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Aerospace Artificial Intelligence Industry Report 2025-2034: Market Dynamics, Trends, And Forecasts
The Aerospace Artificial Intelligence Market Report by The Business Research Company delivers a detailed market assessment, covering size projections from 2025 to 2034. This report explores crucial market trends, major drivers and market segmentation by [key segment categories].What Is the Expected Aerospace Artificial Intelligence Market Size During the Forecast Period?
The market size of aerospace artificial intelligence has witnessed a significant surge in the past. Notably, it is projected to expand from $0.92 billion in 2024 to an impressive $1.31 billion in 2025, growing at a compound annual growth rate (CAGR) of 41.9%. The notable growth observed in the historic phase can be linked to factors such as enhanced fuel efficiency due to the application of artificial intelligence (ai), ongoing advancements, heightened investment levels, the increasing use of AI for assorted tasks, the rising demand for unmanned aerial vehicles, and a strong emphasis on augmenting air traffic management.
Expectations are high for a significant expansion in the aerospace artificial intelligence market in the upcoming years, with estimations reaching a market value of $4.49 billion by 2029, maintaining a CAGR of 36.2%. Factors contributing to this projected growth during the forecast period include a rising demand for autonomous systems, the necessity for predictive maintenance, enhanced application of AI in aircraft manufacturing and design, as well as an increased usage of AI for aircraft inspection and testing. Additionally, a growing preference for AI-enabled supply chain management solutions is evident. Trends expected to emerge during this period encompass AI's role in urban air mobility, the blending of 5g and AI, the use of blockchain for AI protection, sustainable practices driven by AI, the resilience of AI systems, and AI's part in the exploration of space resources.
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What Are the High-Growth Segments in the Aerospace Artificial Intelligence Market?
The aerospace artificial intelligence market covered in this report is segmented -
1) By Offering: Software, Hardware, Services
2) By Technology: Machine Learning, Natural Language Processing, Computer Vision, Context Awareness Computing
3) By Application: Customer Service, Smart Maintenance, Manufacturing, Training, Flight Operations, Other Applications
Subsegments:
1) By Software: Predictive Maintenance Software, Flight Planning And Optimization Software, Autonomous Systems Software
2) By Hardware: AI-Enabled Sensors, Processing Units, Robotics And Automation Systems
3) By Services: Consulting Services, Integration And Implementation Services, Maintenance And Support Services
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What Key Drivers Are Expected to Influence Future Aerospace Artificial Intelligence Market Growth?
The inclination towards air travel is likely to drive the expansion of the aerospace artificial intelligence sector in the forthcoming period. The concept of air travel encompasses journeying from one spot to another using different flying vehicles such as airplanes, helicopters, airships, or any other type of aircraft with the capacity for sustained flight. The integration of aerospace artificial intelligence in air travel enhances flight control, predictive maintenance, and independent systems within the aviation sector, consequently boosting safety measures, operational efficiency, and passenger satisfaction. To illustrate, the United States Bureau of Transportation Statistics reported in March 2023 that the US airlines served an extra 194 million passengers in 2022 in contrast to 2021, representing a yearly jump of 30%. Further data reveals that in 2022, there was a rise in the number of passengers catered to by US airlines to 853 million from 658 million in 2021 and 388 million in 2020 (unrectified figures). As such, it is evident that the surge in air travel demand is stimulating the expansion of the aerospace artificial intelligence sector.
Which Companies Hold the Largest Share Across Different Aerospace Artificial Intelligence Market Segments?
Major companies operating in the aerospace artificial intelligence market report are Microsoft Corporation, Raytheon Technologies Corp., The Boeing Company, Lockheed Martin Corp., General Electric Company, Airbus S.A.S., International Business Machines Corporation (IBM), Intel Corporation, Northrop Grumman Corp., NVIDIA Corp., BAE Systems plc, Infosys Ltd., Thales Groups, L3Harris Technologies, Inc., Textron Systems, Dassault Systèmes SA, Embraer SA, Indra Sistemas SA, Kongsberg Gruppen, Honeywell Aerospace, Curtiss-Wright Corporation, Meggitt PLC, SITA, Kratos Defense & Security Solutions, AeroVironment, PAL Aerospace, Shield AI, Spark Cognition, Iris Automation Inc.
What Trends Are Driving Growth in The Aerospace Artificial Intelligence Market?
Key players in the aerospace artificial intelligence market are concentrating on strategic alliances to deliver reliable solutions to their clients. Such strategic partnerships are alliances forged among multiple parties aimed at realizing certain targets that are otherwise challenging or impossible to achieve individually. As an example, Pratt & Whitney, an American firm that produces AI-powered solutions for aircraft, joined forces with Awiros, an Indian AI-based startup, in June 2023, to introduce Percept. This AI-driven aircraft engine analysis tool runs on the Awiros Video Intelligence Operating System (OS) and its cloud-based interface allows users to take photos and videos of aircraft engines on their mobile devices, while simultaneously receiving real-time updates about their accessibility. This process significantly hastens and makes more cost-efficient the turnover of leased engine assets. Contrasting the traditional method of an inspector scrutinizing an engine part by part, Percept streamlines the inspection, saving more than 90% of time.
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What Are the Emerging Geographies for The Aerospace Artificial Intelligence Market Growth?
North America was the largest region in the aerospace artificial intelligence market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the aerospace artificial intelligence market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
Frequently Asked Questions:
1. What Is the Market Size and Growth Rate of the Aerospace Artificial Intelligence Market?
2. What is the CAGR expected in the Aerospace Artificial Intelligence Market?
3. What Are the Key Innovations Transforming the Aerospace Artificial Intelligence Industry?
4. Which Region Is Leading the Aerospace Artificial Intelligence Market?
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