Advanced Air Mobility Market Size, Share, By Mode of Operation (Piloted, Autonomous), By Propulsion Type (Gasoline, Electric, Hybrid), By Mobility Type (Urban, Regional), By End- Use (Cargo, Passenger), and By Region (North America, Europe, Asia Pacific, Middle East and Africa, and South America) - Trends, Analysis and Forecast till 2034

Advanced Air Mobility Market Size was valued at US$ 11.8 billion in 2024 and is expected to grow at a CAGR of 23.3% to reach US$ 79.7 billion by 2034.

Advanced Air Mobility includes a system of air transportation for transporting people and cargo between different sites using different kinds of aircraft, such as autonomous, vertical take-off and landing, or remotely piloted aircraft. The aim of AAM is to Integrate Unmanned Aerial Systems (UAS) and environmentally friendly aircraft, such as electric vertical takeoff and landing (eVTOL) vehicles, into international airspace. This means building physical infrastructure like vertiports and developing digital infrastructure to support highly automated operations like UAS Traffic Management (UTM).

Due to its ability to help businesses cut carbon emissions and save fuel, innovations and improvements in electrical propulsion systems are expected to play a significant role in the market's growth. A similar solution to the problem of landing and taking off in remote locations is the ability of contemporary aircraft to do vertical takeoffs. These factors are fueling AAM Market expansion. Furthermore, businesses are anticipated to be drawn to investing in advanced air mobility (AAM) aircraft due to the growing trend of expedited transportation and cargo delivery to clients.

Additionally, the AAM industry's incorporation of contemporary equipment, such as Internet of Things devices, and technical advancements are anticipated to fuel the market's expansion. To enable effective communication and operation across aircraft systems, it is expected that businesses in the AAM sector will integrate IoT hardware and software with low-latency 5G networks. In the same way, it is anticipated that the continuous growth of air taxis will be facilitated by technical push. Therefore, the need for aerial passenger transport solutions is anticipated to increase as the Advanced Air Mobility (AAM) industry's technological breakthroughs continue. However, the high development costs associated with such technologies may hamper the target market growth over the forecast period.

Key Drivers of Target Market:

An increase in ride-sharing and air taxi services:

• The development of ride-sharing and on-demand air taxis is made possible by AAM, revolutionizing urban and interurban transportation. The emergence of reasonably priced and easily accessible air mobility services has the potential to completely transform urban transport by offering users expedient and time-efficient travel choices.

Rising Technological Developments:

• The autonomous flight capabilities, battery technology, and electric propulsion system developments that are still underway are driving the expansion of the AAM market. Due to the ability to create economical, safe, and effective aerial mobility solutions, technical advancements have raised interest in and investment in the industry.

Restrains:

Substantial Developmental Expenses:

• Producing sophisticated air transportation technology can involve hefty R&D and manufacturing costs. As the market develops and competition heats up, companies may encounter difficulties obtaining enough finance and managing the financial risks associated with bringing AAM products to market.

Opportunities:

Expanding Environmental Problems:

• Energy-intensive transportation is the industry with the second-highest pollution level. This industry's significant emissions of greenhouse gases are harmful to the environment. Advanced aerial mobility, which uses autonomous uncrewed landing and takeoff aircraft, may offer a practical solution to such problems. Unmanned aerial system adoption by cities as the future mode of transportation will probably create enticing growth opportunities for this sector.

The market is segmented based on Mode of Operation, Propulsion Type, Mobility Type, End- Use, and Region.

Mode of Operation Insight:

• Piloted: Advanced Air Mobility (AAM) vehicles are controlled by human pilots who manage the navigation and operational aspects of the aircraft. For piloted AAM aircraft to operate safely and effectively, trained pilots must be on board. Passengers can feel more comfortable and confident riding in piloted AAM vehicles, although autonomous operations are becoming increasingly common.
• Autonomous: Due to the increasing trend of autonomous AAM operations, the utterly autonomous segment is expected to increase quickly. Furthermore, by utilizing onboard sensors, algorithms, and artificial intelligence, these AAM systems can execute tasks autonomously, from takeoff to landing, without the need for human participation.

 Propulsion Type Insights

• Gasoline: AAM powered by gasoline is a restricted market because of noise and pollution issues; it is only utilized in legacy air taxi operations or in some situations where electric power may not be practical.
• Electric: Electric motors are the only source of propulsion for electric aircraft. By providing flights with no emissions, electric aircraft promote a more environmentally friendly aviation industry. Startups and well-established aviation companies have made large investments in electric aircraft development.
• Hybrid: The hybrid propulsion type category has the highest predicted CAGR. The segment's growth is due to the AAM solutions' use of many power sources to generate momentum. This section usually pairs an electric motor with another power source, like a fuel cell or combustion engine, for a more affordable power and flying option.

