coupled with innovations such as NextGen Network Enabled Weather technologies, the North America ATC market is projected to capture more than 30% share of the global market by the end of 2027.
Europe and the Asia Pacific regions will be the most lucrative markets during the study period. Asia Pacific is expanding at the fastest CAGR owing to the increased air traffic. For instance, air passenger traffic amounted to over 341 million at airports across India in the fiscal year 2020 and is anticipated to grow considerably over the next few years. Thereby, increases the demand for air traffic control equipment over the forecast period.
The sudden emergence of the novel coronavirus has a catastrophic effect on air traffic. The global industry is expected to witness sluggish growth until the pandemic subsides. The spread of novel coronavirus has established travel restrictions; almost 90% of the world's population is currently facing some form of restriction on movement. Moreover, over 40% of the world's population live in countries whose borders have been completely closed. The vulnerability arising from infection of personnel has already forced the closure of air traffic control facilities across the globe. The overall industry is projected to recover by 2020 Q1.
KEY VENDOR TAKEAWA
The leading players of the global Air Traffic Control Equipment market include Raytheon Company, Northrop Grumman Corporation, Thales Group, Searidge Technologies Inc., Intelcan Technosystems Inc., BAE Systems Plc., NavAero Inc., Lockheed Martin Corp., Harris Corporation, Comsoft GMBH, Indra Sistemas S.A., Cobham Plc., and Advanced Navigation & Positioning Corporation.
Several players are leaning toward strategic mergers and acquisitions. At present, established players are allocating their investment in collaboration with government/non-government organizations. In May 2020, China's largest cargo fleet, SF Airlines, opted ACSS and Thales Group as the exclusive product supplier for airborne Automatic Dependent Surveillance-Broadcast (ADS-B). This collaboration is an action to the Civil Aviation Administration of China's (CAAC) promotion of ADS-B technology.
The market size and forecast for each segment and sub-segments has been considered as below:
Historical Year - 2015 to2018
Base Year - 2019
Estimated Year - 2020
Projected Year - 2026
Traders, Distributors, and Suppliers
Government and Regional Agencies
SCOPE OF THE REPORT
The scope of this report covers the market by its major segments, which include as follows:
GLOBAL AIR TRAFFIC CONTROL (ATC) EQUIPMENT MARKET KEY PLAYERS
Lockheed Martin Corp
BAE Systems Inc.
Advanced Navigation & Positioning Corp.
Intelcan Technosystems, Inc.
Indra Sistemas S.A.
Searidge Technologies Inc.
Northrop Grumman Corp.
GLOBAL AIR TRAFFIC CONTROL (ATC) EQUIPMENT MARKET, BY OFFERING
Software and Solutions
GLOBAL AIR TRAFFIC CONTROL (ATC) EQUIPMENT MARKET, BY APPLICATION
VHF omnidirectional radio range (VOR)
Instrument landing system (ILS)
Runway Status Light (RWSL)
Distance measuring equipment (DME)
Precision approach radar (PAR)
Primary surveillance radar (PSR)
Automatic dependent surveillance-broadcast (ADS-B) ground station
Wide area multilateration (WAM)
Secondary surveillance radar (SSR)
Voice communication and recorder systems
HF/UHF/VHF radio systems
Automatic terminal information systems
Controller-pilot data link communications (CPDLC)
Surveillance data processing system (SDPS)
Automatic warning system
Electronic flight strip (EFS)
ATC simulation system
GLOBAL AIR TRAFFIC CONTROL (ATC) EQUIPMENT MARKET, BY AIRSPACE
Terminal Rader Approach Control ( TRACON)
Air Route Traffic Control Centers (ARTCC)
Air Traffic Control Tower (ATCT)
GLOBAL AIR TRAFFIC CONTROL (ATC) EQUIPMENT MARKET, BY INVESTMENT TYPE
GLOBAL AIR TRAFFIC CONTROL (ATC) EQUIPMENT MARKET, BY SECTOR
GLOBAL AIR TRAFFIC CONTROL (ATC) EQUIPMENT MARKET, BY REGION
Rest of Europe
Rest of APAC
Rest of LATAM
The Middle East and Africa
United Arab Emirates
Rest of MEA
TABLEAsia Pacific Air Traffic Control (ATC) Equipment market, by Application, 2015-2026 (USD Million)