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The global on-board connectivity market size was valued at USD 10.4 billion in 2024 and is projected to grow at a CAGR of 13.5% between 2025 and 2034. The inclusion of onboard Wi-Fi in product development has become a major catalyst driving the growth of the market. This technology improves the passenger experience by providing internet access, entertainment, and connectivity during travel.
For instance, in January 2023, Croatia Airlines introduced onboard Wi-Fi and other upgrades to its Airbus A220 fleet, allowing passengers to access the airline’s exclusive digital content via its app while flying. As the demand for uninterrupted connectivity via onboard Wi-Fi continues to rise, the onboard connectivity industry is projected to expand throughout the forecast period.
Report Attribute | Details |
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Base Year: | 2024 |
On-Board Connectivity Market Size in 2024: | USD 10.4 Billion |
Forecast Period: | 2025 to 2034 |
Forecast Period 2025 to 2034 CAGR: | 13.5% |
2034 Value Projection: | USD 35.6 Billion |
Historical Data for: | 2021 – 2024 |
No. of Pages: | 180 |
Tables, Charts & Figures: | 200 |
Segments covered: | Component, Technology, Application, End Use |
Growth Drivers: |
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Pitfalls & Challenges: |
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Further, the rise of smart transportation, driven by the integration of cutting-edge technologies, further fuels the onboard connectivity market. Smart vehicles utilize onboard connectivity to offer features like real-time navigation, traffic monitoring, and autonomous driving capabilities. This transition to intelligent transportation systems aligns with a broader trend across the automotive and transportation sectors, highlighting the importance of connectivity solutions that improve efficiency, safety, and the overall user experience, thus significantly contributing to market growth.
Acquisitions focused on enhancing satellite communications play a crucial role in driving the growth of the onboard connectivity industry. These strategic acquisitions strengthen technological capabilities and expand market presence, fostering innovation and increasing competitiveness.
For instance, in May 2023, Viasat, a leading communications company, acquired the UK-based maritime telecommunications group Inmarsat for USD 6.66 billion. Such acquisitions fuel growth in the dynamic and increasingly competitive satellite communications sector. The integration of new assets and expertise allows companies to provide more advanced and comprehensive onboard connectivity services, addressing the rising demand for seamless communication across various transportation industries.
The rise of connected and autonomous vehicles is another key trend accelerating the onboard connectivity market. These vehicles utilize advanced communication technologies for real-time data exchange, enabling features like autonomous driving, predictive maintenance, and enhanced safety systems. Onboard connectivity ensures smooth communication between vehicles, infrastructure, and the cloud, supporting the growth of intelligent transportation systems. As the automotive industry adopts these innovations, the demand for robust onboard connectivity solutions continues to rise, driving market growth.
One challenge in the on-board connectivity market is the financial limitations involved in implementing onboard connectivity systems which present a major hurdle to market growth. Manufacturers and end-users frequently encounter substantial initial costs for the installation and upkeep of these technologies. These costs include hardware, software, and continuous updates, which can restrict access to certain market segments. To overcome these cost barriers, innovative approaches, efficient technology scaling, and potential advancements are needed to lower the overall expense of integrating onboard connectivity across different industries.
Based on technology, the market is divided into ground to air and satellite. In 2024, the ground to air segment accounted for over 50% of the market share and is expected to exceed USD 18 billion by 2034. The demand for remote monitoring of aircraft systems is driving the growth of ground to air technology in the on-board connectivity market. This capability allows real-time tracking and analysis of critical aircraft parameters, enhancing maintenance efficiency & proactive issue resolution.
Airlines benefit from improved operational reliability and reduced downtime, contributing to overall cost savings. The increasing emphasis on aviation safety and performance optimization fuels the adoption of ground-to-air connectivity solutions for comprehensive remote monitoring in the aviation industry.
Based on end user, the on-board connectivity market is categorized into maritime, railway, and aviation. The aviation held above 45% of the market share in 2034. Collaborations focused on providing airlines with in-flight entertainment systems are driving growth in the aviation segment. These partnerships enhance the passenger experience by offering a variety of on-demand entertainment options during flights.
For instance, in August 2023, Viasat received a contract from Malaysia Airlines to equip its new Boeing 737-8 fleet with a wireless In-Flight Entertainment (IFE) system. Additionally, the airline has chosen Viasat's premium onboard internet connectivity. This collaboration ensures passengers access to over 500 on-demand entertainment options and personalized shopping experiences.
The U.S. on-board connectivity market accounted for 75% of the revenue share in 2024 and is expected to exceed USD 8 billion by 2034, due to its advanced technological infrastructure, widespread adoption of high-speed internet, and significant investments in satellite communication systems. The country is home to leading companies like Viasat, Gogo, and Honeywell, which drive innovation and development in onboard connectivity solutions.
Additionally, the U.S. aviation and automotive sectors are early adopters of these technologies, incorporating them to enhance passenger experience and vehicle functionality. Strong regulatory support and consumer demand for seamless connectivity further contribute to the market's growth. The U.S. also benefits from a large consumer base, with extensive travel and transportation networks requiring robust connectivity solutions. Moreover, the rapid deployment of 5G and satellite systems boosts connectivity options, solidifying the U.S.'s leadership position.
Europe’s onboard connectivity market is experiencing significant growth, driven by increasing consumer demand for seamless internet access across various transportation modes, including airlines, trains, and automobiles. Strong technological advancements and the presence of major players like Inmarsat and Deutsche Telekom fuel market expansion. European regulations and safety standards also promote the adoption of onboard connectivity in transportation. The automotive sector is adopting connected and autonomous vehicles, enhancing demand for reliable connectivity.
Additionally, Europe’s growing focus on sustainability and intelligent transportation systems is further boosting market development. Increased investment in satellite technology and 5G infrastructure is expected to drive further growth.
The Asia-Pacific region is rapidly expanding in the onboard connectivity market due to a large and growing population, rising disposable incomes, and a booming middle class with increasing expectations for connectivity. Key countries like China, Japan, and India are seeing strong adoption of connected transportation technologies, particularly in the automotive and aviation sectors. The region’s vast geographical area and high-speed rail networks create a strong demand for seamless connectivity solutions.
With advancements in 5G and satellite infrastructure, APAC is set to become a leading player in onboard connectivity. Government investments in smart city initiatives and digital transformation are expected to further drive market growth. Additionally, the rise of connected and autonomous vehicles in the region boosts demand for advanced connectivity technologies.
Qualcomm, ZTE, AT&T collectively held a substantial market share of over 15% in the on-board connectivity industry in 2024. The companies are dominating the onboard connectivity industry due to their expertise in advanced communication technologies and robust infrastructure. Qualcomm leads with its innovations in 5G and satellite connectivity, driving seamless communication in connected vehicles and aerospace applications. ZTE excels in providing cost-effective solutions and strong telecom infrastructure, particularly in emerging markets.
AT&T offers extensive wireless communication networks, enhancing connectivity for both aviation and automotive industries. Aerospace companies are pivotal due to their focus on integrating advanced connectivity systems in aircraft, ensuring in-flight Wi-Fi and real-time communication. These companies' continuous investments in R&D and strong partnerships enable them to lead in providing reliable, cutting-edge solutions across various transportation sectors.
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Major players operating in the on-board connectivity industry are:
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Market, By Component
Market, By Technology
Market, By Application
Market, By End Use
The above information is provided for the following regions and countries: