Airport Systems Market - By Type, By Application, By Installation, Share, Growth Forecast, 2025 - 2034

Airport Systems Market Size

The global airport systems market was valued at USD 31.5 billion in 2024 and is estimated to grow at a CAGR of 8.1% from 2025 to 2034. The growth of the market is attributed to rising global air passenger traffic and growth in regional airports.
 

The market experienced notable disruption due to tariff policies imposed under the Trump Administration, specifically on the import of critical parts such as radar modules, surveillance systems, biometric scanners, and bespoke IT infrastructure from China, the EU, and Canada. These tariffs significantly increased procurement and integration costs for U.S.-based manufacturers and integrators of airport systems. Thus, airports experienced more capital expenditure, leading to delayed modernization activities and reduced budgets for smaller regional airports. However, the disruption also increased a strategic shift towards domestic sourcing, local electronics manufacturing investment, and increased R&D in airport automation technologies.
 

The rise in international air passenger traffic is driving the airport systems market. As air travel demand increases, airports are under pressure to increase capacity, efficiency, and enhance the passenger experience by adopting sophisticated systems. According to Council International (ACI), international passenger traffic is projected to grow at a CAGR of 3.4% during 2024-2043 reaching USD 17.7 billion passengers. This growth requires high investments in air traffic management systems, passenger processing systems, and terminal systems for ease in airport operation and long-term infrastructure planning.
 

Airport Systems Market Trends

• Airports are rapidly adopting contactless and biometric technologies to seamless passenger processing and boost operational efficiency. For instance, in September 2024, SITA partnered with the Airports Authority of India (AAI) to install Smart Path biometric systems in nine major airports in India. The move is a prime example of the industry's shift toward paperless, frictionless travel using facial recognition to decrease waiting times, improve security, and meet rising expectations for touchless passenger experiences.
   
• Recent trend observed in the market are integration of advanced analytics and AI that are revolutionizing airport operations by enabling predictive maintenance, dynamic resource assignment, and real-time decision-making. Airports utilize AI to streamline passenger flow, tackle congestion, and improve safety. This is an inducement of cost-effectiveness and improved passenger experience, particularly considering that airports operate under heightened complexity and demand in high-traffic environment.
   
• This trend is expected to create new opportunities for players as they can invest in development & introduction of new AI-powered crowd management and passenger tracking systems using computer vision and IoT sensors. This introduction of new system is expected to help company attract new customers.
   

Airport Systems Market Analysis

Based on the installation, the market is segmented into new installation and retrofit/upgrade.
 

• The retrofit/upgrade market was valued at USD 17.2 billion in 2024, because of the necessity to replace old airport infrastructure in developed regions such as North America and Europe. Most airports are upgrading existing systems to increase efficiency, adding new technologies such as biometrics and AI to meet changing security protocols without the need for complete reconstruction. Cost savings, decreased downtime, and faster implementation also spur demand for retrofitting.
   
• New installation market is anticipated to grow at a CAGR of 6.9%, because of growing air travel and the development of new airports, especially in emerging economies. Growing government investments in airport infrastructure and the emergence of smart airports using cutting-edge automation and digital technologies also drive growth.

On the basis of type, the airport systems market is divided into passenger processing systems, airport operations systems, air traffic management (ATM) systems, security & surveillance systems, ground handling & maintenance systems, retail & commercial systems, and others.
 

• Passenger processing systems market led the market with 22.2% market share in 2024 due to increasing need for efficient, automated systems that improve the traveler experience. Increasing use of self-service kiosks, biometric identification, and mobile check-in platforms by international airports is driving segment growth. Airports and other aviation facilities strive to adopt such systems in order to reduce waiting times, maximize throughput, and cope with increasing passenger volume, especially in busy terminals.
   
• Security & surveillance systems market is projected to grow with a CAGR of 10.3% during the forecast period due to increased global security threats and increased regulatory demands. Growing investments in threat detection, access control, and perimeter security technologies are propelling the adoption of security systems, supported by the integration of AI and analytics to monitor threats in real-time.
   

