Valour Consultancy’s brand new report, “The Future of In-Flight Connectivity – 2023” is the fifth edition of a comprehensive, well-respected industry report on a fast evolving market. Towards the end of 2022, the in-flight connectivity (IFC) market hit an historic milestone with the installed base of connected aircraft breaching 10,000 for the first time, cementing the technology’s importance to the onboard experience. As the number of equipped aircraft ramps up, so too does the expectation of passengers and airlines in being able to access a consistent and quality connectivity product.
The challenge for the industry is to keep pace with that demand. Fortunately, the amount of satellite capacity available for the provision of IFC continues to ramp up, now augmented by constellations positioned in Medium Earth Orbit (MEO) and Low Earth Orbit (LEO); a trend which has also led to the arrival of new players in the competitive environment. This is one of the most disruptive periods in the relatively short history of IFC, which underscores the need to provide companies interested in the IFC market with an in-depth and timely review of the industry’s present status and likely future development as new LEO constellations begin to enter commercial service.
According to the report’s author, David Whelan, how vendors position themselves over the next couple of years will be vital to how the market grows in the long term. “You have a really interesting contrast between Starlink and its disruptive portal-less, direct to airline, pure connectivity approach, and fellow LEO satellite operator OneWeb, which has taken an indirect approach, choosing to work with longstanding service providers, and partner with Geostationary Orbit (GEO) satellite operators. The aviation industry is typically cautious, so OneWeb’s approach seems a sensible way to enter the market, but Starlink comes with a huge amount of hype and has had some impressive early wins.” On the GEO side, Viasat’s acquisition of Inmarsat has put the company in a very strong position, particularly in the near future, given the firm’s share of the global backlog for IFC orders sits at approximately 70% (at the time of writing).
Alongside the huge amount of new capacity which will be made available to airlines over the coming years, Valour Consultancy also sees significant gains for airlines in how IFC is deployed. The report explores the myriad ways airlines can create a dynamic IFC service backed up by a clear business model which can draw on brand partnerships, mobile network operators (MNO) sponsorships, operational cost savings, as well as linking IFC to a frequent flyer programme. These strategies will be key to helping the IFC market grow beyond its current airline customer base and open up the market to different types of airlines, such as LCCs.
Valour Consultancy is a multi-award-winning provider of high-quality market intelligence and consultancy services. Its latest study, “The Future of In-Flight Connectivity – 2023” is the fifth edition of the industry’s leading, dedicated report on IFC in commercial aviation. It was developed with input from more than 40 companies across the value chain, as well as airlines. The study includes 170 pages of in-depth commentary on market issues, technology trends and the competitive environment, while market estimates and forecasts are provided out to 2032, contained in over 110 tables and charts.
For a full table of contents and report scope, visit: https://valourconsultancy.com/commercial-aviation/ifc/
The report can be combined with Valour Consultancy’s sister report, “The Market for IFEC and CMS Systems on VVIP and Business Aircraft – 2022” and our quarterly IFC Tracker service.
