GLOBAL AEROSPACE AVIONICS MARKET
Any mission success requires highly reliable communications, navigation, display and multisystem management avionics that allows to operate in any airspace.
Avionics are the electronic systems used in aircraft, artificial satellites, and spacecraft. Avionic systems include communications, navigation, the display and management of multiple systems, and the hundreds of systems that are fitted to aircraft to perform individual functions.
These can be as simple as a searchlight for a police helicopter or as complicated as the tactical system for an airborne early warning platform. The term avionics is a combination of the word’s aviation and electronics.
The Auxiliary Avionics Rack, as the name implies, is an extension of the MAR and supports the equipment that could not be installed in the MAR. The Electrical Rack houses equipment primarily connected with the electrical distribution system, such as the static inverter and transformer rectifiers. This rack also houses other ancillary equipment/boxes.
The Equipment Rack houses the forward/aft relay and equipment panels. The relay panels are capable of housing several hundred relays, which for one reason or another were not built into a system’s black box or are needed to connect different black boxes.
COVID IMPACT ON AVIATION INDUSTRY
The September data for global air freight markets released by the International Air Transport Association (IATA) shows only a 3.7 percent monthly growth in global demand in September, or eight percent below 2019 levels, according to a Nov 4 press release. The report also showed a 25.2 percent decrease in global capacity.
While the global air freight markets are still struggling to recover from losses incurred from the COVID-19 pandemic, they are still making improvements. The September global demand numbers were 4 percent lower than in August, which showed a 12.1 percent drop. However, the global capacity percentage showed a contraction three times larger than the demand which would indicate a severe lack of capacity in the market, according to the release.
The Global Avionics Market is one of the most promising market segments in the past decade. With the inclusion of world-class technology, many businesses have added new features into their framework. This has helped them in pushing beyond the local market into global level industries.
COVID-19 AND AVIATION INDUSTRY
Aviation is among the worst-affected sectors amidst the Covid-19 crisis that has taken the scale of a pandemic. According to the International Air Transport Association, airlines globally can lose in passenger revenues of up to $113 billion due to this crisis.
Domestic traffic growth is also gradually being affected with domestic travelers postponing or cancelling their travel plans. Cash reserves of airline companies are running low and many are almost at the brink of bankruptcy. Moreover, the crisis could lead to loss of jobs and pay cuts. Some airlines have asked many of their employees to go on leave without pay.
The coronavirus pandemic has caused probably the most significant impact to the aviation sector. With the world going into a lockdown and airlines being grounded internationally, the sector has come to a standstill.
The crucial aviation sector that connects nations across the world is witnessing a flurry of layoffs and pay cuts. Some workers have been asked to go on forced unpaid leaves by aviation companies.
From a point of complete suspension of travel, recovery is likely to be slow. Demand will be suppressed due to economic dislocation; slow or even negative GDP growth; broken supply chains; low consumer confidence; and concerns about lingering outbreaks of COVID-19. The sector, is also in urgent need of financial help to support employees.
NEW PRODUCTS DEVELOPED IN AEROSPACE AVIONICS MARKET
Now that computational power and big data have arrived, AI is ready for bigger tasks, including safety critical flight controls and navigation systems.
Sep 2020– Embraer announced that it had secured Brazilian ANAC and FAA approval for its synthetic vision guidance upgrade to the Collins Pro Line Fusion flight deck on its Praetor 500 and 600 business jets.
Aug 2020– Garmin upgraded G1000 to NXi in Piper Meridian. The G1000 NXi delivers capabilities such as SurfaceWatch, visual approaches, and graphical map overlays within the HSI.
July 2020– Garmin announced it received European Aviation Safety Agency (EASA) certification of the G3X Touch flight display for single-engine certificated aircraft.
RECOVERY POST COVID
Nov 2020- Finnish Army will complete a cab hardware refurbishment project on its MD500 helicopters, upgrade its multifunction display in the cockpit to make the fleet night vision (NVG) compatible
Sep 2020-Diamond restarted production of its DA20-C1 primary training aircraft. The new DA20s are equipped with a Garmin G500TXi avionics suite.
Aug 2020– General aviation avionics company Aspen Avionics was acquired by The Airo group.
MARKET SIZE AND FORECAST
In Q3-2020, Avionics sales (for Business and General aviation) fell more than 30% YOY and 27 percent YTD. Total sales, for Q1-Q3 2020 was ~$1.7 Billion compared to $~2.3 Billion in Q1-Q3 2019.
The market is consolidated with a few players accounting for a large chunk of the market.
Embedded/retrofit/repair avionics represents a large chunk of Airbus Helicopters’ business. The company has been fitting Cockpit Voice and Flight Data Recorders (CVFDR) on U.S. Army UH-72A Lakotas since last year at a rate of about three per month.
Airbus has been selling Helionix Step 3 since 2017, which includes two to four multifunction screens, a helicopter terrain avoidance and warning system (HTAWS), and a synthetic vision system with obstacle detection and real-time updates, including 3-D terrain maps.
Avidyne has obtained Part 25 STC approval for its IFD540 multifunction flight management system in Cessna Citation 560 Excel and XLS models equipped with the Primus 1000 EFIS. It is being offered through various Avidyne-approved Maintenance, Repair and Overhaul (MRO) sites.
- Thales group
- Aspen Avionics
- FDS Avionics Corp
- Jupiter Avionics
- Latitude Technologies
- L3Harris Technologies
- Mid-Continent Instruments and Avionics
- PS Engineering
- Sandia Aerospace
- Shadin Avionics
- Trig Avionics
- Universal Avionics, an Elbit Systems Co.
- ACR Artex
- ALTO Aviation
- Anodyne Electronics Manufacturing Corp.
- Blue Avionics Inc.
- Cobham Aerospace Connectivity
- Collins Aerospace
- FreeFlight Systems
- Genesys Aerosystems
- Gogo Business Aviation
- Honeywell Business & General Aviation
|2||Scope of the report|
|7||Insights from Industry stakeholders|
|8||Cost breakdown of Product by sub-components and average profit margin|
|9||Disruptive innovation in the Industry|
|10||Technology trends in the Industry|
|11||Consumer trends in the industry|
|12||Recent Production Milestones|
|13||Component Manufacturing in US, EU and China|
|14||COVID-19 impact on overall market|
|15||COVID-19 impact on Production of components|
|16||COVID-19 impact on Point of sale|
|17||Market Segmentation, Dynamics and Forecast by Geography, 2020-2025|
|18||Market Segmentation, Dynamics and Forecast by Product Type, 2020-2025|
|19||Market Segmentation, Dynamics and Forecast by Application, 2020-2025|
|20||Market Segmentation, Dynamics and Forecast by End use, 2020-2025|
|21||Product installation rate by OEM, 2020|
|22||Incline/Decline in Average B-2-B selling price in past 5 years|
|23||Competition from substitute products|
|24||Gross margin and average profitability of suppliers|
|25||New product development in past 12 months|
|26||M&A in past 12 months|
|27||Growth strategy of leading players|
|28||Market share of vendors, 2020|
|30||Unmet needs and opportunity for new suppliers|