Advanced Air Mobility Market Size, Share, Analysis, Trends, Growth, 2032

Advanced Air Mobility Industry Prospective:

The global advanced air mobility market size was evaluated at $9.77 billion in 2023 and is slated to hit $101 billion by the end of 2032 with a CAGR of nearly 21% between 2024 and 2032.

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Advanced Air Mobility Market: Overview

Advanced air mobility is an emerging field focusing on integration of electric & autonomous aircraft for transportation in urban areas. Furthermore, the key parts of advanced air mobility include autonomous flight systems, urban air mobility infrastructure, and electric vertical take-off and landing aircraft.  It offers a slew of benefits such as rapid travelling times, reduction in congestion, accessibility, and lower ecological impact.

Key Insights

• As per the analysis shared by our research analyst, the global advanced air mobility market is projected to expand annually at the annual growth rate of around 21% over the forecast timespan (2024-2032)
• In terms of revenue, the global advanced air mobility market size was evaluated at nearly $9.77 billion in 2023 and is expected to reach $101 billion by 2032.
• The global advanced air mobility market is anticipated to grow rapidly over the forecast timeline owing to inefficient transport systems and traffic congestions witnessed in cities across the globe.
• In terms of vehicle type, the air taxis segment is slated to register the highest CAGR over the forecast period.
• Based on operation mode, the autonomous segment is predicted to contribute majorly towards global market revenue in the ensuing years.
• On the basis of propulsion type, the electric segment is likely to maintain segmental domination in the forthcoming years.
• Based on application, the passenger transportation segment is likely to account majorly towards industry size in the ensuing years.
• Region-wise, the European advanced air mobility industry is projected to register the fastest CAGR during the assessment timespan.

Advanced Air Mobility Market: Growth Factors

Need for efficient transport mode to define the expansion of the global market by 2032

Inefficient transport modes and traffic congestions witnessed in cities across the globe is likely to boost up the growth of the global advanced air mobility market. Additionally, need for minimizing emissions of greenhouse gases and reducing noise pollution will trigger the market surge globally.

Moreover, breakthroughs in autonomous flight systems, battery technologies, and electric propulsion systems are likely to augment the expansion of the market space globally. Governments across the globe are drafting regulations that will aid the installation of advanced air mobility systems. This, in turn, will proliferate the size of the global market. A surge in the investments in the infrastructure including charging stations and vertiports will promote the global market trends.

Advanced Air Mobility Market: Restraints

Rising development costs can restrict the global industry expansion over the forecast period

Strict laws and lack of availability of strong infrastructure facility & rising operating costs can deter the growth of the global advanced air mobility industry. Moreover, surging development prices and an increase in the operating charges can obstruct the expansion of the global industry. Competition from established transportation modes such as helicopters and ground-based transportation systems can hamper the industry growth across the globe.

Advanced Air Mobility Market: Opportunities

Huge demand for green modes of transportation can open new growth opportunities for the global market

Need for effective transport and technological innovations are projected to open new growth avenues for the global advanced air mobility market. Furthermore, humungous need for eco-friendly transport with growing urbanization will propel the market sphere globally.

Advanced Air Mobility Market: Challenges

Varying consumer perceptions & preferences related to mobility modes can deter the global industry surge

Growing safety concerns and changing public perceptions about advanced air mobility systems can challenge the global advanced air mobility industry surge in the years ahead. Furthermore, integration of new advanced air mobility tools with current aviation structure can pose a huge threat to the global industry expansion in the forecasting years.

Advanced Air Mobility Market: Report Scope

Advanced Air Mobility Market: Segmentation

The global advanced air mobility market is divided into vehicle type, operation mode, propulsion type, application, and region.  

In terms of vehicle type, the advanced air mobility market across the globe is segmented into hybrid vehicles, air taxis, and drones segments. Apparently, the air taxis segment, which garnered nearly 48% of the global market proceeds in 2023, is set to record fastest CAGR in the next couple of years owing to necessity of air mobility services in urban regions. Additionally, a rise in the traffic jams on roads has encouraged players in the automotive sector allocate huge funds in advanced air mobility sector.

Based on the operation mode, the global advanced air mobility industry is divided into autonomous and piloted segments. Apparently, the autonomous segment, which led the global industry share in 2023, is set to contribute lucratively towards the global market revenue in the coming years and this can be subject to growing focus on safety, efficacy, and scalability.

On the basis of propulsion type, the global advanced air mobility market is segregated into hydrogen-powered, electric, and hybrid-electric segments. Moreover, the electric segment, which led the segmental surge in 2023, is likely to retain its segmental dominance even in the foreseeable future subject to ability of electric propulsion systems for reducing carbon emissions and noise pollution.

Based on the application, the advanced air mobility industry globally is divided into surveillance & security, passenger transportation, infrastructure inspection, and cargo delivery segments. Furthermore, passenger transportation segment, which dominate the global industry in 2023, is projected to contribute humungously towards the industry size in the forecasting years. The segmental surge can be due to a rise in the jamming in cities and metros along with huge need of proficient transport services.

Advanced Air Mobility Market: Regional Insights

North America is projected to maintain leading status in the global market over the projected timeline

North America, which accounted for about two-fifths of the global advanced air mobility market size in 2023, is set to establish a leading position in the global market during the forecast period. Additionally, the regional market surge in the coming seven years can be owing to strong aerospace sector along with focus of the U.S federal aviation administration on regulating the use of advanced air mobility. Moreover, massive fund allocation from public & private sectors for developing advanced air mobility tools will spur the regional market growth.

European advanced air mobility industry is anticipated to register the highest CAGR in the expected timeline. The geometric expansion of the industry in Europe can be credited to growing focus on sustainability and government support for infrastructural development with a view of regulating air traffic to prop up the industry growth in the region.  Flourishing aerospace sector in the continent will further aid the industry growth in Europe.

Advanced Air Mobility Market: Competitive Space

The global advanced air mobility market profiles key players such as:

• Urban Aeronautics
• Volocopter
• The Boeing Company
• Archer Aviation
• Joby Aviation
• EHang Holdings Limited
• Wisk Aero
• Airbus SE
• Lilium GmbH
• Vertical Aerospace
• Embraer SA
• Kitty Hawk
• Bell Textron Inc.

The global advanced air mobility market is segmented as follows:

By Vehicle Type

• Hybrid Vehicles
• Air Taxis
• Drones

By Operation Mode

• Autonomous
• Piloted

By Propulsion Type

• Hydrogen-Powered
• Electric
• Hybrid-Electric

By Application

• Surveillance & Security
• Passenger Transportation
• Infrastructure Inspection
• Cargo Delivery

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa