Helideck Monitoring System Market Size, Share & Industry Analysis, By Vertical (Marine, Oil & Gas), System (Hardware (Wind, GPS Sensors, Motion, Meteorology), Software), Application (Commercial, Defense), End-Use (OEMs, Aftermarket) and Regional Forecast, 2021-2028

The global helideck monitoring system market size was USD 200.3 million in 2020 and is projected to reach USD 377.70 million by 2032, exhibiting a CAGR of 5.00% during the forecast period. North America dominated the helideck monitoring systems market with a market share of 31.6% in 2020. Moreover, helideck monitoring systems market size in the U.S. is projected to grow significantly, reaching an estimated value of USD 73.5 million by 2032, driven by escalating use of ships and vessels to boost demand for helideck monitoring systems.

The growing demand for helideck monitoring systems owing to exceptional weather information and accurate data analysis is projected to fuel the market in the forthcoming years. Helideck monitoring is a system that offers precise information about weather and helideck motion during helicopter landing and take-offs. The system helps in improving passenger and flight safety by monitoring the extreme weather condition of the helicopter ports. The system can interface with various weather sensors such as wind direction, wind speed, QFE/QNH Barometric, humidity, temperature sensors, cloud height, and visibility motion. It has numerous applications in the marine and oil and gas industries. These factors are likely to propel the demand for such advanced systems around the world.

Oil and Gas Industry is Facing Unprecedented Challenges due to the COVID-19 Pandemic

The COVID-19 virus outbreak has majorly impacted the helicopter industry, resulting in decline production, delayed product deliveries, contracts on hold, and others. Helicopter OEMs are expected to deliver 25% fewer helicopters due to disrupted supply chains, production halt, and financial crisis. Offshore-equipped and configured support helicopters suffered a lot due to GDP contraction, reduced contracts, and investments. According to IBA Group Ltd., the future projections reveal a cutdown of 20-25% in the oil and gas industry. In the second quarter of 2020, Energy Information Administration (EIA) estimates that global liquid fuel production averaged 91.8 million b/d, which was in the second quarter of 2020, down 8.6 million b/d year over year. All these downturns are likely to have a negative impact on the market in the forthcoming years.

LATEST TRENDS

Introduction of innovative eVTOL Technology to Propel the Market Growth Globally

In recent years, the helicopter industry is witnessing strong growth due to increasing demand for numerous applications such as oil & gas and marine. The rise in the research and development capabilities by original equipment manufacturers (OEMs) in the eVTOL concept is likely to showcase significant growth in the near future. eVTOL provides features such as vertical take-off and landing (VTOL) capability, automation of controls, and electrification of lift and thrusts. It provides a low noise level, high safety, reduced weight, and low operating costs.

With the growing use of electric propulsion, the latest technology emerged as user-friendly, faster, reliable, and highly efficient for overall operation. Development of compatible software for helideck monitoring systems that provide weather information such as wind speed and direction, temperature, and cloud data. Recently, Observator Group launched the OIC-2020 helideck monitoring system HMS 2.0 that has reduced cost, compact design, and less cabling during installation.

DRIVING FACTORS

Rising Offshore Oil and Gas Exploration Activities to Drive the Market

Growing investments in oil and gas exploration and production in countries such as the U.S., Canada, Saudi Arabia, China are creating a high demand for offshore helicopters. As per the data shown by Rystad Energy, global offshore investments were nearly USD 155 billion. Increasing offshore oil and gas exploration projects and rising investments from countries in the Middle East drive the growth of the market. According to World Oil’s survey, global offshore drilling will rise by 4.7% with an increase in every region. In 2019, the U.S. became the largest crude oil producer by surpassing Russia.

Escalating use of Ships and Vessels to Boost Demand for Helideck Monitoring Systems

Nowadays, offshore vessels and rigs are completely dependent on helicopters for crew and equipment transportation to and from work. An increasing number of ships, growing investments in naval projects, and rising global trade through sea are factors boosting the helideck monitoring system market growth. The helideck monitoring system provides real-time information for helicopter pilots that helped in reducing the risks of potential hazards in offshore operations. Furthermore, stringent safety norms to avoid accidents may lead to improved demand for monitoring systems.  

RESTRAINING FACTORS

Concerns about Cyber Attacks to Hamper Market Growth

The helideck monitoring system monitors air temperature and barometric pressure, wind speed and direction, vertical velocity, and helideck attitude. The helideck report includes motion data, meteorological data, vessel information, and logistic data useful for helicopter operations. Sensors are interfaced with meteorological software to analyze data from hardware systems.

In the last few years, the four biggest maritime shipping companies APM-Maersk, Mediterranean Shipping Company, COSCO, and CMA CGM suffered security threats. The malware lands on the internal IT network of the ship and target shore-based systems. Thus, the digitalization of ships and vessels can help receive information through software leading to cyber-attacks and subsequently hindering safety and security.

