Global Advanced Air Mobility Market Insights Forecasts to 2033

• The Advanced Air Mobility Market Size was valued at USD 9.3 Billion in 2023.
• The Market is Growing at a CAGR of 18.69% from 2023 to 2033
• The Worldwide Advanced Air Mobility Market Size is expected to reach USD 51.6 Billion By 2033
• Asia Pacific is Expected to Grow the fastest during the forecast period

The Global Advanced Air Mobility Market is expected to reach USD 51.6 Billion by 2033, at a CAGR of 18.69% during the forecast period 2023 to 2033.

The Advanced Air Mobility industry is a growing sector of aviation that focuses on new aerial transportation solutions that go beyond regular manned aircraft. Advanced Air Mobility covers a wide range of vehicles, including electric vertical takeoff and landing (eVTOL) planes, urban air mobility (UAM) vehicles, and electric fixed-wing aircraft, among others. These vehicles are frequently designed to be more efficient, sustainable, and accessible than conventional aircraft, having the potential to transform transportation in both urban and rural settings. Several factors contribute to the Advanced Air Mobility market's growth. Urbanisation, population growth, and increased traffic congestion in cities are driving the demand for alternative modes of transportation. Furthermore, developments in electric propulsion, battery technology, and autonomous flight systems are making Advanced Air Mobility vehicles more viable and practicable.

Advanced Air Mobility Market Value Chain Analysis

The Advanced Air Mobility market value chain encompasses research and development efforts to innovate technologies such as electric propulsion and autonomous flight control, followed by design, manufacturing, and supply chain management to produce Advanced Air Mobility vehicles. Certification and regulatory compliance ensure safety and airworthiness, while infrastructure development supports operations through vertiports and air traffic management systems. Advanced Air Mobility operators deliver services like urban air taxis and cargo transportation, supported by maintenance, repair, and overhaul activities. Financing and investment drive market development and commercialization, fostering collaboration and innovation across the entire value chain to realize the transformative potential of advanced air mobility.

Advanced Air Mobility Market Opportunity Analysis

As cities become more densely populated, there is a greater need for efficient transit options to relieve congestion and shorten commute times. Advanced Air Mobility provides a promising answer by providing rapid, point-to-point transit within cities. Advances in electric powertrain, battery technology, and autonomous flight systems are making Advanced Air Mobility aircraft more viable and practicable. These technologies reduce operating costs while improving safety, making Advanced Air Mobility a viable solution for a variety of applications. On-demand air transportation services are becoming increasingly popular, especially in congested urban regions with limited ground transportation options. Advanced Air Mobility systems have the potential to transform how people commute, travel, and do business, creating new opportunities for mobility-as-a-service (MaaS) suppliers and operators.

Market Dynamics

Advanced Air Mobility Market Dynamics

Rapid urbanisation and rising traffic congestion

Urban areas around the world are experiencing increased traffic congestion, which is resulting in longer commute times, lower productivity, and environmental degradation. Advanced Air Mobility provides a potential answer by introducing a new layer of transport infrastructure that can avoid clogged roads and efficiently transfer passengers between cities. Traditional transport networks, such as roads and railways, frequently follow set routes and are prone to congestion bottlenecks. Advanced Air Mobility platforms, on the other hand, can run on demand and provide point-to-point connection, letting passengers to go directly from their starting point to their destination without making any intermediate stops or transfers. As urban populations develop, cities spread outward, resulting in expansive metropolitan areas with growing distances between residential, commercial, and recreational hubs. Advanced Air Mobility can bridge these gaps by providing rapid and efficient aerial transportation between different regions of the city, allowing citizens to access facilities and services more readily while reducing ground congestion.

Restraints & Challenges

Developing long-term business models that are in line with market dynamics and regulatory constraints is a significant problem for Advanced Air Mobility enterprises. Pricing, operational costs, revenue streams, and scalability must all be carefully balanced and strategically planned. To get general market acceptability, Advanced Air Mobility systems must address public perception, safety concerns, and usability challenges. Educating stakeholders on the benefits of Advanced Air Mobility, resolving safety and security concerns, and providing user-friendly interfaces are all critical steps towards increasing trust and confidence in these emerging technologies. The successful implementation of Advanced Air Mobility solutions is dependent on the availability of suitable infrastructure, such as vertiports, charging stations, and air traffic management systems. Building this infrastructure needs significant investment and collaboration among a variety of stakeholders, including government agencies, urban planners, and private sector partners.

