The urban air mobility market growth was USD 2.90 billion in 2020. The market is projected to grow from USD 3.01 billion in 2021 to USD 8.91 billion in 2028 at a CAGR of 16.77% during the 2021-2028 period. This vital information is presented by Fortune Business Insights™, in its report titled, “Urban Air Mobility Market, 2021-2028.” Factors such as increasing urbanization and degrading traffic conditions will boost the market during the forecast period. Also, the rising demand for creating faster, cleaner, safer, and interconnected transportation will fuel the growth of the market.
List of Key Players Present in the Market
- Textron Inc. (U.S.)
- Uber Technologies Inc. (U.S.)
- Airbus SE (Netherlands)
- Ehang (China)
- Safran SA (France)
Drivers & Restraints
Rising Demands for Green Solutions to Bolster Market Growth
Rising demand for alternative modes of transport and rocketing road traffic is expected to boost the urban air mobility market growth during the forecast period. Also, the growing urban population and increasing growing urban population will fuel the growth of the market. Additionally, utilization of autonomous UAMs is expected to bore lower pollution, short travel times, and decrease demand on current transportation infrastructure. These factors will boost market growth.
However, factors such as rising security concerns, high initial investment, and limited government support in terms of the regulatory framework will limit the market during the forecast period.
North America to Hold Largest Market Share Due to Presence of Dominant Players
North America will capture the largest urban air mobility market share during the forecast period, owing to the increasing presence of dominant players coupled with rising adoption measures. Also, rising air traffic among residents will fuel the demand for air taxis and airport shuttle services. Factors such as last-mile and freight services coupled with eVTOL aircraft will boost the market growth.
Europe will register the fastest-growing market during the forecast period due to the region being the breeding ground for a majority of technology innovations. Rising investment opportunities, as well as the presence of prominent players, will foster growth for the market.