The airline industry has faced numerous cyber threats over the past couple of years and such incidents have brought the focus of leaders to cyber security. In such a scenario, airlines are trying to navigate their way in the new digital age, where protection of personal data is of high priority to passengers and governments are getting stricter on data regulation policies. Optimization of operations and hyper-personalization are key areas of focus for airlines globally. Growth in public awareness about climate change has put the aviation industry in the crossfires of a global backlash regarding the emissions levels that harm the environment. The industry is tackling this challenge by investing in alternate sustainable fuels, electric propulsions etc. However, these measures will only be realized and implemented over the very long term. Currently, airlines are implementing solutions that are integrated with ML algorithms that can optimize operations, delivering reduced cost and emissions. Customers are becoming more mobile and are always online and connected.
Their experience in other aspects of life such as retail shopping, business, and even relationships are served in an intelligent manner curated to their preferences. Airlines are trying to reach the level of personalization provided by such industries to gain more of the opportunity in ancillary products by pitching the right product to potential passengers at the right time. Numerous start-ups in various stages of growth are developing niche technologies that can improve particular processes of an airline. Airlines and solution providers are partnering and investing in these start-ups to support their digital growth. The airline IT market is segmented into 6 key categories across various airline business models – Full-Service Carriers, Hybrid Carriers, Low-Cost Carriers and Logistic Carriers. The 6 segments are IT Infrastructure, Operational IT, Commercial IT, Passenger Service Systems, Core Airline IT, and Corporate IT. There is also growing support and investment from international industry associations like International Air Transport Association (IATA) to simplify and improve processes using digital solutions.
Key Issues Addressed
- What is the current market for airline information technology, and how will it change by 2025?
- What are the various segments making up the airline IT market? How much does each segment contribute to the overall airline IT market and how will the composition change by 2025?
- What are the major digital trends on which airlines are focusing on? How do airlines plan to solve their pain points by using digital technologies?
- Who are the key solution providers in the market, and how are they responding to the new trends in the airline industry?
- Who are the disruptors in this area, and how will they impact the current market for the incumbent solutions providers?