Based on application, the airport systems market is divided into airside, landside, and terminal side.
 

• The airside market was valued at USD 12.9 billion in 2024 due to ongoing investments in air traffic management, runway operations, and aircraft handling systems. As flight frequency grows and air traffic becomes more complicated, airports are focusing on upgrading navigation, radar, and ground movement systems for safety and efficiency. Modernization of control towers and apron management technology also benefits the segment.
   
• The terminal side market is projected to grow at a CAGR of 8.5% in the forecast period because of the rise in passenger expectations for trouble free and automated experiences. There is a growing investment by airports in sophisticated passenger processing, baggage claim, and crowd management systems. The shift towards touchless processing and automation of terminal activities accelerating  the demand for terminal-side technologies, especially in new airports and major terminal expansion projects globally.

• The U.S. airport systems market was valued at USD 8.6 billion in 2024. The U.S. dominates the market because of its vast network of more than 19,000 airports and continuous investments in modernization, automation, and security upgrades. Gateway airports such as ATL, LAX, and JFK are constantly embracing next-generation systems for passenger processing, air traffic control, and terminal management. Federal funding initiatives also supports infrastructure digitization.
   
• The Germany airport systems market is anticipated to grow at a CAGR of 6.7%. Germany's steady growth is supported by investment in airport automation, particularly at airports such as Frankfurt and Munich. The market is driven by EU regulations encouraging advanced security technologies and sustainable airport operations. Mature infrastructure constrains the growth relative to emerging markets.
   
• The China airport systems market is expected to grow at a CAGR of 11.1% during the forecast period. China's rapid growth is fueled by massive airport expansion and modernization projects. The government initiatives towards smart infrastructure and growth of domestic air traffic fosters robust demand for airport infrastructure such as ATM, surveillance, and digital passenger solutions. China remains one of the fastest-growing aviation markets globally.
   
• Japan airport systems market is anticipated to reach at USD 2.5 billion in 2034. Japan's market is growing steadily with backing from investments in terminal upgrades and biometric processing technologies to improve travel experience. Demand is also reinforced by preparations for large international events and strong emphasis on operational resilience. Growth is fairly moderate, owing to a mature aviation infrastructure.
   
• South Korea airport systems market is estimated to grow at a CAGR of 9.8% during the forecast period. South Korea's growth is supported by the high-tech infrastructure development at Incheon airport and other regional airports. The country’s focus on smart airport systems such as IoT, AI surveillance along with automated baggage system boosts demand. Strong government support and innovation ecosystem enhance the adoption of advanced airport systems.
   
• UAE airport systems market was valued at USD 378.5 million in 2024. UAE's market is propelled by its position as an international center for aviation, with state-of-the-art airports such as Dubai and Abu Dhabi acting as major transit airports. Ongoing investment in the modernization of airports, implementation of cutting-edge technologies, and high traffic volumes of passengers ensure increased demand for airport systems. The strategic emphasis of the UAE on tourism and business travel also supports infrastructure growth and system improvements.
   
• Saudi Arabia  airport systems market is projected to grow at a CAGR of 9.1% during the forecasted period. Saudi Arabia is witnessing rapid growth as a result of Vision 2030, with large investments in aviation infrastructure, such as the construction of King Salman International Airport and upgrading regional airports. These developments will help turn the country into a global tourist and transit destination, fueling strong demand for sophisticated airport systems and leading to strong market growth.
   
• South Africa airport systems market is anticipated to reach USD 377.4 million by 2034. South African market will grow steadily because of gradual modernization of large airports such as OR Tambo and Cape Town. However, limited public funding, slow economic growth, and few greenfield developments in comparison to the Gulf countries temper the pace. Improvements in security, baggage handling, and passenger processing systems continue to be the main focus points driving market growth.
   

