The air traffic control market is expected to exhibit significant growth across 2021-2027 due to rising focus on air traffic management and modernization of systems. Air traffic control hardware and software components offer the capability to assist aircraft during takeoff and landing of flights and while travelling between airports.

Air traffic control communication is moving towards more digitally enhanced systems, which has given rise to the emerging trend of supplementing or entirely replacing the conventional air-ground link used for establishing communication between satellites and aircraft. Moreover, market players have been adopting various strategies to facilitate further development of air traffic control systems in the future.

For instance, in May 2021, Spanish consulting firm Indra and Enaire, Spain-based air navigation manager, announced that they had selected nanosatellite maker GomSpace to develop satellites as part of a large-scale demonstration and development project.

The USD 17.7 million project would involve the development of three in orbit demonstration (IOD) nanosatellites for a global air traffic management constellation. The project has been devised to extend surveillance as well as aircraft communication coverage to remote areas and vast oceanic regions that are not covered by existing ground-based air navigation systems.

Growing interest of industry participants in the advancement of current air traffic control technologies is projected to propel market expansion significantly through the following years. For comprehensive analysis, the air traffic control market has been segmented based on component, center, end-use, and region.

In terms of component, the market has further been divided into hardware like navigation systems, surveillance systems, and communication systems, while services and software form the rest of the component bifurcation. As per market analysis and trends, the hardware sub-segment held a share of more than 70% in the air traffic control market in 2020.

Rising demand for communication, surveillance, and navigation systems to reduce collision and manage traffic more efficiently is expected to support the component demand through the assessment period. The centers where the air traffic control components are used include Air Route Traffic Control Center (ARTCC), Air Traffic Control Tower (ATCT), Terminal Radar Approach Control (TRACON), and Flight Service Station (FSS).

The market share from air traffic control tower (ATCT) segment is anticipated to grow at a notable pace through 2027 driven by the increasing demand for large number of ATCT towers in developing countries. From the end-use perspective, the air traffic control market has been segmented into commercial and defense. The commercial sub-segment is expected to grow at a CAGR of over 5% through the forecast timeframe. Increasing investments by private and government agencies towards improving airport facilities and air traffic management systems is expected to foster the market outlook up to 2027.

In the regional landscape, the Latin America market is estimated to witness substantial growth by 2027 owing to the increasing number of airports and surging investments for enhancing airport facilities across the region.