Urban Air Mobility: Creating Much More Space in Skies to Reach USD 17.27 Billion by 2035
- The urban air mobility market is expected to reach USD 17.27 billion by 2035, registering a CAGR of 17.81% during the forecast period.
- By vehicle type, the autonomous segment is expected to grow with the highest CAGR of 20.78% during the forecast period.
- Factors such as the growth in urbanization and traffic congestion, and the increased investments into the Urban Air Mobility ecosystem are expected to drive the market growth.
Read our related report on: Drones Market
UAM Market: Opportunities are flying with new spirit
- In August 2021, Brazilian airline Azul signed a commercial deal with German electric aviation startup, Lilium, worth up to USD 1 billion. Under the partnership, Azul could acquire 220 of Lilium’s in-development eVTOL vehicles, planned to enter commercial operation by 2025.
- In June 2021, another start-up from the UK, Vertical Aerospace, announced that American Airlines and Virgin Atlantic partnered with the company to make urban air travel a reality. As part of the partnership, Virgin Atlantic has agreed to purchase up to 150 eVTOL aircraft. American Airlines (AAL) has agreed to pre-order up to 250 aircraft, with an option for an additional 100 aircraft.
- In February 2021, United Airlines announced that it placed a USD 1 billion pre-order for electric vertical-take-off-and-landing (eVTOL) aircraft made by Silicon Valley start-up Archer Aviation, with the option to buy an additional USD 500 million worth of aircraft. The airline, along with Mesa Airlines, can potentially acquire a fleet of up to 200 electric aircraft from Archer.
Latest advancements in UAM Market
- In September 2021, EHang announced that it successfully completed beyond visual line of sight (BVLOS) trial flights of its AAV, EHang 216, and the Falcon logistics model for airport transport and parcel delivery in Estonia, under the European Union’s GOF 2.0 Integrated Urban Airspace Validation.
- In September 2021, Eve and Helipass SAS entered a collaboration to accelerate and deploy eVTOL aircraft across France and Europe. Following the introduction of eVTOL aircraft in 2026, the companies plan to introduce the aircraft across Helipass’ markets and achieve a total of 50,000 flight hours per year.
- In June 2021, Honeywell was selected by Lilium to develop avionics and flight control systems for its 7-Seater Lilium Jet.
