PUBLISHER: Mordor Intelligence | PRODUCT CODE: 1849910
PUBLISHER: Mordor Intelligence | PRODUCT CODE: 1849910
The smart airport market reached USD 6.61 billion in 2025 and is forecasted to reach USD 10.83 billion by 2030, advancing at a 10.36% CAGR.

Growing passenger traffic, tighter security mandates, and the need for real-time operational visibility prompt airports to accelerate digital transformation. Biometric identity management, IoT-enabled asset tracking, and AI-driven analytics are core investment themes, helping operators raise throughput without costly physical expansion. Cyber-resilience has moved to the forefront as the aviation sector recorded a 74% jump in attacks since 2020, driving parallel growth in cybersecurity budgets. Large-scale roll-outs-such as Singapore Changi's plan to automate 95% of immigration lanes by 2026 and Dubai's biometric boarding at Al Maktoum International by 2025-underscore how smart technologies serve efficiency and passenger-experience objectives.
Pandemic recovery pushed passenger queues beyond pre-2020 levels, forcing airports to add biometrics that cut document checks by 40% while sustaining security standards. The TSA now runs credential authentication units across 25 major US hubs, and Changi targets 95% automated immigration by 2026. Europe's new Entry/Exit System, which starts in 2025, will require biometric capture for all non-EU travelers, turning regulation into a global catalyst. Although privacy concerns and system-to-system interoperability remain unresolved, the cost-benefit case strengthens as passenger volumes climb.
Airports are re-architecting technology stacks to deliver predictive, real-time decision support. Amadeus reports that 94% of operators increased IT budgets for 2025, with digital customer experience and operational resilience as top priorities. Shenzhen Airport's tie-up with Huawei shows the upside: 30 smart projects, including AI stand-allocation, reduced aircraft assignment time from 4 hours to 1 minute. Cloud passenger platforms extend services beyond fixed counters, yet successful roll-outs demand heavy change-management investment.
Integrating biometrics, IoT, and AI with legacy systems often exceeds budgets. A University of Zilina study on Central-European airports highlights financing gaps and limited tech staff that stall projects. Vendors such as Aerosimple price SaaS suites between USD 6,000 and USD 50,000 annually, reducing barriers yet not eliminating middleware complexity.
Other drivers and restraints analyzed in the detailed report include:
For complete list of drivers and restraints, kindly check the Table Of Contents.
Security systems commanded 28.97% revenue in 2024, underlining how mandated screening drives early digital spend. Frankfurt Airport's AI scanners, installed in 2025, cut wait times while lifting detection accuracy. The smart airport market size for security platforms is projected to grow steadily as new regulations add biometric and cyber layers. Communication systems follow, powered by 5G backbone upgrades that support real-time situational awareness.
Smart retail and hospitality platforms, growing at a 13.20% CAGR, capture airports' push for non-aeronautical revenue. Hong Kong International's checkout-free "Travelwell" store showcases how data-rich shopping elevates spend per passenger. As analytics personalize offers, customer dwell time converts into margin, making retail tech the fastest-moving line in the smart airport market.
Physical assets-biometric kiosks, sensors, networking gear-held 41.89% of 2024 revenue. Higher-level software cannot function without this hardware layer, which explains sustained capital flows into scanners and edge devices. Cisco notes that 72% of IT leaders now look for cross-domain platform architectures, reinforcing hardware's foundational role.
Services, expanding at 12.76% CAGR, address skills shortages. Heathrow's five-year extension with SITA for network stewardship signals airports' preference to outsource lifecycle management. Cloud-delivered managed services let smaller facilities access best-in-class capabilities without building large IT teams.
The Smart Airport Market Report is Segmented by Technology (Security Systems, Communication Systems, Air and Ground Traffic Control, and More), Solution (Hardware, Software, and Services), Application (Landside, Airside, and Terminal Side), Airport Size (Large, Medium, and Small), Airport Technology (Airport 2. 0, and More), and Geography (North America, Europe, and More). The Market Forecasts are Provided in Terms of Value (USD).
North America controlled 26.57% of 2024 revenue, supported by TSA biometric deployments and the FAA's NextGen airspace overhaul. A construction wave slated through 2025 further modernizes terminals and expands smart infrastructure. The region's deep vendor ecosystem and stable funding pipeline sustain steady growth inside the smart airport market.
Asia-Pacific is the fastest-growing region with a 12.44% CAGR. Governments have earmarked USD 240 billion for airport builds and upgrades through 2035 to accommodate surging demand. Projects from Singapore to Vietnam and the Philippines adopt end-to-end digital designs from day one, embedding biometrics, private 5G, and digital-twin frameworks. India's DigiYatra roll-out highlights policy-driven biometric adoption. APAC's smart airport market size will overtake North America before 2030 if current funding stays on track.
Europe maintains a material share by aligning sustainability goals with technology adoption. Net-zero roadmaps push energy-efficient systems and robotic parking expansions such as Lyon's 2,000-unit rollout. Standardized EU privacy rules shape biometric deployments, ensuring passenger trust. The region's collaborative R&D projects-from Collins Aerospace's high-voltage distribution for hybrid-electric aircraft to Munich Airport's innovation hub-enrich a mature yet progressive smart airport market landscape.