IFEC Market Tracker Update (Q1 2025)
We recently released our Q1 2025 IFEC Tracker deliverables, which means it’s time for another deep dive. In this article we’ll take a look at IFEC-related activity in the Middle East, a region renowned for thought leadership, innovation and high standards.
In this part of the world, we find a number of carriers that we at Valour categorise as “The Royals”. Airlines in this segment operate globally and place high priority on sourcing best of breed solutions to execute a world-class service for passengers, with relatively less emphasis on price. When it comes to inflight connectivity, this translates to an expectation for consistent service, globally. Once upon time, this meant satisfaction with low but predictable data rates. However, we now see The Royals demand faster services as the global benchmark improves rapidly.
The following paragraphs provide a few regional-level key trends and findings.
IFEC Adoption Increasing Steadily
At the end of Q1 2025, a total of 1,081 aircraft in the Middle East had an active IFC service onboard. This number has increased steadily over the past four quarters, as shown in Chart 1 below, with a 4% rise since Q2 2024. The Middle East has the second largest penetration rate of IFC at 47%. Emirates has IFC on full fleet and Etihad follows closely with 97%. Qatar Airways and Turkish Airlines are showing momentum in IFC adoption, with installation on 79% and 75% of their fleets, respectively. This emphasises a real commitment to enhancing the services and aligning with other regional leaders.
flyDubai sits at the other end of the spectrum and does not offer IFC onboard; in December 2023 they suspended the connectivity service across the whole fleet having previously offered Anuvu Ku-band technology. flyDubai’s entire fleet is made up of B737 narrow-body aircraft.
Given the broad geographic spread of Turkey which technically places it in a number of continents, it’s worth noting we have included Turkish Airlines in the Middle East.
The Royals Influence Causes Wide-body Segment to be Saturated
There is a clear split between connected wide body and narrow body aircraft in the region. There is almost full saturation of IFC on the wide body aircraft, with 758 out of 884 aircraft connected (86%).
The uptake of IFC on narrow body aircraft in the region is much lower, with only 24% of narrow body aircraft in the Middle East connected with some form of IFC. The number of narrow body aircraft equipped with an active IFC service has increased over the past four quarters, up 8% since Q2 2024. We expect this figure to continue to increase as more regional and low-cost carriers in the region adopt connectivity solutions. Flynas signed a deal with SkyFive in 2024, to provide Air-To-Ground internet on 120 aircraft, 113 of them being A320 narrow-body aircraft.
Chart 1 – IFC Installed Base in the Middle East (Q2 2024 – Q1 2025)
Competitive Environment
Panasonic Avionics currently holds the largest share of the active IFC installed base in the Middle East, with 46% of the connected aircraft in this region offering Panasonic Ku-band connectivity. Turkish Airlines, Emirates and Etihad account for 93% of the aircraft connected with Panasonic Avionics.
Viasat follows closely with a 36% market share, with an almost 50/50 split of Ka-band and L-band services, a composition that is an outcome of its acquisition of Inmarsat. Viasat currently has nine airline customers in the region.
Starlink has recently entered the Middle East with it very publicly activating service on Qatar Airways’ B777-3 aircraft. The airline has committed to full fleet roll out and has quickly installed hardware on 38 aircraft.
Valour Consultancy expects more announcements to follow over the next few months, with Starlink rumoured to be in discussions with more than one Middle Eastern carrier.
Chart 2 – Provider Market Share in the Middle East (Q1 2025)
LEO-Only Set to Win in Middle East Too?
The backlog of aircraft yet to be fitted with IFC in the Middle East stands at 813. Viasat accounts for 37% of this figure, followed by Starlink (31%). Emirates is set to install Viasat Ka-band services on A350, A380 and B777-9 aircraft, however there are also rumours it may opt to make a strategic U-turn in the near future and install Starlink’s Ku-band LEO services. This would significantly shake-up the status quo in terms of the competitive environment. However, there’s no confirmation of this shift at the time of writing. As it stands, Starlink’s IFC backlog is made up of aircraft from Qatar Airways’ fleet. The airline has announced that they will introduce the system across their A350 aircraft from summer 2025.
Summary
Combining backlog with active IFC installations, Panasonic Avionics (511 aircraft) is projected to remain the largest IFC vendor in the Middle East. Based on public announcements at the time of writing, Viasat is a close second (444 aircraft) and Starlink third (290 aircraft).
Our IFEC Tracker is updated every quarter, and subscribers are provided with the installed base of equipped aircraft, as well as details of committed order backlogs. Data is split by key segments such as service provider, airline, geographic region and product type. And thanks to our collaboration with ch-aviation, we are also able to offer this information down to the aircraft tail level.
If you would like more information about the trackers, want to see a sample, or would like to arrange a demonstration of the data, please don’t hesitate to contact a member of the team.