Mobility Type Insights

• Urban: Urban Air Mobility (UAM) refers to moving people or goods at lower altitudes inside urban and suburban areas using tiny, fully automated aircraft. This technology was initially developed to alleviate traffic jams. Generally speaking, it includes both current and developing technology, including UAVs, VTOL, eVTOL, and conventional helicopters.
• Regional: RAM reaches out to small towns, villages, and rural areas, while UAM concentrates on urban centers. RAM fills the gap between rural areas and major cities by providing effective mobility options where other options are insufficient. With the introduction of electric vertical takeoff and landing (eVTOL) planes, RAM hopes to transform regional connectivity, open up new economic opportunities, and improve accessibility.

End-Use Insights

• Cargo: The segment with the highest revenue share was cargo end-use. The segment's dominance is ascribed to the prompt and effective delivery of items to consumers' residences. E-commerce companies are increasingly offering one-day deliveries, which is boosting the adoption of AAM systems for freight transit.
• Passenger: Individual and commuter air travel on electric and autonomous aircraft is considered passenger end-use in the AAM sector. Transportation alternatives that are sustainable and can be accessed quickly are what propel the passenger segment.

Regional Insights

• North America: By far the biggest revenue share went to North America. Drone technology, one of the AAM solutions being used by the aviation and defence industries, is growing, especially in the U.S. The market is growing in this sector due to the acceptance of expensive aviation in both urban and rural areas, as well as the creation of disruptive aviation technologies for the movement of people and cargo.
• Asia Pacific: Throughout the projection period, rapid growth is anticipated in the Asia Pacific region. This expansion can be linked to increased government investment in constructing defense and aviation facilities in several nations, primarily China and India. Due to the significant political disputes in the Asia Pacific area, nations there strive continuously to maintain modern security forces and systems.
• Europe: Europe investigates how AAM can be integrated into commercial enterprises' regulatory frameworks. Collaborations with cities, the development of electric aircraft, and sustainable transportation options drive the market.
• Latin America: AAM presents a viable option for shorter trips in the Latin American region. Furthermore, AAM is attracting interest from various LATAM countries, such as Brazil, who are investigating its possibilities for urban transportation.
• Middle East and Africa: There is a need for creative mobility solutions because of the MEA's cities' fast growth. Faster and more effective urban movement is possible with AAM. Certain MEA nations may have robust oil and gas industries that could supply resources and knowledge for the development of AAM.

Advanced Air Mobility Market Report Scope:

Attribute	Details
Market Size 2024	US$ 11.8 billion
Projected Market Size 2034	US$ 79.7 billion
CAGR Growth Rate	23.3%
Base year for estimation	2023
Forecast period	2024 – 2034
Market representation	Revenue in USD Billion & CAGR from 2024 to 2034
Market Segmentation	By Mode of Operation - Piloted, Autonomous By Propulsion Type - Gasoline, Electric, Hybrid By Mobility Type - Urban, Regional By End- Use - Cargo, Passenger
Regional scope	North America - U.S., Canada Europe - UK, Germany, Spain, France, Italy, Russia, Rest of Europe Asia Pacific - Japan, India, China, South Korea, Australia, Rest of Asia-Pacific Latin America - Brazil, Mexico, Argentina, Rest of Latin America Middle East & Africa - South Africa, Saudi Arabia, UAE, Rest of Middle East & Africa
Report coverage	Revenue forecast, company share, competitive landscape, growth factors, and trends

Segments Covered in the Report:

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2024 to 2034. For the purpose of this study segmented the target market report based on Mode of Operation, Propulsion Type, Mobility Type, End- Use, and Region:

Segmentation:

By Mode of Operation:

• Piloted
• Autonomous

By Propulsion Type:

• Gasoline
• Electric
• Hybrid

By Mobility Type:

• Urban
• Regional

By End-Use:

• Cargo
• Passenger

By Region:

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

The key players operating the Advanced Air Mobility Market include Aurora Flight Sciences, Bell Textron Inc., The Boeing Company, Guangzhou EHang Intelligent Technology Co. Ltd., Embraer S.A., Joby Aviation, Lilium GmbH, Neva Aerospace, Opener, Inc., PIPISTREL (Textron Inc.), Terrafugia, Vertical Aerospace Group Ltd., Volocopter GmbH, and Wisk Aero.

