Remote Towers Market Size, Share and COVID-19 Impact Analysis, By Operation Type (Single Multiple and Contingency), By System Type (Airport Equipment, Remote Towers Modules, Network Solutions), By Application (Communication, Information & Control, Surveillance, Visualization), and Regional Forecast,2024-2032

The global remote towers market size was valued at USD 40 million in 2019 and is projected to reach USD 727.60 million by 2032, exhibiting a CAGR of 25.00% during the forecast period 2020-2032. North America dominated the remote towers market with a market share of 41.75% in 2019.

The remote tower is a new concept around the world, especially in the field of air traffic control. It is specialized to use an array of sensors on the airfield's surrounding airspace. Nowadays, it is possible is used to provide service to multiple aircraft, such as communication, navigation, permission access, and airport status by air traffic control. Remotely operated are situated away from the airport site, which consists of sophisticated video cameras and communication gear to secure communication.

Remote towers are possible to locate controller systems responsible for tracking, managing, and monitoring the number of airports in the single remote virtual tower. It is a concept to decrease a huge amount of up-front cost and lengthy construction schedule for a tall physical structure or building cost. The key benefits of being remotely operated are reducing annual operating costs and maintenance costs, especially in small airports in various countries.

Remote tower centres are well equipped with high-resolution cameras, sensors, hardware, and wide panoramic screens. This advanced equipment provides a 360-degree view of the airport area, which the highly skilled staff members control to deliver air traffic services use systems to manage air traffic flow. The key services also include tracking all aircraft movement, arrival, departure, and movements on airports. Therefore, the OEMs & solutions integrators in this market are focused on developing innovative products and adopting new strategies to enhance the capabilities of small and medium airports. Therefore, the demand for remote towers is projected to boost during the forecast period.

REMOTE TOWERS MARKET TRENDS

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Rise in Advancement & Standardization of Remote Control Tower Technology to Boost Market Growth

Modern and advanced remote virtual towers offer numerous advantages over conventional air traffic control tower systems. Technological advancements in remote and virtual towers provide additional support tools to controllers to offer proper safety. Several OEMs are focusing on the development of remote tower technology that can be used by every small, medium, and large airport across the world in the forthcoming years. The innovation in the contingency services through the vision enhancement system is likely to be used in the coming years. Major OEMs are focusing on the development of sensors with the help of object detection capability to enhance the ability of remote and virtual tower systems, and several airports are currently using it.

One of the prominent companies, Frequentis, is leading from the front on the remote tower development and implementing technology across the globe. The company is likely to set up operations for mission enhancement and a contingency system at Ezeiza Airport, Argentina. Future projects are expected in New Zealand and Brazil by establishing advanced remote virtual towers for both the civil and military sectors. These factors are to fuel the market growth during the forecast period.

DRIVING FACTORS

increasing investment in Airport Infrastructure Development to Augment Growth

The aviation industry has witnessed strong growth over the past few years in various regions. This rapid growth is increasing the number of air passengers owing to affordable flight rates in various countries by airline companies. The growing demand for air travel and freight services is projected to increase the demand for remote towers. According to the report of the International Air Transport Association (IATA), in 2018, global airlines carried more than 4.3 billion passengers annually, and it is projected to reach around 7.2 billion passengers by 2035. Also, around 58 million tonnes of freight were carried or transported through airlines around the globe. The rising demand for the expansion and development of airport infrastructure is attracting investment from companies across the globe. According to the International Air Transport Association (IATA), the global airport infrastructure investment of around USD 1.5 trillion is expected to be spent on construction, modernization, and development by 2030. These factors are likely to offer several opportunities for market growth during the forecast period.

Increase in Modernization and adoption of the remote and virtual tower to boost industry growth

Technological advancement in the air traffic control (ATC) system is expanding the capabilities of the aviation industry by exploring new avenues and numerous opportunities for major players across the globe. In April 2019, Frequentis Company entered into a partnership with the Deutsche Flugsicherung (DFS), a prominent air-navigation service provider in Germany. This collaboration is aimed at developing the first tower at Saarbrucken Airport. This facility is 450 km away at Leipzig and is used to handle air traffic movement, watched through a 360-degree camera system installed at the airport area. In addition to this, the ongoing development of these towers is under construction in Norway to control around five small airports. The project is expected to be completed by the year 2020 and aims to control more than 20 airports in the forthcoming years. Moreover, Ireland completed the first operational trial for controlling two airports, Cork and Shannon, from the remote tower centre at Dublin Airport. These factors are projected to fuel the growth of the remote and virtual tower market during the forecast period.

RESTRAINING FACTORS

Increasing Risk of Cyber Security Breach to Hinder Market Growth

Remote virtual tower technology is one of the most effective cost-saving investments in several countries across the globe. This technology is projected to provide a life-saving opportunity for small airports across the globe. The major concerns for the operation include the amount of bandwidth required for video and audio data, which is higher than regular Air Traffic Management (ATM) applications, i.e., radar, VHF, and others. The network is required to feed a large amount of video feed by ensuring the high safety of critical air traffic in airspace. The aviation industry has set up the safety and security of passengers as the highest priority for every company operating in the industry across the globe. Implementation of this technology compromises safety parameters owing to system failure and delay in an information feed, which can turn into fatal damages that may result in the loss of lives. These factors may hamper the future growth of the market during the forecast period.

