Airport Smart Lighting Market size is projected to experience a healthy growth during 2023 to 2032, as a result of the significant recovery in air travel from the COVID-19-induced crises. With air travel poised to reach pre-pandemic levels, several government bodies have been making hefty investments in airport infrastructure projects.
Citing an instance, in February 2023, the Federal Aviation Administration awarded around USD 1 billion from the Bipartisan Infrastructure Law of President Biden to 99 airports. This initiative was undertaken to meet the growing air travel demand and enhance passenger experiences, thereby accelerating the installation of smart airfield lighting and other intelligent solutions.
Smart lighting refers to an energy-efficient, long-lasting, and cost-effective solution. IoT and AI advancements have supported varied sectors, including airports. The paradigm shift in leisure travel, the increased air freight importance, and the internationalization of business travel have made the smart airport a profitable investment.
One of the major factors contributing to the airport smart lighting market expansion is the mounting air passenger inflows. Based on data from the International Civil Aviation Organization, To limit accidents and adverse events, there has been a strong focus on passenger safety and security through faster threat detection and quick response in high-risk areas. The growing acceptance of LED-based airport lighting systems and the shifting interest toward energy-efficient and sustainable solutions will also drive product consumption. However, the high costs of technology and electronics may hinder industry growth over the foreseeable future.
With respect to the product, the airside segment will account for a considerable share of the airport smart lighting industry by 2032, considering the strong demand for advanced luminaries at runways and taxiways. As per the Airfield Standards publication of the Federal Aviation Administration, there are nearly 9 color lighting combinations in taxiways and runways. Furthermore, the introduction of strict regulations associated with illumination during night operations will amplify the production of airside smart lights.
Airport smart lighting market value from the commercial airport segment is expected to grow substantially over the forecast period, owing to the rise in tourism and the adoption of recreational activities.. Additionally, the emphasis on fulfilling commercial aircraft deliveries and orders will proliferate the installation of airfield ground lighting and other systems across commercial airports.
Europe airport smart light industry share is anticipated to witness an upsurge over, due to the surging tourist arrivals. Governments are also continuing to spend on airport infrastructure development projects. In addition, the strong presence of lighting component suppliers will create lucrative prospects for regional industry development.
OSRAM, Sensity Systems, Eaton, C2 SmartLight, ATG Airports, Carmanah Technologies, HELLA (Faurecia), Koninklijke Philips, Schréder Group, and Honeywell International are some of the key players operating in the airport smart lighting market. Strategic mergers and acquisitions, supply agreements, product portfolio expansions, and heavy R&D investments are among the prominent initiatives being undertaken by these companies to expand their customer base and strengthen their presence in the global industry.
Global inflation asserted profound impacts on a range of industry verticals, including aerospace. Despite inflation or higher prices of ATF (aviation turbine fuel), increased flying ambitions of corporates and the surging number of travelers have, Moreover, boosted the demand for charted aircraft, especially in developing nations. These factors will accelerate airport infrastructure development projects and consequently add impetus to the airport smart lighting industry growth.