• In February 2023, Skyway Technologies Corp. and Moonware Inc. teamed up to build the infrastructure needed for effective, contemporary advanced air mobility (AAM) solutions.
• In September 2023, Airobotics Inc., a well-known producer of unmanned aircraft systems, received FAA airworthiness type certification for its Optimus-1EX. Being the first "Drone-in-a-Box solution" devoted to fully automated drone operations for emergency response and digital data collection, this distinction is noteworthy as it is the second unmanned aircraft ever to receive such certification. With its approval, the Optimus-1EX can now be used for various applications, such as disaster relief drone first response (DFR) and quick infrastructure surveys.
• In March 2022, Lilium N.V. and NetJets Inc. signed a Memorandum of Agreement with FlightSafety Worldwide, the pioneer of the commercial aviation industry. Through the partnership, NetJets would be able to purchase over 150 Lilium aircraft, providing its shareholders with more options to enhance their present flight schedules.

• Aurora Flight Sciences *
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Bell Textron Inc.
• The Boeing Company
• Guangzhou EHang Intelligent Technology Co. Ltd.
• Embraer S.A.
• Joby Aviation
• Lilium GmbH
• Neva Aerospace
• Opener, Inc.
• PIPISTREL (Textron Inc.)
• Terrafugia
• Vertical Aerospace Group Ltd.
• Volocopter GmbH
• Wisk Aero

“*” marked represents similar segmentation in other categories in the respective section.

1. Research Objective and Assumption
   • Research Objectives
   • Assumptions
   • Abbreviations
2. Market Preview
   • Report Description
     • Market Definition and Scope
   • Executive Summary
     • Market Snippet, By Mode of Operation
     • Market Snippet, By Propulsion Type
     • Market Snippet, By Mobility Type
     • Market Snippet, By End- Use
     • Market Snippet, By Region
   • Opportunity Map Analysis
3. Market Dynamics, Regulations, and Trends Analysis
   • Market Dynamics
     • Drivers
     • Restraints
     • Market Opportunities
   • Market Trends
   • Product Launch
   • Merger and Acquisitions
   • Impact Analysis
   • PEST Analysis
   • Porter’s Analysis

Market Segmentation, Mode of Operation, Forecast Period up to 10 Years, (US$ Bn)

• Overview
  • Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
  • Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
  • Segment Trends
• Piloted
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Autonomous
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
  • Segment Trends

Market Segmentation, Propulsion Type, Forecast Period up to 10 Years, (US$ Bn)

• Overview
  • Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
  • Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
  • Segment Trends
• Gasoline
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Electric
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Hybrid
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years

Market Segmentation, Mobility Type, Forecast Period up to 10 Years, (US$ Bn)

• Overview
  • Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
  • Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
  • Segment Trends
• Urban
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Regional
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years

Market Segmentation, By End- Use, Forecast Period up to 10 Years, (US$ Bn)

• Overview
  • Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
  • Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
  • Segment Trends
• Cargo
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Passenger
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years

Market, By Region, Forecast Period up to 10 Years, (US$ Bn)

• Overview
  • Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
  • Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
  • Regional Trends
• North America
  • Market Size and Forecast (US$ Bn), By Mode of Operation, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Propulsion Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Mobility Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By End- Use, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • U.S
    • Canada
• Asia Pacific
  • Market Size and Forecast (US$ Bn), By Mode of Operation, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Propulsion Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Mobility Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By End- Use, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • India
    • Japan
    • South Korea
    • China
    • Rest of Asia Pacific
• Europe
  • Market Size and Forecast (US$ Bn), By Mode of Operation, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Propulsion Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Mobility Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By End- Use, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • UK
    • Germany
    • France
    • Russia
    • Italy
    • Rest of Europe
• Latin America
  • Market Size and Forecast (US$ Bn), By Mode of Operation, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Propulsion Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Mobility Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By End- Use, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • Brazil
    • Mexico
    • Rest of Latin America
• Middle East and Africa
  • Market Size and Forecast (US$ Bn), By Mode of Operation, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Propulsion Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Mobility Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By End- Use, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • GCC
    • Israel
    • South Africa
    • Rest of Middle East and Africa

Competitive Landscape

• Heat Map Analysis
• Company Profiles
  • Aurora Flight Sciences
  • Bell Textron Inc.
  • The Boeing Company
  • Guangzhou EHang Intelligent Technology Co. Ltd.
  • Embraer S.A.
  • Joby Aviation
  • Lilium GmbH
  • Neva Aerospace
  • Opener, Inc.
  • PIPISTREL (Textron Inc.)
  • Terrafugia
  • Vertical Aerospace Group Ltd.
  • Volocopter GmbH
  • Wisk Aero

The Last Word

• Future Impact
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