MIAMI – A joint study was conducted by Deloitte and the Aerospace Industries Association (AIA) on the advanced air mobility (AAM) market in the US.
The AAM Market, which includes flying taxis and cargo drones, will generate US$115bn in revenue annually by 2035, according to the study. This is the equivalent of 0.5% of US GDP. According to the report, this emerging industry will create over 280,000 “high-paying” jobs, accounting for 8% of the aerospace and defense workforce.
AAM in Depth
According to the forecasted annual earnings by 2035, passenger and freight sales will be nearly equal, with each segment reaching US$57bn and US$58bn, respectively. “Advanced Air Mobility: Can the United States Afford to Lose the Race?” asks the study. Furthermore, the cargo mobility market will expand and scale first, with passenger mobility catching up and surpassing cargo after 2035.
According to a www-ainonline-com.cdn.ampproject.org (AIN) story, the study covers projections for AAM’s market growth potential and deployment/commercialization timeline. It also includes advice on how to promote and retain industry leadership. It also serves as a guide for US efforts relating to the potential economic and national security benefits of introducing this mode of transportation.
“Our industry is on the cusp of the next great step in aviation technology,” said AIA president and CEO Eric Fanning. “By establishing a national strategy in AAM, we have the potential to give the U.S. a major competitive advantage in the global market and realize new national security benefits, including new ways to transport our troops and cargo. U.S. leadership in this emerging aviation technology is essential to bolstering our economy and innovation within America.”
Who May Lead
Electric vertical takeoff and landing (eVTOL) aircraft will be deployed in both rural and urban areas in the United States and other countries starting in 2025, according to AIA and Deloitte. Deploying AAM will necessitate a sustained, collaborative approach between the private and public sectors to push for eVTOL aircraft to be widely accepted and adopted, sooner rather than later, according to Robin Lineberger, Deloitte Global’s global aerospace and defense leader.
The global race for AAM leadership, according to the report, is heating up, with China, Germany, and South Korea all competing for the top spot. Despite the high stakes, the study suggests that US leadership in AAM could result in a US$20bn export market by 2035.
“With the market poised to grow seven-fold between 2025 and 2035, it’s important for U.S. policymakers and industries to cooperate now to ensure American leadership in this transformative emerging sector,” Robin added.
Required Technology and Infrastructures
Collaboration between the public and private sectors is crucial for development, according to the research. “creating a clear and conducive policy environment that fosters public-private partnerships, streamlines vehicle testing and certification, and seamlessly integrates AAM into the existing airspace system,” according to the report.
Other areas of focus include battery technology, artificial intelligence, and research and development for 5G technology. Furthermore, the engineering talent needed for this initiative is critical. Furthermore, constructing physical infrastructure such as vertiports or retrofitting existing airports/heliports requires US government investment and support in order to extend and scale the market.
According to the AIN, the study finds that through a combination of regulatory and investment efforts, the United States will be poised to lead this new aerospace market. In addition, substantial investments in research, advanced technology, physical infrastructure, and talent are required to become a leader.
The AIN story is taken from FutureFlight.aero
Featured image: ElectricFlyer, CC BY-SA 4.0 https://creativecommons.org/licenses/by-sa/4.0, via Wikimedia Commons