Air Traffic Control Equipment Market - Forecast(2024 - 2030) Air Traffic Control Equipment Market size is analyzed to grow at a CAGR of 6.5% during t

Air traffic control equipment is utilized for communication, navigation, as well as surveillance, in order to ensure safety and efficiency of aircraft operations, air traffic flow management, alongside aiding in the avoidance of aircraft collisions. Due to increased demand for new ground-based air traffic controllers to direct the pilot to signal aircraft safety, controlled airspace, as well as adequate ground traffic operation, usage of air traffic control (ATC) technology has been gaining wide popularity, resulting in its market growth. Air Traffic Control Equipment primarily involves the management of traffic in and around airports, airport terminals as well as airspace. As a result, industry's major manufacturers of air traffic management and ATC systems have started heavily investing in automation and digital technologies, which in turn drives the market forward. The rise of promising economies, combined with the necessity for efficient airspace management, had also prompted airlines to integrate advanced ATC technologies, thus resulting in a good market opportunity for Air Traffic Control Equipment.

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There is rising adoption of advanced communication, navigation, and surveillance (CNS) technologies. This includes the integration of satellite-based navigation systems and Automatic Dependent Surveillance-Broadcast (ADS-B) technology, which enhance the accuracy and reliability of aircraft tracking. The rise of remote and digital towers is driving use of advanced camera systems and sensors to manage air traffic control from distant locations, improving operational efficiency and safety. The growing emphasis on cybersecurity is also crucial, as the reliance on digital and interconnected systems makes ATC infrastructure vulnerable to cyber threats. Furthermore, the expansion of air traffic in emerging markets and the modernization of existing infrastructure in developed regions are driving demand for new and upgraded ATC equipment. Environmental concerns are prompting the development of green and sustainable technologies, such as more efficient flight management systems that reduce fuel consumption and emissions. Lastly, the integration of unmanned aerial vehicles (UAVs) into controlled airspace presents new challenges and opportunities, necessitating advancements in ATC equipment to safely manage the increasing complexity of air traffic.

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Report Coverage

The report: “Air Traffic Control Equipment Market Industry Outlook – Forecast (2024-2030)”, by IndustryARC covers an in-depth analysis of the following segments of the Air Traffic Control Equipment Market industry.? By Device Type: Radar Devices (Radar Data Processing & Display System (RDPDS), Primary Surveillance Radar (PSR), Secondary Surveillance Radar (SSR), Surface Movement Radar (SMR), ?Simulator Devices (Advanced Surface Movement Guidance and Control Equipment System (ASMGCS), Control Equipment Tower Simulator (CTS), Off-the Shelf Simulator (OTS), Proximity Devices (Instrument Landing System (ILS), Doppler Very High Frequency Omni-directional Radio Range and Distance, Measuring Equipment (DVOR/DME) System, Information System Devices (Information system devices, Automatic Volmet Broadcast System (AVBS), High Frequency/Very High Frequency/Ultra High Frequency (HF/VHF/UHF), Communication Equipment, Speech Processing Equipment (SPE), Voice Recording System (VRS)), Safety and Navigational Devices ( Microwave Link System, Master Clock System, Non-directional Beacon, The Backup Air Traffic Control Equipment Centre/Tower, Air Traffic Service Message Handling System) By Application: Navigation, Communication, Surveillance By End-User: Private Aircraft, Commercial and Cargo Aircraft, Defense Aircraft By Geography: North America (USA, Canada, Mexico), South America (Brazil, Argentina, Chile, Colombia, Rest of Americas), Europe (U.K, Germany, Italy, France, Rest of Europe), APAC (India, China, Japan, South Korea, Australia, Rest of APAC), and RoW (Middle East, Africa)

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Key Takeaways

• Simulator Devices segment is expected to grow at a CAGR of 11.0% during the forecast period 2024-2030, due to being used extensively in air traffic control services for ensuring efficient and smooth operations. In addition, increased adoption of simulator devices in airports for enabling existing employees become familiarized with new system or interface also affects the market growth.
• The Commercial and Cargo Aircraft segment is expected to grow at a CAGR of 6.9% during the forecast period 2024-2030. Rapid recovery of the Commercial Aircraft sector is anticipated to increase the adoption of air traffic control equipment during 2024-2030, owing to growing air traffic, attributing to reduction in domestic and international air travel restrictions imposed by countries.

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• During the forecast period, APAC is expected to grow at the fastest CAGR of 9.9%, owing to varied factors including increased aircraft production for expansion of the commercial aviation industry.

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Air Traffic Control Equipment Market Segment Analysis – By Device Type

Simulator Devices segment is anticipated to grow at a CAGR of 11.0% during the forecast period 2024-2030. Air traffic control services employ simulators extensively to ensure efficient and smooth operations. Due to highly concentrated flight traffic in major worldwide airports, even tiny errors by air traffic controllers might result in enormous disasters, which impacts the market growth. Trainee air traffic controllers can use simulator equipment to acquaint themselves with their jobs and obtain realistic experience managing numerous critical tasks. Furthermore, the gadgets can be designed to replicate emergency scenarios in order to train and test air traffic controller crisis management skills. Such realistic and innovative training techniques improve the efficiency and safety of air traffic control. Besides, owing to the rapid advancements in air traffic control systems and growing up-gradation programs, airports have increased the adoption of simulator devices to enable the existing employees to become familiarized with the new system and interface. In July 2020, Saab-contracted Micro Nav was chosen to provide a 360 degree 3D tower simulator for the Taiwan Air Navigation and Weather Services (ANWS). The new simulator was purchased in order to support the movement of ATC operations from the old Taiwan Taoyuan International Airport tower, to the new tower. Such factors are set to assist the market demand for simulator devices in the global air traffic control equipment market in the coming years.

