Press release
In-Flight Wi-Fi Services Market is Projected to Record a Robust CAGR of 14.9% by 2021
On the basis of type, the market has been segmented into hardware and service. In terms of market share, hardware was the dominant segment in 2014, with over 60% share of the global in-flight Wi-Fi market. However, the segment is expected to witness a decline of over 2,500 BPS in market share by the end of 2021 as compared to that in 2014. Hardware segment is further sub-segmented into the antenna, wireless access point, wireless hotspot gateway, wireless LAN controller and other hardware while the service segment is segmented into implementation & integration, network planning & design, support service, video streaming service and other services.
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The global in-flight Wi-Fi market has been segmented by technology into air-to-ground technology and satellite technology. Of these segments, air-to-ground technology was the largest segment in the global in-flight Wi-Fi market in terms of revenue contribution in 2014; however, the segment is expected to lose its dominance to satellite technology segment by the end of 2021. Satellite technology is further segmented into Ku-band, Ka-band and SBB (Swift Broadband) technologies. Among aforementioned sub-segments, Ku-band was the largest sub-segment in 2014.
The growth of the global in-flight Wi-Fi market is mainly driven by advancements in connectivity technologies. Also, increasing deployment and adoption of connectivity hardware and services by airlines across the globe is fueling the growth of the in-flight Wi-Fi market. However, data privacy & security issues and lack of awareness regarding in-flight Wi-Fi service particularly in developing regions are restraining the growth of the market to some extent. In-flight Wi-Fi service and hardware providers are following the strategy of mergers & acquisitions in order to enhance their market presence and expand their product portfolio, which in turn has resulted into consolidation of the global in-flight Wi-Fi market.
This report covers trends driving each segment and respective sub-segments and offers analysis and insights of the potential of the in-flight Wi-Fi market in specific regions. By region, North America dominated the in-flight Wi-Fi market, accounting for over 60% share of the overall market in 2014. Asia Pacific market is expected to exhibit highest CAGR of over 26% during the projected period.
Some of the major players identified in the global in-flight Wi-Fi market are Gogo Inc., Global Eagle Entertainment Inc., ViaSat Inc., Thales Group, Panasonic Corporation, Sita, Honeywell International Inc., Kymeta Corporation and Thinkom Solutions Inc. Key players in the market follow the strategy of acquisition and mergers and are focused towards entering into strategic partnerships with regional players in order to strengthen their position in the market. Furthermore, consistent investment on R&D activities in order to enhance existing products and services portfolio is another major strategy adopted by major players operating in the in-flight Wi-Fi market.
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