Commercial Aircraft Avionics Systems Market Size

Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

The market for avionics for commercial aircraft is estimated to reach $13,263,903,903 by 2032. The growth rate is expected to be 8.9 percent. The growing demand for avionics for commercial aircraft is driven by the need for improved safety, efficiency, and automation in commercial aviation. The integration of artificial intelligence and machine learning in avionics further enhances the operational capabilities of avionics and drives innovation in the market. The major players in the market, such as Honeywell International Inc., Rockwell Collins (part of Raytheon Co.), and Thales Group, are investing heavily in research and development to introduce new and advanced avionics solutions. Strategic initiatives, such as the introduction of new products and collaborations, are expected to play an important role in shaping the competitive landscape. The avionics market for commercial aircraft is expected to grow steadily in the coming years as aircraft manufacturers and operators focus on the modernization of avionics and compliance with regulatory standards.

Regional Market Size

Regional Deep Dive

The Avionics System Market is expected to experience a steady growth across the globe, driven by the advancements in technology, growing air travel demand, and regulatory changes aimed at improving safety and efficiency. The market is segmented based on the type of aircraft, the number of passengers, and the presence of key players. This market is dominated by the United States and the United Kingdom. As the major airlines modernize their fleets and integrate more advanced avionics systems, the market is expected to grow with the automation, communication, and data analytics playing a key role in shaping the future of the industry.

Europe

• Europe is putting its emphasis on sustainable aviation. The Green Deal, a European initiative, promotes the development of green avionics, facilitating fuel efficiency and reduced emissions, thus influencing manufacturers to move in this direction.
• Airbus and Thales are making the first steps towards integrating artificial intelligence into the avionics systems of aircraft, thereby improving the prediction of failures and the operational decisions which will greatly improve the performance and the reliability of the aircraft.

Asia Pacific

• AVIATION IS GROWING FAST IN THE ASIA-PACIFIC AREA AND AS A RESULT AVIATION SYSTEMS ARE BEING IMPROVED TO MEET THE DEMAND, ESPECIALLY IN CHINA AND INDIA, WHERE GOVERNMENT INITIATIVES ARE AIDING IN THE EXPANSION AND IMPROVEMENT OF NATIONAL AIRLINES AND IN THE IMPROVEMENT OF LO
• Companies such as Mitsubishi Electric and BAE Systems are working with local airlines to develop avionics tailored to local needs, which will help local carriers to compete in the global market.

Latin America

• Latin America is witnessing a gradual recovery in air travel post-pandemic, prompting airlines to invest in modern avionics systems to improve safety and efficiency, with countries like Brazil and Mexico leading the charge.
• Local manufacturers are emerging, with companies like Embraer focusing on developing avionics solutions tailored to regional market needs, which is expected to foster innovation and competitiveness in the sector.

North America

• The North American market is experiencing a strong demand for new avionics, especially in view of the new regulations that are being imposed by the FAA and the consequent obligation for commercial aircraft to have the most modern navigation and communication systems.
• Honeywell Aerospace and Rockwell Collins are investing heavily in R&D in order to develop new avionics solutions, such as enhanced flight-management systems and cockpit displays, which will improve operational efficiency and safety.

Middle East And Africa

• AVIATION IS THE NEW WORLD OF THINGS, and the Middle East is becoming the center of development of it. Great progress is being made in the building of airports and in the modernization of the air fleets of the Arabian Gulf.
• A trend toward international standards is expected to increase the use of avionics technology and stimulate market growth as carriers seek to meet international standards of safety and efficiency.

Did You Know?

“CAN YOU BELIEVE THAT a digitalization of the world market for aircraft avionics is expected? By 2025, it is estimated that over 70% of new aircraft deliveries will be equipped with advanced digital avionics.” — Aviation Industry Reports 2023

Segmental Market Size

The Avionics Division plays a vital role in the safety, efficiency, and operational capability of aircraft. Its business is growing because of the increasing demand for navigation, communication, and monitoring systems. There are several reasons for this growth: the rising need for safety, the regulatory requirements for modern avionics, and the technological advancements in automation and data processing. The use of advanced avionics is currently at a mature stage. Leading companies such as Honeywell and Rockwell Collins are implementing this technology on a wide variety of aircraft. The North American and European markets, with their regulatory frameworks that support the integration of advanced avionics, are in the forefront. The most important products are flight management systems, cockpit displays, and air-traffic management solutions, which are essential to improving operational efficiency. The trend toward sustainability and government regulations for reducing emissions will further drive growth in this area. And the use of artificial intelligence and machine learning will lead to the development of new products that support preventive maintenance and enhanced decision-making.

Future Outlook

From 2026 to 2032, the Avionics market for commercial aircraft is set to grow at a compound annual growth rate (CAGR) of 8.9%. This growth is based on the increasing demand for advanced avionics systems which improve aircraft safety, efficiency, and operational capability. The adoption of next-generation avionics systems will accelerate with the modernization of aircraft and the compliance with new regulatory standards. The penetration rate of new and retrofit aircraft will increase. The main technological drivers of the avionics market are the integration of artificial intelligence, machine learning, and big data into avionics systems. This integration is expected to revolutionize the operation and maintenance of aircraft. These innovations will not only improve situational awareness and decision making but will also make it possible to predict failures and thus reduce the cost of operations. Also, the need for sustainable aviation will increase the demand for avionics systems that support fuel efficiency and reduced emissions in line with the world's sustainable development goals. Thus, the market will move towards more complex and interconnected avionics solutions, which will meet the requirements of modern aviation and will ensure the long-term growth of the industry.