Regional Forecasts

North America Market Statistics

North America is anticipated to dominate the Advanced Air Mobility Market from 2023 to 2033. North America has a vibrant ecosystem of firms and organisations working on the development and deployment of Advanced Air Mobility technologies. From traditional aerospace manufacturers to startups and technology enterprises, the region has a varied range of stakeholders driving innovation in electric propulsion, autonomous flying systems, and urban air transportation services. Building the infrastructure required to enable Advanced Air Mobility operations is a key task in North America. This entails installing vertiports, charging infrastructure, and air traffic control systems to ensure safe and efficient operations. Several North American towns are already looking into the creation of vertiport infrastructure, with efforts underway to find ideal locations and secure funds for implementation.

Asia Pacific Market Statistics

Asia Pacific is witnessing the fastest market growth between 2023 to 2033. The Asia-Pacific region is rapidly urbanising, with cities in China, India, Japan, and South Korea housing a sizable proportion of the world's urban population. As cities become more densely inhabited, traffic congestion and pollution have become significant issues. Building the infrastructure required to enable Advanced Air Mobility operations is a top priority in the Asia-Pacific region. This includes designing vertiports, charging infrastructure, and air traffic control systems to ensure safe and efficient operations. With its large population, growing middle class, and expanding metropolitan regions, Asia-Pacific presents a considerable market opportunity for Advanced Air Mobility solutions. China, India, and Indonesia are home to some of the world's largest cities, making them ideal candidates for Advanced Air Mobility deployments to address urban transportation concerns. Furthermore, the region's robust manufacturing base and expanding technology ecosystem create several potential for collaboration and investment in the Advanced Air Mobility market.

Segmentation Analysis

Insights by Application

The surveillance and monitoring segment accounted for the largest market share over the forecast period 2023 to 2033. With increased urbanisation and population density, there is a greater demand for improved security and monitoring systems. Advanced Air Mobility platforms with advanced sensors, cameras, and monitoring systems can provide aerial surveillance capabilities, allowing authorities to better monitor wide areas and respond to security threats in real time. Advanced Air Mobility vehicles provide significant advantages to border patrol and law enforcement agencies, allowing them to patrol large regions and respond quickly to emergencies. Advanced Air Mobility platforms are equipped with high-resolution cameras, thermal imaging sensors, and other surveillance technology, allowing them to identify unlawful border crossings, monitor key infrastructure, and support search and rescue operations in distant or inaccessible places.

Insights by Type

The drones segment is dominating the market with the largest market share over the forecast period 2023 to 2033. Drones, also known as unmanned aerial vehicles (UAVs), are rapidly being used for a variety of business purposes. Agriculture, construction, infrastructure inspection, and logistics industries use drones for duties like crop monitoring, site surveying, asset inspection, and parcel delivery. The increased popularity of recreational and hobbyist drones is also helping to grow the drones industry. Affordable consumer drones with cameras and intelligent flight functions are causing widespread adoption among enthusiasts, photographers, and videographers. This widespread use promotes innovation, economies of scale, and technological breakthroughs for both the consumer and commercial drone markets.

Recent Market Developments

• In February 2023, Skyway Technologies Corp. collaborated with Moonware Inc. to create infrastructure for efficient, modern advanced air mobility solutions.

Competitive Landscape

Major players in the market

• Airbus S.A.S.
• Aurora Flight Sciences
• Bell Textron Inc.
• The Boeing Company
• Guangzhou EHang Intelligent Technology Co. Ltd.
• Embraer S.A.
• Joby Aviation
• Lilium GmbH
• Neva Aerospace
• Opener, Inc.
• PIPISTREL (Textron Inc.)
• Terrafugia
• Vertical Aerospace Group Ltd.
• Volocopter GmbH
• Wisk Aero
• Workhorse Group, Inc.

Market Segmentation

This study forecasts revenue at global, regional, and country levels from 2023 to 2033.

Advanced Air Mobility Market, Type Analysis

• Drones
• Air Taxis

Advanced Air Mobility Market, Application Analysis

• Cargo Transport
• Passenger Transport
• Mapping & Surveying
• Special Mission
• Surveillance & Monitoring

Advanced Air Mobility Market, Regional Analysis

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Uk
  • France
  • Italy
  • Spain
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Middle East & Africa
  • UAE
  • Saudi Arabia
  • Qatar
  • South Africa
  • Rest of Middle East & Africa