COVID-19 Effect: New Business Development Opportunities to Impede

The global crisis is going to lead to a heavy loss of revenue in the coming years. This year, the aviation industry is experiencing a drop in air traffic that will have a significant impact on the global economy. The long-term travel restrictions around the world are the subject of limitations to reducing the spread of the novel coronavirus through air travel. The industry will continue to generate losses of several billion in the coming years owing to the global shutdown. Therefore, new investment opportunities and business development activities are likely to suffer negatively in the near future. These factors are projected to be the key restraining factors for the growth of the market.

SEGMENTATION

By Operation Analysis

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High Demand for Contingency Operation for Air Traffic Control

The remote tower market by operation type is classified into single, multiple, and contingency. The contingency segment is projected to be the fastest-growing in the remote towers market during the forecast period. Contingency operation is a systematic development of being a major part of the future requirement to control air traffic for military and civil purposes. It majorly depends on the growth of regional air traffic movement by the airline companies in the country. Europe has the presence of a contingency type of operation to control air traffic movement by using remote and virtual tower centres miles away from the main airport. It is estimated to grow at the fastest CAGR during the forecast period. Increasing demand for cost-effective methods in the air traffic management system is the major factor behind the growth of this segment.

By System Analysis

Increasing Installation of Remote Tower Modules Network to Boost the Market

By system type, the market is segmented by airport equipment, remote tower modules, and network solutions.  As of 2019, these module's network segments were projected to be the largest segment of the market owing to the increasing demand for remote control towers and virtual tower systems to control air traffic in various countries. The key operations such as route assistance, navigation, permission access, waiting time, and emergency handling are combined efforts in sophisticated communication devices, surveillance systems, flight data handling, and control systems. Several countries are facing key challenges in the handling of a large number of flight frequencies in various countries. Numerous small and medium airports need to control traffic pressure in the airspace. At the same time, air traffic control (ATC) needs to manage limited space in airports by maintaining the operation of commercial aircraft and private aircraft. An increase in air passenger traffic in several tourist spots in European countries is likely to fuel demand for more advanced air traffic control systems and services across the world.

By Application Analysis

Increasing Demand for Information & Control Applications to Drive Market Growth

By application, the market is segmented into communication, information & control, flight data handling, surveillance, and visualization. The flight data monitoring segment is projected to grow at a rapid pace owing to the increasing demand for real-time tracking systems for safe operation at airports, which is projected to grow during the forecast period. The remote and virtual tower system is reliable on the real-time aircraft position tracking system to provide an exact position for safe landing and take-off operations in several airports. These systems control the air traffic on several thousand flights regularly. Developing countries with limited resources are likely to fuel demand for distant towers in the coming years due to increased cost-saving benefits in the long term.

REGIONAL INSIGHTS

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The findings based on our research methodology indicate Europe was estimated to hold the highest remote towers market share in 2019 owing to the presence of multiple remote tower system manufacturers in this region, such as Saab Sweden, Thales Group France, and Frequentis Group (Austria), among others. Moreover, North America was estimated to hold a second large market share in 2019 due to major companies having the presence of a large number of remote virtual tower system manufacturers that facilitate growth during the forecast period. As per our market research study, Asia Pacific is expected to witness strong growth in the market during the forecast period owing to the significant rise in small and medium in developing countries such as India and China. The region is expected to witness long-term growth in the advanced market. Furthermore, the market in the Middle East is expected to increase at a significant CAGR, owing to the significant number of air passengers travelling every year in these regions. Also, the increasing investment in the airport construction sector in the region is expected to drive the market in the Middle East. Moreover, the market in the rest of the world is expected to witness moderate growth due to the increase in global air passenger traffic and the need for an air traffic control system in the coming years.

KEY INDUSTRY PLAYERS

Companies are Adopting for Acquisition & Collaborations Strategies to Strengthen Market Position

The competition landscape of the remote tower market depicts the domination of a few players, such as Thales Group, Saab, and Frquentis Group, among others. A diversified product portfolio of remote and virtual tower systems, along with increased investment in R&D and strategic acquisition, are prominent factors responsible for the dominance of these companies. These companies are adopting several growth strategies, such as mergers and acquisitions (M&A), new product launches, contracts with airlines, and building long-term relationships with OEMs.

LIST OF KEY COMPANIES PROFILED IN THE REMOTE TOWERS MARKET:

• Frequentis Group


• Saab Group


• Searidge Technologies


• Indra Systems


• Avinor


• Thales Group


• Harris Corporation


• Indra Navia AS


• Leonard Martin Corporation


• Raytheon Corporation

KEY INDUSTRY DEVELOPMENTS:

• December 2019–Avinor, a government-owned company handling airports in Norway, has started the testing project for remote control technology.  The goal of a short runway airport network is to be equipped with communication technology and a camera network for remote-controlled operation. The first landing was witnessed on the island of Rost, and air traffic control was located 100 to 60 miles away.


• April 2019 –Frequentis entered in collaboration with Deutsche Flugsicherung DFS, a German air navigation provider. This partnership was aimed at operating the country’s first remote tower for handling Saarbrucken Airport from a remote control centre away around 450 Km.

REPORT COVERAGE

The report offers qualitative and quantitative insights into the remote and virtual tower systems and a detailed analysis of market size & growth rate for the segments in the market.

An Infographic Representation of Remote Towers Market

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Along with this, the report provides an elaborative analysis of market dynamics, emerging trends, and competitive landscape. Key insights offered in the report are the adoption of advanced technology, recent industry developments such as partnerships, mergers & acquisitions, consolidated SWOT analysis of key players, Porter’s five forces analysis, business strategies of leading market players, macro and micro-economic indicators, and key industry trends.

Report Scope & Segmentation