In-flight Entertainment & Connectivity Market Forecasts to 2028 – Global Analysis by Product (Hardware, Connectivity, Content), Class (Premium Economy, Business Class, First Class, Economy), Aircraft Type (Wide Body Aircraft, Narrow Body Aircraft, Busines

In-flight Entertainment & Connectivity Market Forecasts to 2028 – Global Analysis by Product (Hardware, Connectivity, Content), Class (Premium Economy, Business Class, First Class, Economy), Aircraft Type (Wide Body Aircraft, Narrow Body Aircraft, Business Jets), Offering Type (In-flight Connectivity (IFC), In-flight Entertainment (IFE)), End User and By Geography

According to Stratistics MRC, the Global In-flight Entertainment & Connectivity Market is accounted for $ 5.57 billion in 2022 and is expected to reach $10.26 billion by 2028 growing at a CAGR of 10.7% during the forecast period. The onboard internet service that airlines offer to passengers on business and commercial aircraft is referred to as in-flight entertainment and connectivity (IFEC). You can use this service to surf the internet, play games, watch movies, and stream serials using personal electronic devices (PEDs), like laptops and smartphones. Evidently, IFEC systems function without the need for noticeable connections.

According to the Bureau of transportation, in October 2021, U.S. Airlines’ passengers increased 119% from October 2020. According to IATA, in 2019, international air passenger traffic increased 4.1% compared to 2018.

Market Dynamics:

Driver:

Increase in demand for in-flight experience

Growing levels of air travel in developing and Asia Pacific regions. IFE is in increasingly high demand. Passengers are viewing the availability of onboard Wi-Fi on commercial aircraft in India thanks to the DGCA as an experience rather than a means of transportation. According to Honeywell, customers are prepared to pay more for specialised programming and other in-flight services. Today's passengers use more devices in flight than ever before. Customers are streaming content on their own devices rather than using seat back unit LCDs for in-flight entertainment, according to SITA Passenger IT trends. As a result, the market for IFEC is expanding due to the rising demand for in-flight experiences.

Restraint:

Complex IFEC System Design Architecture

The complexity of the design is increased by the fact that the full in-flight entertainment & connectivity system architecture includes hardware setup, hassle-free connectivity, and massive data content for media streaming. The expensive media equipment used by the IFEC hardware system also comprises gaming consoles, monitors, headphones, and electronic media devices. The cost of the repair service is considerable due to the damage to this equipment. This raises the IFEC hardware system's overall running costs. Hence, during the anticipated time, these issues are probably going to slow market growth.

Opportunity:

Emerging markets

The market for in-flight entertainment and connection is expanding dramatically thanks in large part to the emerging markets. For instance, the majority of airlines in India are low-cost or ultra-low-cost. The three main airlines that exclusively offer economy seating in their aircraft are Indigo, GoFirst, and Spice Jet. There is no in-flight entertainment provided to passengers. The majority of new airlines in the region over the past ten years have been added in Vietnam, Thailand, and Indonesia. Consequently, it is anticipated that rising demand for new airplanes will propel the IFEC industry.

Threat:

High-Cost IFE

Industry expansion is predicted to be hampered by the installation expenses associated with networking technology and connectivity devices. This severely restricts the use of connectivity equipment and services by airlines, particularly in developing areas. A further expense is the cost of in-flight connectivity services such network planning, design, implementation, and integration.

Covid-19 Impact:

The market for in-flight entertainment and connection had been negatively damaged and is predicted to see challenging times soon. Lockdown regulations were imposed by governments all across the world to stop the coronavirus from spreading, which caused a significant drop in airline flights. The airline industry has experienced major revenue losses this year. Due to the Covid-19 scenario, the businesses involved in the in-flight entertainment & connection industry were negatively impacted by dormant markets and shaky global economic conditions. As the number of people afflicted with the coronavirus increased in 2021, the pattern of lockdown and imposed limits on air travel persisted. the Covid-19 scenario's negative effects on the market and economy, along with the low demand for air travel.

The hardware is expected to be the largest during the forecast period

During the forecast period, the hardware segment is anticipated to dominate the market. Airlines can upload, store, and transport entertainment content to the in-flight entertainment systems using IFE technology. These goods have attributes like 4K HDR displays and an open operating system.

The first-class segment is expected to have the highest CAGR during the forecast period

Based on class, the market for in-flight entertainment & connectivity is anticipated to grow at the greatest CAGR over the forecast period in the first class category. The need for first-class amenities and services during flights created the first class market. Of all the segments, it is the most expensive. The amenities begin even before the actual flight with hotel transfers, private check-in, and access to a VIP lounge. First-class seats are higher quality, more roomy, and comfy while in flight.

Region with highest share:

In terms of market share, the in-flight entertainment and connectivity market was dominated by North America. Regional airlines in wealthy nations are anticipated to use these technologies more frequently, which are anticipated to keep the regional industry growing. Some of the most well-known airlines in the area, such United Airlines, Inc. and Delta Air Lines, Inc., are always attempting to provide passengers with medicines or compensating content via Wi-Fi. Additionally, as BYOD gains popularity, airlines may no longer be required to nest back-seat screens, which will reduce overall aircraft weight.

Region with highest CAGR:

During the projected period, the Asia Pacific region is expected to have the highest CAGR growth rate. The industry is developing as a result of the rising passenger volume, which has increased demand for aircraft outfitted with cutting-edge communication and entertainment systems. For their first-class passengers, several of the most well-known airlines in the area offer cutting-edge in-flight entertainment and connection options. For instance, several airlines provide a range of onboard entertainment alternatives for passengers who book premium travel classes, including live TV streaming, in-flight shopping, and games.

Key players in the market

Some of the key players in In-flight Entertainment & Connectivity market include Go-go LLC, Thales Group, Panasonic Avionics Corporation, ViaSat INC., SITA, Safran Group, Astronics Corporation, Honeywell International INC., Bae Systems, Iridium Communications INC., Collins Aerospace, Eutelsat Communications, Global Eagle Entertainment Inc., Inmarsat plc., Sitaonair, Stellar Entertainment, UTC Aerospace Systems, Dysonics

Key Developments:

In June 2021, Thales launched AVANT UP. An in-flight entertainment system that offers features such as 4K HDR displays, in-seat power, and open operating system. The launch of the product enabled the company to strengthen its position in the global IFEC market.

In May 2021, ViaSat, Inc. signed a contract with JetBlue to provide in-flight connectivity (IFC) solution for its new Airbus A220-300 and Airbus A321 Long Range (LR) aircraft. The contract enabled the company to expand its customer base.

In January 2021, Panasonic Avionics Corporation and IMG extended their agreement, wherein Panasonic Avionics Corporation will continue to stream Sport 24 and Sport 24 Extra sports content for its international airline customers. The agreement enabled the company to offer enhanced content to its airline customers.

Product Covered:
• Hardware
• Connectivity
• Content

Class Covered:
• Premium Economy
• Business Class
• First Class
• Economy

Aircraft Types Covered:
• Wide Body Aircraft
• Narrow Body Aircraft
• Business Jets

Offering Type Covered:
• In-flight Connectivity (IFC)
• In-flight Entertainment (IFE)

End Use Covered:
• Aftermarket
• Original Equipment Manufacturer (OEM)

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements