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5G Small Cell in Aviation Market Size Forecast to Reach $3.7 Billion by 2026

(IT-NEWSWIRE.COM, January 12, 2022 ) The Global 5G Small Cell in Aviation market size is forecast to reach $3.7 billion by 2026, growing at a CAGR of 31.2% from 2021 to 2026. Growing demand for high-speed internet connectivity in aviation sector along with the increasing shift towards digitalization with internet of things based connected devices with airports emerge as the potential market drivers capable of influencing the 5G Small Cell in Aviation industry. Compared to distributed antenna systems, small cell technology offers easy and cost-effective installation, which is set to drive its demand in the aviation industry. Technological upgrades towards 5G network infrastructures along with growing investments towards the establishment of new airport facilities or modernization of existing ones from time to time will further boost the growth of 5G Small Cell in Aviation market in the long run. With efforts towards improving air travel experiences through high stability Wi-Fi connections or enhanced mobile broadband, there can be significant demand for 5G small cells in the coming years.

5G Small Cell in Aviation Market Segment Analysis- By Deployment Model

Based on deployment model, Indoor segment is analysed to grow with the highest CAGR of 11.7% in the global 5G Small Cell in Aviation market during the forecast period 2021-2026. 5G small cells for indoor deployment have been gaining wide popularity across the aviation sector owing to improving better network coverage, high network connectivity and so on through public Wi-Fi services. Leveraging 5G networks have been significantly rising overtime within airports to provide a smoother and faster internet services for its customers as well as working staff. As the work processes within airports ranging from security check-ins, baggage checks, and others, the need for high-speed reliable and faster network connectivity to improve work optimization as well as facilitate passenger satisfaction becomes essential, thus causing deployment of indoor 5G small cells. In December 2020, Sterlite Technologies announced about the launch of an indoor 5G small cell, named Garuda designed for serving data intensive applications in need of short-range networks. In addition, it offers a seamless deployment as of setting up a Wi-Fi, equipped with small form factor, MIMO support Omni antenna and so on. Owing to these requirements across airport, aircraft cabins and so on, such developments can further attribute towards serving aviation industry in the long run.

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5G Small Cell in Aviation Market Segment Analysis- By End Users

Airport Infrastructures is analyzed to account for the highest CAGR of around 7.9% in the global 5G Small Cell in Aviation market during the forecast period 2021-2026. Implementation of 5G technology due to offering high speed internet connectivity for its passengers as well as its work operations is growing significantly. As a part of enhancing passenger satisfaction, various airlines and airports have already started focusing towards modernizing their infrastructures. According to the report 5G for airport operations, 2021 by Capgemini had revealed about 5G implementationís capability can be addressed while reducing 20% of flight delays. With this, airports as well as airlines will be capable of generating significant OPEX savings, thereby creating a positive impact for the utilization of 5G small cells in the long run. In need to drive more efficiency, opting for a secured, seamless as well as high-performing cellular 5G technology can help in serving a wide range of use cases, while creating a smart airport. Leveraging 5G small cells will act beneficial while establishing smart connections across applications including passenger and baggage processing, asset management with others, with improved efficiency as well as communication. In June 2020, Groupe ADP and Air France had revealed about selecting Ericsson for deployment of a 5G private mobile network covering airports namely, Paris-Charles de Gaulle, Paris-Orly as well as Paris-Le Bourget. Deployment of 5G networks across all outdoor spaces of the airports as well as indoors within public and reserved areas for working professionals by end 2021, is further set to poise the market growth towards 5G small cells in the coming time.

5G Small Cell in Aviation Market Segment Analysis- Geography

APAC region is anticipated to account for the fastest growing region with a CAGR of 6.5% in the global 5G Small Cell in Aviation market during the forecast period. Factors such as growing investments towards modernizing airports, technological advances including internet of things and artificial intelligence, increasing demands for faster internet facilities overtime have been eventually impacting the growth of 5G small cells in aviation sector. High investments towards R&D activities by the key market vendors along with governmental initiatives towards facilitating the deployment of 5G networks will further propel the demand towards 5G small cells for aviation applications in the long run. In February 2021, ZTE had revealed about its plans of collaborating with Chinese mobile operators to construct as well as commercialize ATG (air-to-ground) networks within China by 2021. ATG generally utilizes mature land mobile communication technologies to offer high speed mobile network for airlines through deploying dedicated ground base stations covering the sky. With such plans, 5G ATG will ensure high speed movement of aircraft, offer a larger coverage radius, support high peak rate within aircrafts, alongside fulfilling the high security requirements meant for aviation equipment. Such factors are analysed to drive the demand towards 5G small cells within aviation industry during the forecast period.

