Reports say airport technologies market to cross 13.99 billion USD mark in 2025

Dubai: When the US-based IBM Center for the Business of Government wrote in a study in March 2000 that “new strategies, new ideas, and new technologies were necessary for airports” for broadening economy, there were few takers even in the world’s biggest countries which a year earlier had handled over 8.3 million flights and 614 million passengers. 

In 2000, the number of passengers carried by global airlines stood at 2.3 billion. 

Twenty-five years later, a survey by Amadeus, the world’s leading provider of travel technology, revealed 56 percent of airport leaders are making technology investments for ‘enhancing’ customer experience and 52 percent for ‘improving’ operational efficiency.

The increase in technology investment is more than any other area by the airports. On average, airports intend to increase technology investment by 17 percent, and 94 percent of airports plan ‘at least moderate’ investment in their organization, with 44 percent planning to invest ‘aggressively’ over the coming 12 months, noted Amadeus which, in collaboration with Opinium Research, conducted the Travel Technology Investment Trends 2024. 

Airports are investing more in technology to improve operations, customer experience, cybersecurity, and sustainability. The airport technologies market size is projected to reach US$13.99 billion mark in 2025. The airport digitization market alone is projected to grow to US$27.44 billion by 2030. 

The report revealed that nearly all airports surveyed either offer or plan to offer biometrics at key touch points such as check-in, bag drop, security, lounge access, and boarding.

According to the survey, 92 percent of respondents see value in providing flexible passenger services from locations beyond the typical fixed check-in and bag drop counter. Airports are enthusiastic about the potential of serving passengers at new locations around the terminal, with 52 percent expressing interest. 

Airports see significant potential in offering flexible baggage services from a variety of locations, enhancing the overall passenger experience. About 52 percent of airports reported more disruption than before the pandemic, and 76 percent of airports confirmed that sustainability objectives are important drivers of technology investment. More than three-quarters of airports are either already investing in or planning to invest in technologies aimed at improving sustainability.  

Key areas of investment include moving passenger and operational systems to energy-efficient cloud computing, optimizing aircraft departure sequences to reduce fuel burn, and implementing data analytics to power down unused airport resources. 

It noted, “The airport sector is undergoing digital transformation as inflexible legacy technology is gradually replaced by cloud-native systems that connect more easily from anywhere.

A substantial slice of the fast pace and progress of airport technology and innovation – and a look into the future – will be showcased and discussed at the 24th edition of the Airport Show, the world’s largest B2B platform for the airport industry, to be held at the Dubai World Trade Centre from May 6 to 8. 

His Highness Sheikh Ahmed bin Saeed Al Maktoum, President of Dubai Civil Aviation Authority, Chairman of Dubai Airports, Chairman and Chief Executive of Emirates Airline and Group, and Patron of Airport Show, remarked, “Airports are vital connectors and economic engines for communities and countries. By 2040, airports in the Middle East will handle 1.1 billion passengers. Airports across the region are also modernizing and expanding to meet growing demand.” 

May Ismail, Event Manager at RX, a global company that organizes about 400 events across 42 industry sectors in 22 countries including Airport Show, said, “Digital transformation is happening fast across the airport industry. Airports are focusing on advanced technologies.  The buzz world today is convenience, efficiency, and communication. Enhancing the airport experience boils down to three critical factors – easy navigation, cleanliness, and passenger service.”