Airport IT Systems Market Analysis

Global Airport IT Systems Market Overview

Airport IT Systems Market Size was valued at USD 4972.1 million in 2023. The Airport IT Systems market industry is projected to grow from USD 5146.1235 Million in 2024 to USD 6,754.3 million by 2032, exhibiting a compound annual growth rate (CAGR) of 3.45% during the forecast period (2024 - 2032). Airport IT Systems, Increasing Passenger Traffic and Advancements in Aerial and Terrestrial Imaging Technologies are the key market drivers boosting the growth of the Airport IT Systems market.  

As per Analyst at MRFR, “In order to efficiently address the requirement for information sharing among various parties, airports are moving toward centralized design. Airport systems are linked to scanners and monitors, which makes it simple for hackers to access interior systems via these tangible assets. Every day, information from the airport is gathered, archived, and dispersed in accordance with the specifications that are essential to its efficient operation. Keeping up with the right security measures is a significant effort for businesses as rules and systems get more complex.”

FIGURE 1: AIRPORT IT SYSTEMS MARKET SIZE 2024-2032 (USD MILLION)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Airport IT Systems Market Trends

• Digital Transformation And Passenger Experience Enhancement is expected to drive market growth.

In today’s fast-paced and tech-driven world, airports worldwide are embracing digital transformation as a core strategy to enhance passenger experiences. Likewise, smart digital investments demonstrate an attractive business case for airports, offering the potential to increase revenue and lower costs. Airports are undergoing massive transformation internally and digital tools are enabling new thinking as it relates to advertising, digital stores with interactive displays, loyalty programs and mobile applications for passengers.

When it comes to airports, digital transformation is not just about embracing technology; it is also about business transformation in a digital world. It is about evolving processes and services to deliver a better experience for passengers and customers. Such a transformation allows for both a seamless customer experience in the airport and a seamless integration of systems and services, including partners such as airlines, security, customs, concessions, and ground handlers. Digital transformation in airports leverages technology solutions such as indoor geolocation, identity management, passenger flow management, data mining, artificial intelligence (AI) and internet of things to both improve safety and security and streamline their business and operations.

This trend in the Airport IT Systems Market is marked by a comprehensive shift towards digitalization and automation, aiming to create seamless and passenger-centric journey from the moment travelers step foot in the terminal to the time they depart. This trend encompasses several critical elements, these elements include Mobile Applications and Contactless Services, self-service kiosks and bag drop, biometrics and facial recognition, seamless connectivity, data-driven personalization, and augmented reality (AR) and virtual reality (VR).

Airport IT Systems Market Platform Segment Insights:

Airport IT Systems Function Insights

Based on Function, the Airport IT Systems Market segmentation includes Airport Operational Control Center (AOCC), and Departure Control System (DCS )). The Airport Operational Control Center (AOCC)held the majority share in 2022, contributing around ~57% to the market revenue. The AOCC (Airport Operational Control Center) is the central hub of an airport. It coordinates and manages various critical aspects of an airport’s operations. The AOCC acts as a central hub that brings together information from various airport systems. It enables real-time tracking, decision-making and resource optimization. The purpose of the AOCC is to improve operational efficiency, safety, and communication within an airport ecosystem. AOCC’s functions include Resource management, Flight planning and monitoring, Collaboration and communication, Incident management, Data integration and analysis. AOCC contributes to efficient, safe, and resilient airport management, which is in line with the industry’s goal of providing a smooth travel experience

FIGURE 2: AIRPORT IT SYSTEMS MARKET, BY FUNCTION, 2022 VS 2032 (USD MILLION)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Airport IT Systems Software Insights

Based on the software, the Airport IT Systems Market segmentation is Passenger System, And Non-Passenger System. Passenger System dominated the market in 2022. Passenger System is tailored to enhance the overall passenger experience, from the moment travelers arrive at the airport to their departure. It encompasses a range of functionalities aimed at streamlining passenger processes, optimizing services, and ensuring a seamless journey. It includes check-in and boarding processes, baggage tracking and handling, flight information displays, self-service kiosks and mobile apps, biometric identification, and many others. By focusing on passenger-centric functionalities, Passenger System Software aligns with the industry’s commitment to enhancing customers satisfaction and delivering a seamless and enjoyable travel experience

