Report Segment – Aerospace – defense & Maritime | Report ID – AGRI4939
Urban Air Mobility Market Overview:
The market for Urban Air Mobility was valued at XX Bn USD in the year 2023 and expected to reach XX Bn by the year 2030. The CAGR for the market is XX% during the period 2024 -2030.
Urban Air Mobility (UAM) refers to the integration of innovative aerial transportation systems into urban environments, aiming to provide fast, efficient, and sustainable solutions for moving people and goods. This includes the use of electric vertical takeoff and landing (eVTOL) aircraft, air taxis, drones, and other forms of autonomous aerial vehicles designed to operate in densely populated urban areas.
UAM systems seek to reduce road congestion, minimize travel time, and offer an alternative to traditional ground-based transportation, particularly for short-distance trips. By leveraging cutting-edge technologies such as electric propulsion, autonomy, and advanced air traffic management, UAM has the potential to transform the transportation landscape. It also offers solutions for last-mile deliveries, emergency response, and public transport in cities, while striving for environmental sustainability with reduced carbon emissions.
Urban Air Mobility Market Growth Indicators:
Technological Advancements in Electric Propulsion and Autonomous Flight Systems
One of the main factors propelling the urban air mobility market is the rapid growth of autonomous flying and electric propulsion technology. Powered by cutting-edge battery systems, electric vertical takeoff and landing (eVTOL) aircraft provide a cost-effective and environmentally friendly substitute for conventional aircraft, making them perfect for quick city flights. These developments make it possible for cars that can transport people or commodities inside city borders to be quieter, cleaner, and more effective. By eliminating the need for human pilots, autonomous flight systems increase the allure of UAM by lowering operating costs and enhancing safety through sophisticated navigation and collision avoidance technologies. With the potential to completely transform how cities approach mobility and ease traffic, UAM is becoming a more attractive and feasible option for urban transportation as these technologies advance.
Urban Air Mobility Market Report Segments Overview:
Platform Segment Overview
The Platform segment is divided into Hardware and Software. Hardware is further divided into Aerostructure, Avionics, Flight Control System, Propulsion System and Others. In the Urban Air Mobility market, the software segment is projected to grow the fastest within the platform category. This rapid growth is driven by the critical role that software plays in managing autonomous navigation, air traffic control, and fleet operations. Advanced software solutions are essential for flight data analytics, predictive maintenance, route optimization, and real-time communication between vehicles and ground stations. As eVTOL aircraft move toward autonomous capabilities, software platforms are vital to ensuring safety, efficiency, and regulatory compliance, particularly in densely populated urban areas. Furthermore, as the industry advances, demand for scalable, AI-driven air traffic management software increases, cementing software’s importance in facilitating a safe and seamless UAM ecosystem.
Vehicle Type Segment Overview
The Vehicle Type segment is divided into Air Taxis, Air Metros, Air Ambulance, Last-Mile Delivery and Others. The air taxi segment is the fastest-growing within the Urban Air Mobility (UAM) Market. This growth is largely driven by the need for efficient, on-demand urban transport solutions that can bypass road congestion and reduce travel times. Air taxis offer a compelling alternative for short to medium-distance city trips, catering to urban dwellers and business travelers looking for time-efficient options. With significant investments and numerous pilot programs underway in cities around the world, the air taxi segment is positioned as a practical and scalable solution in the UAM ecosystem. Additionally, advancements in electric vertical take-off and landing (eVTOL) technology make air taxis a sustainable choice that aligns with the increasing demand for green transportation options, further boosting their adoption and development.
Range Segment Overview
The Range segment is divided into Intercity and Intracity. The intracity segment is the fastest-growing within the range category, primarily due to the high demand for short-distance, urban-specific transportation solutions. Intracity UAM focuses on providing efficient transport within densely populated areas where ground congestion is a significant issue. Air taxis and eVTOLs operating within cities offer a fast, on-demand alternative to traditional road transport, catering to urban dwellers looking to save time on daily commutes or point-to-point travel. As cities increasingly invest in UAM infrastructure like vertiports, the intracity market benefits from quicker deployment timelines and a larger customer base compared to intercity, where longer routes and infrastructure demands pose more challenges. Additionally, advancements in battery and electric propulsion technology are well-suited to shorter, intracity ranges, making this segment more immediately viable and attractive for early adoption in UAM markets.
Operation Segment Overview
The Operation segment is divided into Piloted, Autonomous and Hybrid. The autonomous segment is the fastest-growing within the Urban Air Mobility (UAM) operation category, largely due to the transformative potential of fully automated, pilotless systems in reducing operational costs and maximizing efficiency. Autonomous UAM vehicles offer scalability by eliminating the need for human pilots, which allows operators to focus on improving passenger experience and expanding fleets more cost-effectively. Advances in artificial intelligence, machine learning, and sensor technology are enabling safer autonomous flight capabilities, making this segment increasingly viable. Furthermore, as regulatory frameworks evolve to support unmanned flight, autonomous UAM solutions are positioned to meet the growing demand for high-frequency urban transport, particularly in crowded city environments where autonomous vehicles can better optimize routes and airspace usage.
