Airport Automation Market Size

Airport Automation Market Size

Airport Automation Market was valued at USD 6.3 billion in 2023 and is estimated to register a CAGR of over 5% between 2024 & 2032. The market growth is driven by an increased focus on improving operational efficiency and cost reduction. Airport automation helps improve operational efficiency by streamlining various processes such as check-in, baggage handling, security checks, and boarding.

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Citing an instance, in October 2023, Biju Patnaik International Airport (BPIA) inaugurated a state-of-the-art Air Traffic Management (ATM) Automation System at its recently established Air Traffic Control Centre. This advanced system is poised to elevate operational efficiency for flights while prioritizing safety in the airspace. According to official sources, the indigenously developed ATM Automation System equips controllers with conflict prediction and alert warning tools, facilitating informed decision-making for safe and efficient air traffic control. Authorities emphasize that this innovation will bolster the airport's capacity handling capabilities, enhancing flight safety by reducing controller workload.
 

Growing emphasis on passenger experience enhancement will help shape the airport automation market outlook through 2032. Airports are increasingly investing in automation to enhance the overall passenger experience. Self-service airport kiosk system for check-in, automated baggage drop systems, and biometric-based security screening contribute to a smoother and more convenient journey for travelers.
 

Against this backdrop, in November 2023, IDEMIA's ALIX introduced artificial intelligence to streamline the process of identifying lost luggage. By harnessing advanced biometric identification technologies, IDEMIA enables airport operators to match luggage with its rightful owner efficiently. The integration of AI, imaging, and biometric expertise allows IDEMIA to offer a seamless solution that easily integrates into the baggage handling systems of airlines or airports. Developed in collaboration with Air France, ALIX (Augmented Luggage Identification eXperience) is a field-proven solution designed to enhance luggage identification with the added advantage of AI technology.
 

In addition, the airport automation industry is witnessing a transformative phase propelled by airline technology integration and the expansion of the airport information system market. This convergence is revolutionizing airport operations, fostering seamless collaboration between airlines and airport systems, and optimizing processes such as check-in, baggage handling, and security screening.
 

In contrast, the deployment of advanced automation technologies in airports often involves substantial upfront costs for infrastructure upgrades, technology acquisition, and system integration. Many airports, especially those with limited financial resources, may find it challenging to justify and afford the initial investment required for comprehensive automation. This financial barrier can hinder the widespread adoption of automation solutions, slowing-down the overall industry progression.