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On-Board Connectivity Market Trends

Report ID: GMI7591
Published Date: Dec 2024
Report Format: PDF

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On-Board Connectivity Market Trends

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.

Authors: Preeti Wadhwani, Satyam Jaiswal

Frequently Asked Questions (FAQ) :

The market size of on-board connectivity reached USD 10.4 billion in 2024 and is set to grow at a 13.5% CAGR from 2025 to 2034, driven by the integration of onboard Wi-Fi in product development.

The aviation sector held more than 45% of the market share in 2024, with growth led by collaborations focused on providing airlines with advanced in-flight entertainment systems.

The U.S. market accounted for 75% of the revenue share in 2024 and is expected to exceed USD 8 billion by 2034, supported by its advanced technological infrastructure and significant investments in satellite communication systems.

The key players in the industry include AT&T, Bombardier, Collins Aerospace, Honeywell International, Huawei, Nokia, Nomad Digital, Panasonic, Qualcomm, and ZTE.