Global Remote Tower Market Research Report: Forecast (2021-2026)

Market Definition

Remote Towers is a concept that facilitates remote operations of the Air Traffic Services (ATS) through direct visual capture using cameras & sensors placed anywhere on the field, i.e., far away from the local tower. They are a potential alternative to building & maintaining physical control towers at airports, which incurs massive costs.

Remote towers can be well-implemented at airports of all sizes & different locations. Although, they were developed initially for small airports. However, several plans are now being devised & executed for their usage in medium-sized airports & for contingency operations in large airports.

Market insights

The Global Remote Tower Market is anticipated to grow at a CAGR of around 31% during the forecast period, i.e., 2021-26. A significant portion of the Global Remote Tower Market growth attributes primarily to the mounting pressure to reduce costs & modernize ATS, i.e., encouraging Air Navigation Service Providers (ANSPs) to devise new concepts for Air Traffic Management. Moreover, the rapidly expanding international & domestic airports across several developed & developing countries worldwide are also driving the global market.

Remote towers are equipped mainly with high-resolution cameras, sensors, and hardware, in addition to wide panoramic screens. With such advanced equipment, airport staff can view every angle of the airfield, i.e., controlled by highly skilled officers to provide air traffic management services. In addition, key airline services include tracking all aircraft movements, arrivals, departures, and movements at airports.

Consequently, OEMs & solution integrators are focusing on developing new strategies & innovative products to enhance the capabilities of small & medium-sized airports. It, in turn, would further infuse the demand for remote towers and boost the global market during 2021-26.

Impact of Covid-19 on the Global Remote Tower Market

The catastrophic Covid-19 pandemic in 2020 resulted in governments & aviation-related businesses imposing stringent measures to mitigate the spread of the virus. In the second quarter of 2020, the aviation sector worldwide experienced a steep decline in air traffic & revenue wherein the Global Remote Tower Market was no exception, primarily due to the overall shortage in demand for remote tower systems. The global pandemic significantly impacted the production & deliveries associated with various remote tower components.

However, the gradual upliftment of lockdowns in all countries enabled the global market to resume business operations and regain its usual growth pace. Since 2021, most countries have reopened the majority of their industries abiding by safety protocols, and both the airports & airlines partnered with their respective governments to resume global connectivity. Moreover, due to the successful effects of the Covid-19 vaccination, the number of air passengers took a rapid & significant hike, which, in turn, has boosted the demand for remote towers

Market Segmentation

By Operation:

• Single Remote Virtual Tower
• Multiple Remote Virtual Tower
• Contingency Remote Virtual Tower

Of these three, the demand for remote towers for Contingency operations associated with Air Traffic Control (ATC) is projected to witness the fastest growth during 2021-26, primarily due to the mounting need for cost-effective air traffic management, especially during emergency cases or heavy traffic flow. Contingency operations highly depend on the growth in the air traffic movement and are vital for both military & civilian purposes.

• In 2019, Scandinavian Mountains Airport in Dalarna, Sweden, became the world's first airport built without a traditional tower and indicated the beginning of a new world for ATC. Moreover, this trend is also being appreciated by larger airports as their second ATC tower.

By System:

• Airport Equipment
• Remote Tower Modules
• Network Solutions

Here, Remote Tower Modules are expecting the largest share of the global market in the coming years. They are considered the heart of remote towers and comprise the majority of the equipment used for information & control, flight data handling, & visualization. Besides, they also include some equipment responsible for surveillance & communication.

Remote towers are sustainable solutions, particularly to those airports that witness less than 40,000 movements in a year. These airports can seamlessly run their operations through Multiple Remote Tower Modules (MRTMs). Besides managing airport operations, MRTMs also offer them the advantage of integrating into a broader network of airports. Hence, owing to these aspects, Remote Tower modules are most likely to capture the largest market share during 2021-26.

On the other front, the demand for Airport Equipment systems is also expecting a decent growth in the coming years, mainly due to the surging need for high-quality input data & voice communication, i.e., crucial for the adequate functioning of remote towers. 

• On 26th August 2021, the market leader Frequentis completed the installation of its 201st Voice Switch for the Federal Aviation Administration (FAA). This latest voice communication system was installed by FAA at the Monroe Regional Airport, Louisiana.