End-Use Segment Overview
The End-Use segment is divided into E-Commerce, Commercial Ridesharing Operators, Private Operators, Medical Emergency Organizations and Others. The commercial ridesharing operators segment is the fastest-growing within the Urban Air Mobility (UAM) Market. This growth is driven by the increasing demand for on-demand, efficient, and cost-effective urban transportation solutions, particularly in congested cities. Commercial ridesharing companies are actively exploring the potential of eVTOLs and air taxis to expand their service offerings, reduce travel times, and improve the overall customer experience. As the infrastructure for urban air mobility continues to develop, commercial ridesharing operators are well-positioned to capitalize on this technology, integrating it into existing ridesharing platforms to provide a seamless, multi-modal transportation experience. Additionally, the scalability of commercial UAM operations, combined with advancements in autonomous and electric flight technologies, makes this segment a key focus for growth, with companies aiming to deploy fleets of eVTOL aircraft in the coming years.
Urban Air Mobility Market Regional Outlook:
Fastest Growing Region: North America
North America is the region with the quickest rate of growth in the Urban Air Mobility (UAM) market, primarily because of its robust infrastructural development and quick technical developments. Leading firms like Joby Aviation, Joby Aero, and Textron, which are actively leading the way in the development of electric vertical take-off and landing (eVTOL) aircraft, are important contributors to this expansion. The substantial investments being made in infrastructure, such as vertiports, charging stations, and air traffic management systems, also benefit the area. Furthermore, North America is leading the way in the integration of autonomous technologies, which are essential to UAM’s future. Urban congestion and the need for sustainable mobility alternatives are driving the desire for creative, effective transportation solutions, as evidenced by the fact that places like Los Angeles and Dallas have already begun testing air taxi services.Â
Urban Air Mobility Market Players Mapping:
Recent Activity by companies in Urban Air Mobility Market
In October, 2024 A notable development came from GE Aerospace and Lilium, a leader in Regional Air Mobility (RAM), who are collaborating to build a robust safety framework for this emerging mode of transport. Their partnership aims to combine GE’s Event Measurement System platform with Lilium’s unique “POWER-ON” aftermarket offering, which will provide Lilium Jet operators with a comprehensive suite of digital services. These services are designed to deliver critical flight data and analytics to enhance safety and operational efficiency. Through this collaboration, both companies are laying the groundwork for scalable flight data management solutions that will define safety standards for the broader eVTOL industry. With Lilium’s first customer deliveries of the Lilium Jet expected in 2026, this partnership marks a significant step toward the mainstream adoption of eVTOLs
Urban Air Mobility Market Coverage:
By Component
By Vehicle Type
By Range
By Operation
By End Use
By Region:
Urban Air Mobility Market Report Outlook
Urban Air Mobility Market Coverage | 2019- 2030 |
Fastest Growing Region | North America |
Urban Air Mobility Market Forecast | 2024 – 2030 |
Historical Data | 2019 – 2022 |
Base Year | 2023 |
Competition Benchmarking | 10 + Key Players Mapping |
Report Format | PDF + Excel |
List of Tables:
List of Figures:
Data Collection and Research:
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Research Compilation and Data Sourcing
The primary interview analysis is based on data gathered from interviews with industry participants and responses to survey questions collected by our in-house research team.
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Industry professionals: VPs, business development managers, market intelligence managers, and national sales managers.
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Primary respondents breakup:
Upon receiving confirmation from primary research sources or respondents, we finalize the base year market estimates and proceed to forecast data. This is done by incorporating the macroeconomic and microeconomic factors evaluated during the data collection phase.
Data Analysis:
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3.1 Macro-Economic Factor Analysis:
We assess macroeconomic indicators such as Gross Domestic Product (GDP), changes in demand across industries, technological advancements, regional economic growth, government policies, the impact of COVID-19, and PEST analysis. This evaluation helps establish benchmarks for different nations and regions and approximates market segments. Additionally, the general trends in these factors assist in identifying potential market growth opportunities.
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3.4 Developing Base Number:
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Data Triangulation and Final Review:
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Our iterative approach involves sharing research findings with Subject Matter Experts and Key Opinion Leaders until a consensus view is achieved. This process helps mitigate drastic deviations in expert opinions. We use data triangulation—validating information from secondary sources with primary interviews and re-verifying with internal databases and experts—to ensure high-quality, reliable data is delivered efficiently.
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