5G Small Cell in Aviation Market Drivers

Growing demands for high-speed internet connectivity across aviation industry:

Growing demands for high-speed internet connectivity across aviation industry can be considered as one of the major factors impacting the growth of 5G small cells in aviation market. Internet connectivity attributes a vital role in various aviation applications, including faster communication, airport network services, security check-ins, and many more. With rapid pace of growth across aviation sector, enhancing capabilities like in-flight connectivity, air-to-ground communication and so on has been becoming a key trend towards optimizing its market growth. Owing to such needs, the need for low latency and high speed internet connectivity networks like 5G had become highly essential, thus impacting the growth for 5G small cells. Adoption or installation of 5G networks helps in offering high speed Wi-Fi services for its passengers towards surfing internet, watch high definition videos and many more, improving passenger air travel experience. In 2018, the Civil Aviation Administration along with the China Airlines Association had issued implementation suggestions regarding internet access, as a part of promoting air access to internet services, while achieving full coverage of internet access for truck airline passengers by the year 2022. Such governmental measures towards promoting air internet as well as on-board internet services have been eventually creating a positive impact towards deployment of a network solution like 5G with capabilities including large bandwidth and high performance. This is further set to drive the market growth towards 5G small cells in aviation industry owing to increasing high speed connectivity demands in the long run.

Increasing shift towards digitalization drives the market forward:

Increasing shift towards digitalization act as a major driver attributing towards the market growth of 5G small cells in aviation. With rising digitalization trends, aviation sector has been focusing highly on connected devices to automate various time intensive application areas be it airport check-ins, luggage and baggage management, and many more. With the surge of COVID-19 pandemic, airlines have been facing supply chain disruptions as well as reduced market growth, which in turn will be promoting higher shift towards digital solutions in the coming time. Implementation of 5G technology helps in improving passenger safety, predictive maintenance, and others, through adoption of internet of things (IoT) based connected devices. These devices are highly dependent towards higher communication needs, which essentially drives the growth for 5G small cells within aviation sector. According to European Union Agency for Cybersecurity report 2020, about 43% of airports have been implementing IoT initiative sin order to monitor onsite locations while about 59% of airports towards cybersecurity measures within smart airports. This shows the high rise of connected services across airports, raising the demand for low latency and high speed 5G networks, thereby affecting the growth of 5G small cells in the long run.

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5G Small Cell in Aviation Market Challenges

High initial costs of 5G technology:

High initial costs of 5G technology can be considered as one of the major factors restraining the market growth of 5G small cells in aviation. The initial costs related to installation of 5G small cells adversely impacts lesser adoptability from the aviation industry. Compared to relays or repeaters, small cells are comparatively expensive with its capability of handling limited number of simultaneous sessions of internet browsing or voice or data communication. In addition, irrespective of its high price, airport terminals need to address a broad range of network coverage, which adds a major disadvantage for this small cell technology. Since 5G still seems to be evolving from time to time, lack of infrastructure also aids the requirement of establishment of 5G networks, thereby hampering the deployment of 5G small cells across aviation industry.

5G Small Cell in Aviation Market Landscape

Product launches, acquisitions, and R&D activities are key strategies adopted by players in the 5G Small Cell in Aviation market. The key players in the 5G Small Cell in Aviation market include Ericsson, Qualcomm Technologies Inc., Cisco Systems, Gogo, ip.access Limited, Huawei Technologies Co Ltd., Nokia Corporation, Inseego Corp., Intelsat and ZTE Corporation among others.

Acquisitions/Technology Launches/Partnerships

In June 2021, Qualcomm Technologies Inc. announced about the launch of the second generation 5G RAN platform for small cells, named FSM 200xx. This development was a part of bringing major enhancements towards RF with support for all commercial mm Wave and Sub-6 GHz bands, with an aim towards driving mobile experiences as well as accelerate 5G performance across various environments including airports.

In May 2021, Ericsson announced about the launch of Indoor AIR 1279 and Radio Dot 4459 small cell radio, as a part of expanding its indoor 5G product line. This development was done targeting U.S market with Ericsson Indoor Connect, as an offering for serving multi-operator as well as multi-vendor scenarios.

Key Takeaways

Increasing shift towards digitalization along with growing demands for high speed internet connectivity services is analysed to significantly drive the 5G Small Cell in Aviation market during the forecast period 2021-2026.

5G small cells with indoor deployment segment is anticipated to grow with the highest CAGR during 2021-2026, attributing to factors such as high network connectivity, rise of R&D activities with others.

APAC is analysed to account for the fastest growing region during the forecast period, due to growing adoption of transforming aviation sector, governmental initiatives towards implementation of 5G infrastructures and many more

Related Reports:

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B. RF Coaxial Connector Market

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Venkat Reddy

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Source: EmailWire.Com


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