By Application:

• Communication
• Information & Control
• Surveillance
• Visualization

Of them all, the burgeoning demand for remote towers for the Information & Control application is likely to significantly contribute to the market growth over the forecast years. The surging requirements for real-time flight tracking to ensure & execute safe airport operations drive the market for information & control purposes. Moreover, to provide aircraft with the precise position to safely land & take-off, remote towers rely greatly on the real-time aircraft position tracking system. Hence, it is another crucial aspect augmenting the overall market growth for the information & control application.

On the other front, the Communication application is expecting considerable market share during the forecast period. The effective source of communication provided by Remote Towers makes aircraft & airport operations significantly convenient. As a result, the Global Remote Tower Market shall witness lucrative growth opportunities for the communication application over the forecast period.

Nevertheless, the Surveillance application might also prove highly beneficial for the remote tower market during 2021-26, especially at large airports, where traffic mostly consists of transponder-equipped aircraft. The use of positioning sensors, such as an Advanced Surface Movements Guidance & Control System, determines the location of co-operative targets and enhances the airport security system.

Regional Landscape

• North America
• South America
• Asia-Pacific
• Middle East & Africa
• Europe

Geographically, among all regions, Europe is set to hold the largest share of the Remote Tower Market during 2021-26, owing to the presence of multiple remote towers systems manufacturers across countries like Sweden (SAAB), France (Thales Group), & Austria (Frequentis), among others. This abundant availability of companies that manufacture remote towers across Europe is leading to massive revenue generation for the regional market. Furthermore, the growing emphasis of various regulatory bodies on managing & advancing air traffic to reduce operational costs & carbon footprints is also driving the regional market. Moreover, upcoming projects for remote towers in Germany, the United Kingdom, Sweden, & Norway, shall further upsurge the overall market growth in Europe over the forecast years.

On the other front, North America is likely to be the second-largest market during 2021-26, mainly due to the extensive presence of leading remote tower manufacturers. Nevertheless, Asia-Pacific shall observe robust market growth in the forecast period owing to the rapidly expanding aviation industry of countries like China, India, & Japan with significantly increasing air passengers, infusing the demand for remote towers.

Recent Developments by Leading Companies

• In April 2021, AAHK (Airport Authority of Hong Kong) appointed Searidge Technologies for a single digital tower & apron platform at Hong Kong International Airport (HKIA), i.e., in line with its airport transformation & extensive expansion plans.
• The Avinor Group, Norway's leading airport operator & Air Navigation Service Provider (ANSP), currently operates four airport towers virtually from the Remote Towers Centre in the city of Bodø. By 2020 end, 15 remote towers are likely to be operated from, what will be, the world's largest Remote Towers Centre.

Market Dynamics:

Key Driver: Expanding Airport Infrastructures Globally Owing to Substantial Investments

Rapid developments & expansions of airport infrastructures worldwide, i.e., fueling massive investments in the aviation sector, coupled with various benefits like improvements in safety, efficiency, & cost savings associated with remote towers, are the prime factors projected to fuel the growth of the Global Remote Tower Market during 2021-26. Moreover, the surging number of air passengers due to reduced flight prices across various regions is another crucial aspect projected to propel the overall market growth during 2021-26.

Possible Restraint: Growing Cyber Security Breaches in Air Traffic Management

During 2021-26, the Global Remote Tower Market is likely to be hindered primarily by the surge in cyber security breaches in the aviation sector. The bandwidth required for remote tower operations is higher than usual air traffic management applications. Feeding such an enormous amount of video requires a network, along with high-level air traffic security. Since the safety & security of passengers are of utmost importance for every company operating in the aviation industry, increasing cases of network breaches by implementing remote towers can compromise safety parameters and lead to system failures & delays in the information feed, which can have devastating consequences on human lives. Furthermore, the enormous airport capacity also poses a potential risk of technical failure or safety issues. Hence, these aspects might act as growth restraints for the Global Remote Tower Market during 2021-26.

Key Questions Answered in the Market Research Report:

1. What are the overall statistics or estimates (Overview, Size- By Value, Forecast Numbers, Segmentation, Shares) of the Global Remote Tower Market?
2. What are the region-wise industry size, growth drivers, and challenges?
3. What are the key innovations, opportunities, current & future trends, and regulations in the Global Remote Tower Market?
4. Who are the key competitors, their key strengths & weaknesses, and how do they perform in the Global Remote Tower Market based on the competitive benchmarking matrix?
5. What are the key results derived from surveys conducted during the Global Remote Tower Market study?

Frequently Asked Questions