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    In Flight Entertainment & Connectivity Market Report

    In Flight Entertainment & Connectivity Market Report
    Report code - SR2180 Published On : Nov,2022 No. of Pages: 130
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    In-flight Entertainment & Connectivity Market Size, Share, Trend, Forecast, Competitiv See more...

    Market Highlights

    In-flight entertainment & connectivity (IFEC) offers services such as display devices, internet browsing, text messaging, premium content, E-commerce platforms, and wireless streaming, among other services. Suppliers and airlines are increasingly looking at IFEC as a means of managing the entire in-flight experience of passengers. It is one of the most exciting aspects, especially for long-haul travel, with most airlines installing screens on wide-body aircraft and business jets. Also, the development of advanced lightweight IFEC systems has enabled airlines to install more of IFEC without spending too much on the project.

    The aviation industry plunged in 2019 and was expected to start rebounding from 2020 onwards. However, the sudden outbreak of the pandemic dashed the market hopes. As a result, the IFEC market suffered a massive decline across all regions. The delay in aircraft deliveries amid the pandemic impacted the IFEC sales for operators. In-flight entertainment & connectivity, a sizeable market, witnessed a colossal decline (-37%+ in 2020) amid the pandemic, quite aligned with the decline in the aircraft industry.

    The year 2021 witnessed some disruptions, with the suspension of B787 aircraft deliveries due to technical glitches, as well as a slow recovery of aircraft production paired with postponements of upcoming aircraft programs and refurbishment plans of several major airlines. The long-term market outlook still seems propitious with ample growth opportunities across regions. Furthermore, with airlines focusing on innovations and customizations, the in-flight entertainment market has a bright future. Overall, the IFEC market is likely to rebound at a promising CAGR of 16.7% in the long run to reach US$ 6.3 Billion in 2027.

    Recent Market JVs and Acquisitions:

    • In 2021, Viasat merged with Inmarsat to boost its offerings in broadband and IoT services.
    • In 2020, Intelsat acquired the market-leading giant, Gogo’s commercial aviation segment.

    Market Segments' Analysis

    Segmentations

    List of Sub-Segments

    Dominant and Fastest-Growing Segments

    Aircraft Type

    Narrow-Body Aircraft, Wide-Body Aircraft, Regional Jets, and Business Jets.

    Wide-Body aircraft is to remain the dominant as well as the fastest-growing aircraft type in the years to come, driven by increasing penetration of IFEC across regions.

    Product Type

    Hardware, Connectivity, and Content.

    Hardware is to remain dominant, whereas connectivity is to grow at the fastest pace during the forecast period.

    End-User Type

    OE and Aftermarket.

    OE remains dominant, whereas Aftermarket is to be faster growth over the next five years.

    Furnished Equipment Type

    BFE and SFE

    BFE is to be the dominant as well as the faster-growing segment till 2027.

    Regional Analysis

    North America, Europe, Asia-Pacific, and RoW.

    North America is the biggest market, whereas Asia-Pacific is the fastest-growing region.

    Based on the aircraft type, the IFEC market is segmented into narrow-body aircraft, wide-body aircraft, regional jets, and business jets. Wide-body aircraft is expected to be the fastest-growing aircraft type in the market during the forecast period. The increasing number of nonstop long-haul flights worldwide is one of the key factors driving the segment's growth. With IFEC becoming a more acceptable low-cost alternative to new OEM components, the segment is expected to witness a significant increase in demand in the coming years.

    Based on the end-user type, the market is bifurcated into OE and aftermarket. OE is expected to remain dominant, whereas aftermarket is likely to be the faster-growing market type in the market during the forecast period, due to the presence of a large number of pre-installed in-flight entertainment systems by airlines.

    Based on the product type, the market is segmented into hardware, connectivity, and content. Hardware is expected to remain the most dominating segment of the market during the forecast period. IFE hardware is the prime component in the IFEC market to experience visual entertainment content. In-flight connectivity is expected to be the fastest-growing segment of the market over the forecast period, with high usage of Ku-band for commercial aircraft, whereas ATGs are used mostly in business jets as well as narrow-body aircraft.

    In terms of regions, North America is expected to remain the largest market for IFEC during the forecast period, with IFC installed on more than 80% of all aircraft originating from North America, and the top six largest connected fleets are all based in this region, making it the most saturated market, globally. The presence of major IFEC vendors, such as Panasonic, Viasat, Astronics, and Gogo, is one of the major factors, indicating the region's huge dominance and ongoing healthy growth opportunities.