SEGMENTATION

By Vertical Analysis

Oil And Gas Segment Dominated the Market in Offshore Drilling 

Based on vertical, the market is segmented into oil and gas and marine. The oil and gas segment held a dominant share of the market in 2020. Dominance is due to increasing investments in offshore oil and gas exploration projects. The marine segment is estimated to experience significant growth during the forecast period. The growth is attributed to the rising trade via sea routes and increasing maritime vessel traffic along with the increasing number of ships and vessels across the globe.

By System Analysis

Advancement in the IoT Based Hardware is Driving the Growth of Hardware Segment

Based on the system, the market is classified as hardware and software. The hardware segment is further divided into wind, meteorology, global positioning system (GPS) sensors, and motion sensors. The hardware segment held the largest share of the market in 2020. Dominance is due to the increasing demand for a helideck monitoring system for real-time weather information supported by IoT-based hardware and systems. Regular replacement of hardware components will drive the growth of the segment. The software segment is projected to show significant growth during the forecast period due to the increasing demand for meteorological software for real-time data. The software generates reports such as Meteorological Aerodrome Reports (METAR) and Terminal Aerodrome Forecasts (TAFs) for helicopter pilots.

By Application Analysis

Growing Maritime Vessel Traffic is Propelling the Growth of Commercial Segment

Based on the application, the market is segmented into commercial and defense. The commercial segment is predicted to grow at the highest CAGR during 2021-2028. The growth is attributed due to the increasing ships and vessel traffic and growing sea trade. The majority of world trade is carried out by the sea. The defense segment will showcase significant growth owing to increasing investment in naval forces and rising procurement of naval helicopters from emerging economies such as China and India.

By End-Use Analysis

Aftermarket Segment is Anticipated to Show Significant Growth during the Forecasts Period

Based on end-use, the market is classified as OEMs and Aftermarket. The aftermarket segment holds the highest market share in 2020 and continues its domination during the forecast period. The growth is due to the regular replacement of hardware components such as wind sensors, temperature sensors, GPS sensors, and others. The shorter lifespan of hardware systems requires regular maintenance and replacement that drive the growth of the market. The original equipment manufacturer (OEM) segment is estimated to show significant growth owing to increasing ship deliveries and growing maritime traffic.

REGIONAL INSIGHTS

The market size in North America stood at USD 63.3 million in 2020. The dominance of this region is attributable to the expansion of the oil and gas industry in the U.S. and Canada and the presence of the highest number of naval ships across the region. Increasing expenditure on the defense sector for the procurement of naval ships will drive the growth of the market.

Europe registers a remarkable growth in the global helideck monitoring system market due to the presence of a large number of helicopter fleets in countries such as the U.K, France, Russia, and Germany. Additionally, the presence of key players such as Fugro, Vaisala, Observator Group, RH Marine, and others drive the market across the region.

Asia Pacific is expected to exhibit healthy growth during the forecast period owing to the expanding oil and gas industry in emerging economies such as China and India. In addition to this, Australia has major helicopter fleets with a large number of oil and gas exploration projects, thus driving the market across the region. The rest of the world registers significant growth during the forecast period. This growth is attributed to growing sea trade and oil exploration projects in the Middle East & Africa.

KEY INDUSTRY PLAYERS

Development of Next Generation Helideck Monitoring System (HMS) for Real-Time Information is Propelling the Market Growth

Major companies are implementing the design and development of advanced HMS with compact design, low cost, and less cabling during installations. A diversified product portfolio of hardware and software, along with innovative research technology adopted by key players, is the major factor driving the market. In the second half of 2020, Observator Group is planning to launch OIC 2021 HMS 3.0, the latest version of the helideck monitoring system. The new system will include smart software and is expected to be compliant with the latest standards of the Civil Aviation Authority (CAA) and the Helideck Certification Agency (HCA). Navis Technology Ltd. introduced Elements HMS compliant with the latest CAP 437 and HCA requirements. It provides features such as modern, user-friendly, reliable, full system supply, and integrated web portals. 

LIST OF KEY COMPANIES PROFILED:

• ABB (Switzerland)


• ASB Systems PVT LTD. (India)


• Automasjon & Data AS (Norway)


• Fugro (The Netherlands)


• KONGSBERG (Norway)


• Miros Group (Norway)


• Observator Group (The Netherlands)


• RH Marine (The Netherlands)


• ShoreConnection International AS (Norway)


• SMC (The U.S.)


• Vaisala (Finland)

KEY INDUSTRY DEVELOPMENTS:

• July 2020 –Semco Maritime signed a 1-year service contract with Orsted. Under the contract, Semco Maritime will look after maintenance work on the substations’ LV safety, utilities and fire, and structural systems. Additionally, the contract includes upgrading the helideck system on the Borkum Riffgrund 1 substation.


• July 2017–Observator Group signed a contract with Germany to supply the helideck monitoring system or the Borkum Riffgrund 2 offshore substation in the German North Sea.

REPORT COVERAGE

The market research report provides an in-depth technical analysis of the market and majorly focuses on key aspects such as leading market players, COVID-19 effect on the market, leading technological trends, hardware systems, and research ideology of the product. Besides this, the report offers insights into the market trends and highlights key industry developments & trends. In addition to the aforesaid factors, the report provides multiple factors that will contribute towards the growth of the market during the forecast period.

Report Scope & Segmentation