Market Definition
The aviation industry constantly strives to develop new systems that redefine comfort, efficiency, & cost-effectiveness, which is why urban air mobility systems are gaining traction. These systems have been recognized as an effective solution to address road congestion while transporting people & cargo from one place to another quickly, safely, and comfortably.
Market Insights & Analysis: Global Urban Air Mobility Market (2023-28)
The Global Urban Air Mobility Market size was valued at USD 2.98 Billion in 2022 and is projected to grow at a CAGR of around 36.98% during the forecast period, i.e., 2023-28. The market's growth is driven primarily by the exponentially rising population and an expanding vehicle fleet, leading to increasing road congestion, i.e., augmenting the need for alternative transportation like urban air mobility solutions.
In this regard, governments of different countries worldwide are substantially investing in the market and generating growth opportunities for the leading players to research & develop technologically advanced urban air mobility networks. Data shows that numerous emerging start-ups & aerospace companies are indulging in expanding the air mobility space, and the market is witnessing an increasing number of new prototypes to address traffic issues.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2018-21 |
| Base Year: 2022 | |
| Forecast Period: 2023-28 | |
| CAGR (2023-2028) | 36.98% |
| Regions Covered | North America: USA, Canada |
| Europe: Germany, France, Italy, UK, Russia | |
| Asia-Pacific: China, India, Japan, South Korea, Australia | |
| South America: Brazil | |
| Middle East & Africa: Saudi Arabia, Israel, Turkey | |
| Key Companies Profiled | Aurora Flight Sciences, Siemens, Embraer, Volocopter, A3 by Airbus, Workhorse Group, Pipistrel, Bell Textron, Neva Aerospace, Kitty Hawk |
| Market Value (2022) | USD 2.98 Billion |
Moreover, improving economic conditions, changing living standards, and growing inclination toward air travel are other prominent aspects instigating the leading players to develop & increase the volume of air fleet or efficient air travel across locations. Furthermore, the alarming concerns over the fluctuating & degrading environmental conditions are also playing a crucial role in propelling the development of eco-friendly solutions like Electric Vertical Take-Off & Landing (eVTOL) aircraft to utilize electricity to fly. For instance:
Global Urban Air Mobility Market Driver
Surge in Vehicle Fleet Size Resulting in Massive Road Congestion: A sudden surge in population growth and the expanding number of vehicles significantly strain existing infrastructure, resulting in frequent traffic congestion. Citing challenges posed by road congestion, flying taxis, and autonomous aerial vehicles are being explored as they utilize the airspace to provide faster and more efficient travel options within cities. As a result, these innovative transportation modes, as a means to improve the overall efficiency of urban transportation networks, are gaining prominence worldwide, particularly across densely populated areas. Thus, the market outlook for urban air mobility seems promising during the forecast period.
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Global Urban Air Mobility Market Opportunity
A Game-Changer for Goods Delivery and Emergency Management: The emerging applications of Unmanned Aerial Systems in transporting consumer goods, medical supplies, and emergency equipment seem promising for the market. This technology could revolutionize emergency management by enhancing response times, alleviating traffic congestion, and minimizing pollution. In addition, UAS can be utilized in fire rescue operations, swiftly delivering critical medical supplies and assisting in life-threatening situations requiring air ambulances. This subsequently highlights the potential for substantial growth in the urban air mobility market as governments, organizations, and communities recognize the value of these systems in enhancing safety and efficiency during critical situations.
Global Urban Air Mobility Market Possible Restraint
Reliability and Safety of Autonomous Software Systems Paired with Susceptibility to Cyber Threats: As Urban Air Mobility (UAM) advances rapidly and seems promising for transforming transportation and emergency management, it also brings along new complexities to the market players. The reliance on autonomous software systems raises concerns regarding their reliability, safety, and susceptibility to cyber threats, making it imperative to ensure rigorous testing, validation, and certification processes to guarantee the dependability and resilience of these software systems. In addition, comprehensive regulations and standards must be established to govern their development, operation, and maintenance to foster trust and confidence in UAM technology.