    Asia-Pacific is likely to grow at the fastest rate in the coming five years, driven by increasing penetration of IFEC systems in emerging economies, such as India; increasing acceptance of IFE in China and other developing countries; expected market entry of new aircraft programs such as C919; and the return of B737 max in China.

    Key Players

    The IFEC market is moderately consolidated with the presence of several big players around the globe. Panasonic, GoGo, Thales, and Intelsat contribute more than half of the IFEC market.  These players are the top IFEC providers to almost all airlines across the globe. The IFEC value chain includes satellite operators, service providers, and airlines. The following are the key players in the in-flight entertainment & connectivity market.

    • Panasonic Avionics Corporation
    • Gogo LLC
    • Thales Group
    • Intelsat
    • Viasat, Inc.

    Research Methodology

    This strategic assessment report, from Stratview Research, provides a comprehensive analysis that reflects today’s IFEC market realities and future market possibilities for the forecast period of 2022 to 2027. The report segments and analyzes the market in the most detailed manner in order to provide a panoramic view of the market. The vital data/information provided in the report can play a crucial role for the market participants as well as investors in the identification of the low-hanging fruits available in the market as well as to formulate the growth strategies to expedite their growth process.

    This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools. More than 1000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data. We conducted more than 15 detailed primary interviews with the market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.

    Report Features

    This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision-making for the existing market players as well as those willing to enter the market. The following are the key features of the report:

    • Market structure: Overview, industry life cycle analysis, supply chain analysis.
    • Market environment analysis: Growth drivers and constraints, Porter’s five forces analysis, SWOT analysis.
    • Market trend and forecast analysis.
    • Market segment trend and forecast.
    • Competitive landscape and dynamics: Market share, Product portfolio, New Product Launches, etc.
    • Attractive market segments and associated growth opportunities.
    • Emerging trends.
    • Strategic growth opportunities for the existing and new players.
    • Key success factors.

     

    The in-flight entertainment & connectivity market is segmented into the following categories. 

    In-flight Entertainment & Connectivity Market, by Aircraft Type

    • Narrow-Body Aircraft (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
    • Wide-Body Aircraft (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
    • Regional Jets (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
    • Business Jets (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)

    In-flight Entertainment & Connectivity Market, by Product Type

    • Hardware (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
    • Connectivity (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
    • Content (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)

    In-flight Entertainment & Connectivity Market, by End-User Type

    • OE (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
    • Aftermarket (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)

    In-flight Entertainment & Connectivity Market, by Furnished Equipment Type

    • BFE (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)
    • SFE (Regional Analysis: North America, Europe, Asia-Pacific, and RoW)

    In-flight Entertainment & Connectivity Market, by Region

    • North America (Country Analysis: The USA, Canada, and Mexico)
    • Europe (Country Analysis: Germany, France, The UK, Russia, and the Rest of Europe)
    • Asia-Pacific (Country Analysis: Japan, China, India, and the Rest of Asia-Pacific)
    • Rest of the World (Country Analysis: Brazil, Saudi Arabia, and Others)

    Report Customization Options

    With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:

    Company Profiling

    • Detailed profiling of additional market players (up to three players)
    • SWOT analysis of key players (up to three players)

    Competitive Benchmarking

    • Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances

    Custom Research: Stratview research offers custom research services across sectors. In case of any custom research requirement related to market assessment, competitive benchmarking, sourcing and procurement, target screening, and others, please send your inquiry to sales@stratviewresearch.com

    A Bird's Eye View of the Market

    The in-flight entertainment & connectivity market is estimated to grow at a CAGR of 16.7% by 2027, due to a rise in the number of annual installations of IFEC systems.

    Panasonic, Thales, Safran S.A., Collins Aerospace, Viasat, Intelsat, and Gogo are the leading players in the in-flight entertainment & connectivity market.

    North America is estimated to remain dominant in the in-flight entertainment & connectivity market in the foreseen future with the presence of giant aircraft manufacturers, such as Boeing, Airbus, and Bombardier. The region has the highest penetration of IFEC in the world.

    Asia-Pacific is estimated to grow at the fastest rate in the coming five years. Significant capital investments paired with the entry of new players to address the huge market potential drive the overall regions market dynamics.

    The hardware segment is likely to maintain its dominance in the market in the next five years, owing to rising in-flight engagement and better travel experience coupled with the rising number of IFE systems installations.

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