Airport Systems Market Share

The market is highly competitive with the existence of well-established global companies and regional competitors. The top 4 companies in the market are SITA, Honeywell International Inc., Thales Group, and Amadeus IT Group, which dominate the market with a 20.1% share. These companies provide end-to-end system solutions covering passenger processing, air traffic management, and airport operations using cutting-edge technologies including biometrics, AI, and IoT. These companies leverages there global reach, strategic collaboration with airport authorities, and R&D investment, which gives them a competitive advantage in mature and emerging markets.
 

Niche vendors and regional players are gaining market share by providing cost-effective, customized solutions to meet particular regulatory or operational needs. Airport operators are collaborating with software companies and hardware providers for end-to-end system integration. Competitive intensity is further enhanced by the need for digital transformation at airports, promoting innovations in data analytics, automation, and cybersecurity. With airports focusing on improving passenger experience and operational efficiency, technology innovation-driven differentiation, scalability, and service support continue to be crucial for long-term competitive advantage.
 

Airport Systems Market Companies

The top 4 companies operating in the airport systems industry are:

• SITA
• Thales Group
• Amadeus IT Group
• Honeywell International Inc.
   

SITA is a global pioneer in airport and airline IT solutions, with experience spanning passenger processing, baggage systems, and border management solutions. It has a strong presence in over 200 countries and is highly praised for its biometric Smart Path and airport management solutions that drive operational efficiency and passenger experience. Its cooperative approach with airport authorities makes it a key technology enabler in the aviation ecosystem.
 

Thales Group is the market leader in airport systems with sophisticated air traffic management (ATM), surveillance, and cybersecurity solutions. Taking advantage of its's aerospace and defense expertise, Thales also offers end-to-end systems for improving airspace safety and airport performance. Backed by significant R&D investments, with their focus on innovation, Thales is well placed to address the aviation markets.
 

Airport Systems Industry News

• In January 2025, Smiths Detection has expanded its partnership with Fukuoka International Airport Co., Ltd.  Fukuoka International Airport Co., Ltd. by providing advanced security screening technology for the airport's newly renovated international terminal. The new order comprises the acquisition and installation of seven HI-SCAN 6040 CTiX Model S X-ray scanners and seven iLane A20 automatic tray return systems.
   
• In September 2024, Avinor, the owner of Norway's 43 state airports, has entered into a long-term collaboration with Amadeus to lead a thorough digitalization of its airport network. This move is aimed at transforming the passenger experience and streamlining airport operations through innovative cloud, mobile, and biometric technologies.
   
• In September 2024, BEUMER Group launched SECTRO, an advanced automated airport security screening system that aims to enhance operational efficiency within security checkpoints. SECTRO substitutes linear traditional security screening lines with centralized automated system with a purpose to optimize the flow of passengers, increase security, and lower manpower requirements and organizational pressure.
   

This airport systems market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue (USD Billion) from 2021 to 2034, for the following segments:

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Market, By Type

• Passenger processing systems           
  • Self-check-in kiosks
  • Biometric identification & verification systems
  • Boarding gate systems
  • Others
• Airport Operations Systems   
  • Flight information display systems (FIDS)
  • Resource management systems (RMS)
  • Baggage handling systems (BHS)
  • Passenger flow management systems
  • Others
• Air traffic management (ATM) systems         
  • Radar surveillance systems
  • Communication systems
  • Navigation systems
  • Others
• Security & surveillance systems         
  • CCTV and video surveillance
  • Access control systems
  • Threat detection & screening systems
  • Perimeter security systems
  • Others
• Ground handling & maintenance systems    
  • Ramp operations management
  • Ground support equipment (GSE) tracking
  • Aircraft docking guidance systems
  • Others
• Retail & commercial systems
  • Point-of-Sale (POS) systems
  • Digital signage & advertising platforms
  • Others
• Others

Market, By Application

• Airside
• Landside
• Terminal side

Market, By Installation

• New installations
• Retrofit/upgrade

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Netherlands
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • UAE
  • Saudi Arabia
  • South Africa