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Air Traffic Control Equipment Market Segment Analysis - By End User

The Commercial and Cargo Aircraft segment is expected to grow at a CAGR of 6.9% during the forecast period 2024-2030. Due to increased air traffic, the rapid recovery of the commercial aircraft industry is expected to increase the adoption of air traffic control technology during the projection period. Reduction in local and international air travel limitations imposed by countries can be also linked to this growth. In March 2022, India lifted the ban placed on scheduled international commercial flights after a period of two years. According to a leading UK based aviation consultancy firm, the global commercial airlines capacity is projected to accelerate in the second half of 2022. Besides, the trans-Atlantic traffic returned to the pre-pandemic levels in the year 2023. In addition, rapid rise in disposable income across major emerging economies such as China, India, and Vietnam with availability of low cost carriers in the region is further increasing the demand for domestic air travel. This is expected to boost the market growth in the coming time.

Air Traffic Control Equipment Market Share Segment Analysis - Geography

During the forecast period 2024-2030, APAC is expected to grow at the fastest CAGR of 9.9%. The remarkable rise of the commercial aviation industry, particularly in the APAC region, has resulted in increased aircraft production. In addition, the region is expected to produce roughly 40% of future aircraft. This trend is expected to continue in the coming years, propelling the market for air traffic control equipment. A study by PWC shows that the growth in Asia Pacific’s aviation sector will continue well beyond 2020 at approximately 5% per annum over the next two decades. It emerged as the leading region in aviation traffic accounting up to 30% of the revenue of the world passenger-kilometers. It also says that most of the airports in the APAC region operate with backward infrastructure and over-planned capacity. It has led to increased investment in airport infrastructure with some governments even planning on building additional medium-sized airports. ?According to the CAAC, China plans to build over 250 new civil airports by 2025 as part of its next five-year aviation development plan. The plan also involves the implementation of upgrades for the country’s Air traffic control and management infrastructure which include air traffic control centers, traffic flow management centers and air traffic information management systems. This will drive the market. Such factors are set to drive the market of Air Traffic Control Equipment in the coming time.?

Air Traffic Control Equipment Market Value Share, By Region, 2021 (%)

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Drivers – Air Traffic Control Equipment Market?

Implementation of newest systems and technological advancements is one of the main reasons driving the growth of the Air Traffic Control Equipment market: Technological advancements in air traffic control systems such as advanced surface movement ground control systems, performance-based navigation, advanced integrated automation systems, and standard instrument departures are expected to accelerate industry growth in developing countries during the forecast period 2024-2030. Growing deployment of satellite-based air traffic control systems is likely to provide profitable prospects for worldwide market players. In 2021 The United States Missile Defense Agency awarded Raytheon Technologies a $2.4 billion production contract for seven gallium nitride (GaN)-based AN/TPY-2 radars as part of the Terminal High Altitude Area Defense system, which is meant to protect against incoming ballistic missile threats. The government's commitment towards defense spending is fueled by Asia-Pacific region's rapid pace of military modernization and technological innovation, along with substantial recapitalization initiatives in the air, sea, and land domains. Such factors are set to further propel the market growth overtime.

Modernization of Air traffic Management Infrastructure is set to positively impact the market growth overtime:

The growth of the global air traffic control equipment market is being fueled by the upgrading of air traffic management infrastructure. The United States has the world's largest, busiest, and most diverse aviation system. The FAA has been investing in new technology to update the national air traffic control system in order to satisfy the growing demands on the aviation system. NextGen is a series of operations aimed at making our aviation system more efficient. Bangladesh has modernized its nationwide air traffic management infrastructure with Thales group. The project will involve upgrading the en-route, approach, and tower systems at Dhaka's HSIA airport, as well as installing technology at other regional airports across Bangladesh. This project will help to advance the market growth during the forecast period.

Challenges – Air Traffic Control Equipment Market

Growing cybersecurity concerns along with management and retention of talent within aviation industries hampers the market growth:

To increase the safety and efficiency of air travel, civil aviation primarily relies on cyber-enabled technologies. However, as the aviation sector becomes more digitalized, new hazards have emerged as a result of system interconnectedness and reliance on technology. Air navigation systems, onboard aircraft control and communication systems, airport ground systems, flight information systems, security screening, and a range of other technologies are all employed on a daily basis and for all aviation-related operations in the aviation industry. According to the research findings, 97 out of 100 of the world's top airports have security vulnerabilities connected to weak web and mobile applications, misconfigured public cloud, Dark Web exposure, or code repositories leaks. According to recent predictions, the United States will have a shortage of 15,000 approved AMTs by 2027, which is a concerning possibility given that the global fleet is predicted to grow by 40% over the following decade. According to Boeing's research, maintenance workers will be in high demand in the Asia Pacific area and North America, with a global requirement of 754,000 technicians. This is expected to hamper the market growth.

Air Traffic Control Equipment Market Landscape

Technology launches, acquisitions, Partnerships and R&D activities are key strategies adopted by players in the Air Traffic Control Equipment Market. In 2023, the market of Air Traffic Control Equipment Market share has been fragmented by several companies. ?Air Traffic Control Equipment Market top 10 companies include:?

1. Advanced Navigation & Positioning Corp
2. BAE Systems plc
3. Raytheon Technologies Corporation
4. Cobham Limited
5. L3 Harris Technologies, Inc.
6. Northrop Grumman
7. Intelcan Techno systems Inc.
8. Indra Sistemas S.A
9. Lockheed Martin Corporation
10. SAAB AB