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In-Flight Entertainment And Connectivity (IFEC) Market Analysis By Product (Hardware, Connectivity, Content), By Aircraft Type (Narrow-Body Aircraft, Wide-Body Aircraft, Very Large Aircraft) And Segment Forecasts To 2024

In-Flight Entertainment And Connectivity (IFEC) Market Analysis By Product (Hardware, Connectivity, Content), By Aircraft Type (Narrow-Body Aircraft, Wide-Body Aircraft, Very Large Aircraft) And Segment Forecasts To 2024

  • May 2016
  • 88 pages
  • ID: 3847294
  • Format: PDF
  • By Grand View Research

Summary

Table of Contents

The global In-Flight Entertainment And Connectivity (IFEC) market size is expected to reach USD 9.82 billion by 2024, according to a new report by Grand View Research, Inc. The emergence of BYOD and development of novel wireless solutions are expected to boost market growth. The increasing commercial aviation & fleet expansion have further bolstered industry growth. Growing availability of HD content across dynamic platforms are expected to increase IFEC systems’ demand.

These systems can be categorized on the basis of product into hardware, connectivity, and content. Hardware is divided into portable and fixed while content is classified as streamed and stored. The portable hardware segment is expected to grow at a remarkable pace owing to the enhanced customer experience the devices offer.

Recent administrative regulations pertaining to the IFEC integration into aircraft in countries such as the U.S. are further expected to throttle industry growth. These regulations restrict the in-flight entertainment & connectivity integration to a certain degree to offer safe travel to passengers by minimizing the possibility of mishaps associated with the cabling and weight of these systems.

However, the IFEC system associated costs of content services and procurement costs are expected to pose challenges for the industry. The recent BYOD trend across industries, along with the advent of wireless portable electronic devices across dynamic sectors, is expected to impel the global IFEC market growth.

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Further key findings from the report suggest:

Opportunities are presented by the market owing to the launch of innovations such as high throughput satellites in the Ka band and Ku band. This innovation is expected to increase the data speeds for connectivity and make the service provision cost efficient. With pressure rising in the airline sector as the major players are adopting cabin connectivity, other players need to adopt it to stay competitive.

The number of narrow body application planes in North America and Asia Pacific is multiplying with intense competition in the airlines industry, as a result of which the demand for these systems is to be significant in this segment. The U.S. and Canada are attractive markets on account of high flight connectivity and development in the technology followed by Europe.

The Asia Pacific in-flight entertainment and connectivity industry is expected to grow at a CAGR of close to 20% from 2016 to 2024. As the industry is dynamic, upgrades of the existing infrastructure incur high operational costs, installation time, and certification requirements. For embedded systems, it is thus necessary to ensure high returns on investment made in the infrastructure. The Bring Your Own Devices (BYOD) segment imposes logistical requirements and the need for updating & maintaining consistency across the fleet increases technological complexity.

Key industry participants include Cobham Plc., Global Eagle Entertainment Inc., Lufthansa Systems AG, Iridium Communications Inc., Thales Group S.A., OnAir, Viasat Inc., Gogo LLC, Panasonic Avionics Corporation, and Zodiac Aerospace S.A. The hardware suppliers are anticipated to dominate the content delivery industry to offer exclusive content, along with creating new revenue streams for airlines. In addition, they concentrate on evolving data storage competencies or collaborating with data centers to increase data volumes.

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