Up in the air: Anticipating air taxis in 2024

Dubai and Saudi Arabia are at the forefront in terms of air taxis in the world. Arrival of Generative AI (Artificial Intelligence) in 2023 has further widened the scope of improvement in the air taxi services. As a result, 97 per cent of airlines are planning programs based on Generative AI, which has, for the time being, taken away the limelight from Metaverse, which was in focus during 2022.

Urban Air Mobility (UAM) has also seen surging interest from airlines and airports, with the first flights due to take off in 2024. As a result, investment in the space across all stakeholders (including OEM, infrastructure, and systems) is projected to accelerate from $5 billion in 2022 to $28 billion in 2030.

These are some of the key findings of SITA’s updated “Meet the Megatrends” report, highlighting the industry’s rapidly changing innovation landscape.

The report examines 12 emerging technological, societal, traveller, and economic trends that will significantly morph the travel landscape by 2033.

While some megatrends identified in 2022 have witnessed rapid growth in the last 12 months, others also continued to develop, including Digital Travel, with the emergence of digital identities. According to SITA’s 2023 Air Transport IT Insights, by the end of 2026, 82 per cent of airlines will use biometric-enabled digital identity technologies for aircraft boarding, a further 67 per cent confirmed using touchless and 50 per cent single token.

Meteoric rise of Generative AI in 2023

New data from SITA’s 2023 IT insights shows that 86 per cent of airlines are collaborating with innovation partners to make advancements in AI, machine learning, and computer vision. 39 per cent of these have already been implemented, while another 47 per cent confirmed plans by the end of 2026. Only 3 per cent of airlines stated having no plans to invest in AI technologies. In comparison, 97 per cent confirmed major programs and R&D. Looking at airports, 16 per cent of airports already use AI and ML for improved decision-making, with another 51 per cent confirming plans to implement such solutions by the end of 2026.

UAM’s rapid evolution

Increased demand for shortrange routes, advances in batteries and electric propulsion systems, and the increasing efforts to reduce aviation’s carbon footprint and operational costs have all contributed to the UAM transportation sector’s impressive growth in 2023. Taking to the air rather than the road may soon be possible in Paris: an electric air taxi service is in the pipeline and could be launched during the 2024 Olympic Games. Airlines show increased interest in UAM, with 32 per cent confirming major programs and R&D in UAM services and infrastructure. 33 per cent of airlines invest in VTOL integration technologies for airline operations.

Patrik Gillstedt,

Svensson

Senior Vice President, Strategy and Growth Enablement, SITA, said: “It’s an exciting time for travel with new technologies transforming our industry at rates previously unseen. While AI is a key example of this, it’s encouraging to see other innovations like UAM, Digital Travel, and intermodal travel also gathering pace. “At SITA, we have cultivated a more open approach to innovation jointly with our customers and industry groups to try many things to relieve difficult problems in agile-lean ways.”

Investment in UAM space across all stakeholders (including OEM, infra, and systems) is projected to rise from $5 bn in 2022 to $28 bn in 2030