Airport IT Systems Application Insights

Based on application, the Airport IT Systems Market segmentation includes Terminal Side And Airside. The Terminal Side owners held the majority share in 2022. Terminal-side applications are designed to streamline passenger processes, improve convenience, and create a seamless journey within the terminal building. These applications leverage technology to enhance the overall passenger experience from check-in to boarding and beyond. These applications include check-in kiosks and self-service options, wayfinding and information displays, security screening solutions, mobile apps for passengers, retail and lounge management, and many others. These terminal-side applications prioritize passenger satisfaction and convenience, aligning with the industry’s commitment to providing a positive travel experience from the moment passengers enter the terminal

Airport IT Systems Airport Size Insights

Based on airport size, the Airport IT Systems Market segmentation includes Class-A, Class-B, Class-C, And Class-D. The Class-A owners held the majority share in 2022. Class-A airports are characterized by handling over 30 million passengers annually, stand as the largest in terms of passenger traffic. These airports boast extensive infrastructure, including multiple runways and a wide range of services and amenities, the IT systems developed for Class-A airports focus on managing the complexities of passenger processing and advanced terminal management. Robust solutions are required to manage the intricate check-in processes, baggage tracking, and security screening. Terminal-side applications in Class-A airports emphasize advanced terminal management, incorporating self-service options, wayfinding solutions, and comprehensive retail and lounge management to enhance the overall passenger experience.

Airport IT Systems Cost Insights

Based on cost, the Airport IT Systems Market segmentation includes Integration, Procurement, And Operation. The Operation owners held the majority share in 2022. Operation costs pertain to the ongoing expenses associated with the maintenance, support, and day-to-day operation of IT systems within airports. These costs are critical for ensuring the continued functionality, reliability, and security of the implemented technologies. The factors that are included in operating costs are maintenance contracts. Staff training, energy consumption, upgrade & expansion, and others

Airport IT Systems Solution Insights

Based on solution, the Airport IT Systems Market segmentation includes A-CDM, AOP, AODB, FIDS, RMS, Passenger Processing Software, Baggage Handling Software, and Others The A-CDM owners held the majority share in 2022. Airport Collaborative Decision Making (A_CDM) stands as a pivotal solution in the airport IT systems market, fostering collaboration among stakeholders to enhance operational efficiency. Most airport-related operational improvement initiatives are oriented towards improving the performance of an individual partner at an airport. Airport CDM (A-CDM) is about partners working together and making decisions based on more accurate and higher quality information, where every bit of information has the exact same meaning for every partner involved. A-CDM facilitates real-time data sharing among airlines, ground handlers, and air traffic control, providing a unified operating picture. This solution integrates predictive analysis tools, enabling airports to anticipate challenges and make informed decisions. By streamlining processes and reducing turnaround times, A_CDM contributes to improved punctuality and overall operational performance, aligning with the industry’s commitment to seamless airport operations.

Airport IT Systems Region Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North America Airport IT Systems market accounted for ~35% in 2022. It is expected to exhibit a significant CAGR growth during the study period. North America is at a rising pace, owing to numerous factors including increasing passenger traffic, rising demand for contactless payments, the need to improve security, and the growing adoption of new technologies.

As the number of passengers travelling through North American airport and it is expected to increase steadily in the coming years. This growing passenger traffic puts a strain on existing airport infrastructure and systems. Thus, there is a requirement for airports to invest in new IT systems to improve efficiency and service levels. For example, recently in 2022 Hartsfield-Jackson Atlanta International Airport handled ~100 million passengers, making it the busiest airport in the world. To manage this high volume of traffic, the airport uses a variety of IT systems, including a passenger processing system, an airport operations management system, and security system. Henceforth, to mitigate the disturbances, the demand for airport IT systems is growing & this is contributing to the growth of North American airport IT systems market.

FIGURE 3: AIRPORT IT SYSTEMS MARKET SIZE BY REGION 2022 VS 2032

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Further, the major countries studied in the market report are the U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Asia Pacific market accounts for the second-largest market share. The Asia Pacific region also experiences huge growth and transformation in the airport IT systems market. This dynamic sector is driven by numerous factors including increasing air travel and passenger volume, expansion & modernization of airports, and emphasis on enhanced passenger experience. Asia Pacific region has emerged as a global aviation hub, characterized by a surge in air travel and passenger volume. With a rapidly growing middle-class population, increased urbanization, and an expanding tourism industry, airports in the region are witnessing a significant rise in passenger footfall.