Global Urban Air Mobility Market (2023-28): Segmentation Analysis
The Global Urban Air Mobility Market study from MarkNtel Advisors evaluates & highlights the major trends & influencing factors in each segment & includes predictions for the period 2023–2028 at the global, regional, and national levels. Based on the analysis, the market has been further classified:
Based on the Component:
Platform
Infrastructure
Of all components, the demand for Air Taxis is anticipated to display the fastest growth in the Global Urban Air Mobility Market during the forecast period. It predominantly ascribes to the growing government support through massive investments & favorable policies, i.e., encouraging leading players to construct prototypes on air taxis with advanced technologies, including highly efficient batteries, sophisticated manufacturing techniques, & autonomous vehicles.
Besides, companies like Boeing, Airbus, & Hyundai, among others, are actively working on developing Electric Vertical Take-Off & Landing (eVTOL) aircraft that can operate through electricity and transport people & cargo across different locations. In line with developing environment-friendly air taxis for mobility, manufacturers are working on bringing quiet, comfortable, & carbon-free aircraft that could meet the emission levels and address the traffic issues over the coming years.
Based on Operation:
Here, autonomous operations are anticipated to witness the fastest-growing demand during 2023-28. It owes principally to various benefits of developing these aircraft equipped with advanced technologies like the Internet of Things (IoT) & Artificial Intelligence (AI) to enhance cost-effectiveness and eliminate human errors.
On the other hand, Piloted operations are anticipated to acquire the largest share of the Global Urban Air Mobility Market during the forecast period, primarily due to the increasing number of rollouts for technologically advanced eVTOL systems for military & commercial aircraft in the market.
Global Urban Air Mobility Market Regional Projection:
Geographically, the Global Urban Air Mobility Market expands across:
Of all regions globally, North America dominated the Urban Air Mobility Market with the largest share in recent years, and the same trend is likely during 2023-28. It owes principally to the extensive presence & active participation of prominent aircraft manufacturers like Boeing in developing urban air mobility technologies as a novel transportation mode.
On the other hand, the Europe Urban Air Mobility Market outlook indicates tremendous growth during 2023-28. It owes to rapid initiatives by governments of different European countries through massive investments & numerous R&D activities toward developing urban air mobility systems. Besides, countries like Germany, France, & the UK, among others, are prominent investors in the market owing to the extensive presence of leading aircraft manufacturers like Airbus investing heavily in making prototypes for evaluation.
Global Urban Air Mobility Industry Recent Development:
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Frequently Asked Questions
A. The Urban Air Mobility Market is projected to grow at a CAGR of around 36.98% during 2023-28.
A. The Urban Air Mobility Market size was estimated at USD 2.98 Billion in 2022.
A. The increasing vehicle fleet resulting in massive road congestion is likely to drive the market further during the projected time frame.
A. The major leaders anticipated to stiffen the competition in the Urban Air Mobility Market include Aurora Flight Sciences, Siemens, Embraer, Volocopter, A3 by Airbus, Workhorse Group, Pipistrel, Bell Textron, Neva Aerospace, Kitty Hawk
A. Autonomous operations will likely hold a noteworthy share of the Urban Air Mobility Market through 2028.
A. Globally, North America would provide lucrative prospects for the Urban Air Mobility Market in the years ahead.
A. The emerging applications of Unmanned Aerial Systems in transporting consumer goods, medical supplies, and emergency equipment is expected to present remunerative opportunities for the leading players in the Urban Air Mobility Market during the forecast period.
A. Concerns over the reliability, safety, & susceptibility autonomous software systems to cyber threats are major growth restraints for the Urban Air Mobility Market.
Global Urban Air Mobility Market Research Report (2023-2028) - Table of Contents
