In-Flight Entertainment & Connectivity

Overall revenues at the service-provider level, for ATG, MSS and FSS connectivity services are expected to grow from $997 million in 2016 to approximately $6.5 billion in 2026 (21% CAGR). Commercial aviation will account for 84% of total service revenue.

The launch of HTS satellites in both Ku-band and Ka-band is expected to be a game-changer for the IFC market. These new satellites will offer significantly greater HTS capacity in the coming years. The total HTS capacity dedicated to inflight connectivity will increase from 4 Gbps YE2016 to 21 Gbps YE2018. The total HTS capacity dedicated to IFC is expected to reach almost 300 Gbps by YE2026.

The increase in connected aircraft and in bandwidth consumption per passenger will support growth. To that respect, the ability to support video streaming on a large scale shall be crucial. The revenue per aircraft per year shall double in the next five years to nearly $300,000 for connectivity suppliers. Still, the need to improve profit margins, and to benefit from economies of scale, shall favor vertical integration and consolidation in the IFC value chain. Competition will be strong between leading suppliers and new entrants, with our research benchmarking the positioning of main market players including Panasonic Avionics, Gogo, Thales InFlyt, Global Eagle, Inmarsat and ViaSat.

Sector dynamics, analysis & forecasts addressing the IFEC market

A Sample of Our Consulting Expertise

  • Market assessment for Asia, the Middle East and Africa
  • • External due diligence of a regional operator over Europe and Africa
  • • Independent assessment of a satellite project in Latin America
  • Commercial due diligence of a teleport operator in the Middle East
  • • Due diligence of a satellite service provider in Asia Pacific
  • Independent valuation of a transponder agreement
  • • Commercial due diligence for a global MSS operator
  • • Commercial due diligence of a regional MSS satellite system in EMEA/Asia
  • • Commercial due diligence of a global MSS satellite system
  • • Assessment for demand in emerging regional markets