Europe Airport is also at a rising pace in the airport IT systems market owing to growing demand for self-service, increasing need for security improvements, and management of passenger traffic. Passengers are increasingly demanding self-service options at airports. This is due to several factors, including the convenience of self-service, the ability to avoid queues, and the control that self-service gives passengers over their own travel experience. Henceforth, airports are responding to this demand by investing in new self-service technologies. For instance, in 2022, Frankfurt Airport launched a new self-service baggage drop system .

Airport IT Systems Key Market Players& Competitive Insights

With a strong presence across different verticals and geographies, the Airport IT Systems market is highly competitive and dominated by established, pure-play vendors. Over 30 vendors cater to this market, and they continually innovate their solutions to meet the evolving needs of businesses by adopting new technologies. These vendors have a robust geographic footprint and partner ecosystem to cater to diverse customer segments. The Airport IT Systems market is highly competitive, with many vendors offering similar products and services.

The major players in the market include Indra Sistema’s S.A., Siemens AG, IBM Corporation and Honeywell International Inc and others. Indra Sistemas SA's strategic approach revolves around global leadership, innovation, and diverse market penetration. It encompasses sectors like finance, defence, healthcare, and transportation, catering to a global clientele. Its distinction as a premier supplier of air traffic management and communication solutions is underscored by its installations in 160 countries. The company's engagement in the SESAR program highlights its dedication to innovation, fostering a technological edge. By bolstering its presence in Latin America, Africa, the Middle East, and Asia, Indra strategically positions itself for international expansion

The Airport IT Systems Market is consolidated, increasing competition, acquisitions, mergers, and other strategic market developments and decisions to improve operational effectiveness.

Key Companies in the Airport IT Systems market include

• Indra Sistemas S.A.


• Resa airport data systems


• Amadeus IT Group SA


• Siemens AG


• IBM


• ADB Safegate


• Ultra-Electronics Holdings


• SITA


• Embross


• Sensus Aero


• Honeywell International Inc


• Thales Group

Airport IT Systems Industry Developments

• In May 2023, Indra has officially launched its new subsidiary, Indra Air Traffic Inc., in Overland Park, Kansas, aiming to solidify its position in the US air traffic management (ATM) sector. This strategic move comes after Indra acquired Selex ES's air traffic business line and seeks to offer its advanced ATM portfolio and 40 years of expertise to aid the US air infrastructure renewal. Indra Air Traffic Inc. plans to serve important clients like the Federal Aviation Administration (FAA), US Air Force, and US Navy. The subsidiary's establishment includes a center of excellence for air navigation aid systems. Indra aims to further expand its global leadership in ATM technology and solutions. 


• In June 2023,Indra Australia has provided the Royal Australian Air Force (RAAF) with three Defence Deployable Air Traffic Management and Control Systems (DDATMCS), enhancing rapid deployment and airspace management globally. These systems facilitate approach and en-route air traffic management, aiding Defense, humanitarian, and disaster operations. Indra's technology includes deployable 3D medium-range radar, integrated into mobile Area Control Centers (ACC) meeting international aviation standards. The solutions bolster RAAF's capabilities for safe flight support during infrastructure absence or damage. Indra's collaboration with Daronmont Technologies manufactures the control centers in Australia, ensuring high local content. Indra, known for its advanced radar and air traffic systems, furthers its commitment to modernize and digitize armed forces.

Airport IT Systems Market Segmentation

Airport IT Systems Function Outlook

• AOCC


• DCS

Airport IT Systems Software Outlook

• Passenger System


• Non-Passenger System

Airport IT Systems Application Outlook

• Terminal Side


• Airside

Airport IT Systems Airport Size Outlook

• Class-A


• Class-B


• Class-C


• Class-D

Airport IT Systems Cost Outlook

• Integration


• Procurement


• Operation

Airport IT Systems Solution Outlook

• A-CDM


• AOP


• AODB


• FIDS


• RMS


• Passenger Processing Software


• Baggage Handling Software


• Others

Airport IT Systems Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • UK
  
  
  • France
  
  
  • Italy
  
  
  • Spain
  
  
  • Sweden
  
  
  • Netherland
  
  
  • Norway
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • India
  
  
  • Japan
  
  
  • Australia
  
  
  • South Korea
  
  
  • Malaysia
  
  
  • Singapore
  
  
  • Rest of Asia Pacific
  
  
  
  


• Middle East & Africa
  
  
  
  • Saudia Arabia
  
  
  • Qatar
  
  
  • South Africa
  
  
  • Rest of MEA
  
  
  
  


• Africa
  
  
  
  • South & Central America
  
  
  • Colombia
  
  
  • Brazil
  
  
  • Argentina
  
  
  • Rest of South America