In-flight entertainment and connectivity systems by airlines and private aircraft operators will drive global annual service revenues in the aviation sector from an estimated US$3.7 billion in 2018 to over US$8.4 billion by 2023, according to a new research report.
And the research by Juniper reveals that airlines are increasingly adopting wireless streaming to passenger devices, with penetration in commercial aircraft in West Europe reaching 31% by 2023, up from 23% in 2018.
Juniper says that with connectivity becoming a standard aircraft feature, it predicts that the number of connected aircraft will grow by 118% between 2018 and 2023, with over 34,000 commercial and business aircraft outfitted by 2023.
“Improved aircraft connectivity will be leveraged to gain service efficiency owing to predictive, more efficient maintenance, with IoT sensors utilised to reduce manual maintenance tasks and improve aircraft safety; allowing improved margins for airlines,” Juniper notes.
{loadposition peter}Juniper also says it foresees that the greater cost efficiency of in-flight entertainment and connectivity systems, compared with seatback systems, will enable the “increased low cost carrier deployment”.
“Offering entertainment services in the budget segment removes a crucial differentiator for more traditional airlines, meaning that these airlines need to innovate in order to maintain success. Juniper recommended that one area in which they can do this is to offer free, high quality passenger Wi-Fi.”
Research author Nick Maynard says, “Operational use cases and the significance of the IoT is driving innovation in the satellite sector”.
“Increased demand can be used by satellite operators to justify high capital expenditure required to build new systems, such as HTS (High Throughput Satellites) and S band services,” Maynard concluded.