(Entertainment-NewsWire.com, July 13, 2023 ) The In-flight Entertainment and Connectivity (IFEC) Market has witnessed substantial growth in recent years, driven by the increasing demand for an enhanced in-flight experience, technological advancements, and the renewal and delivery of aircraft. According to a report titled "IFEC Market by Product (IFE Hardware, IFE Connectivity, IFE Content), Class, Aircraft Type (Narrow Body Aircraft, Wide Body Aircraft, Business Jets), End User and Region - Forecast to 2026," the market was estimated to be USD 4.7 billion in 2021 and is projected to reach USD 6.1 billion by 2026, with a compound annual growth rate (CAGR) of 5.2% during the forecast period.
The report highlights key factors driving the growth of the IFEC market, including the rising demand for in-flight experiences, the increase in aircraft renewals and deliveries, and the ongoing technological shift. The COVID-19 pandemic has also had an impact on the market, with the end-use industries experiencing a downturn in 2020. However, a slow recovery is expected in Q1 2021.
Key Players and Regional Impact:
Major players in the IFEC market, such as Thales Group, Viasat Inc., Astronics Corporation, Iridium Communications Inc., and Gogo LLC, have expanded their businesses across different regions, including North America, Europe, Asia Pacific, the Middle East, and the Rest of the World. The pandemic has also affected these companies, along with the overall industry.
Segment Analysis:
The report delves into various segments of the IFEC market. The IFE hardware segment is projected to lead the market during the forecast period, accounting for 60% of the market share in 2021. The segment's growth is attributed to the increasing number of product launches by companies like Thales Group, offering features such as open operating systems and 4K HDR displays.
The first-class segment is expected to witness the highest CAGR, driven by the demand for in-flight comfort and premium services. It offers passengers a luxurious experience starting from transfers, private check-ins, and premium lounge access. In-flight, first-class seats are known for their comfort, spaciousness, and high-quality amenities.
The narrow-body aircraft segment is projected to grow at the highest CAGR. This growth is fueled by the increasing demand for domestic air travel in countries like India, Japan, Australia, China, the US, and Russia. The rise in air travel and passenger traffic has led to an increased demand for narrow-body aircraft worldwide.
The OEM segment is expected to witness the highest CAGR as new airlines focus on pre-installed in-flight systems provided by manufacturers. The increasing demand for low-cost carriers in Southeast Asia and the growing number of passengers worldwide contribute to the demand for in-flight entertainment systems.
Regional Outlook:
North America is projected to contribute the largest market share from 2021 to 2026, accounting for 50% of the IFEC market. The region is home to major IFEC manufacturers such as Viasat Inc., Astronics Corporation, Iridium Communications Inc., and Gogo LLC, which drive its growth.
MarketsandMarkets™ is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. We have the widest lens on emerging technologies, making us proficient in co-creating supernormal growth for clients.
Built on the ’GIVE Growth’ principle, we work with several Forbes Global 2000 B2B companies - helping them stay relevant in a disruptive ecosystem. Our insights and strategies are molded by our industry experts, cutting-edge AI-powered Market Intelligence Cloud, and years of research. The KnowledgeStore™ (our Market Intelligence Cloud) integrates our research, facilitates an analysis of interconnections through a set of applications, helping clients look at the entire ecosystem and understand the revenue shifts happening in their industry.
