Automatic Identification System Market

Automatic Identification System Market Size

Automatic Identification System Market is expected to surpass USD 521 million by 2032 from USD 258 million in 2021 at a CAGR of 6.2% in the coming years i.e., 2022-32.

Automatic Identification System (AIS) refers to an automatic tracking system that uses transceivers on ships to trace the ships automatically preventing any type of collision. It is intended to provide two-way communication between various vessels and coastal authorities located on land. The technology may provide journey, dynamic, and static information on a particular ship to nearby coastal authorities as well as other nearby ships. Additionally, AIS equipment offers data that is presented on the screen, including unique identity, course, speed, and location. By enabling maritime authorities to detect and monitor vessel movements, this device is intended to help a ship's officer.

Market Highlights

The Automatic Identification System Market is expected to project a notable CAGR of 6.2% in 2032.

Automatic Identification System Market is expected to surpass USD 521 million by 2032 from USD 258 million in 2021 at a CAGR of 6.2% in the coming years i.e., 2022-32. To improve the safety and security of ships, the government has established regulations that must be followed. In 2021, the International Maritime Organization (IMO) established a new standard requiring all ships to be equipped with AIS, which can automatically transmit data about the ship to other ships and to coastal regulators. All ships with a gross tonnage of 300 or more that are engaged in international journeys, all cargo ships with a gross tonnage of 500 or more that are not engaged in international voyages, and all passenger ships of any size are required to have AIS installed under the legislation. Thus, strict government regulation is anticipated to fuel the demand for automatic identification systems.

Automatic Identification System Market: Segments

Class A AIS segment is expected to grow with a higher CAGR during 2022-32

Automatic Identification System Market is categorized on the basis of Class into Class A AIS, Class B AIS, and AIS Base Stations. In 2021, Class A AIS had the highest market share. This segment's dominating market share is thought to be a result of its widespread implementation of vessels of 300 gross tonnages by International Maritime Organization (IMO). Moreover, the cargo delivery services and rising international trade has proved to be important factor for growth of the industry.

The Vessel Tracking segment is expected to grow with a higher CAGR during 2022-32

Automatic Identification System Market is categorized on the basis of Application into Fleet Management, Vessel Tracking, Maritime Security, Search and Rescue, and Other Applications. Vessel Tracking is expected to dominate in the forecast period. This application gives border control authority’s improved control over maritime traffic. One of the main driving forces behind the industry over the projection period will be the increase in maritime traffic worldwide as a result of increased commercial activity. Two of the key factors influencing the adoption of AIS technology were maritime security and surveillance. The coast guard and navy pushed for increased visibility and effective security assistance since maritime traffic was regarded as a significant threat vector. As a result, revenue growth in the marine security market is expected to increase in the time to come.

Market Dynamics

Growth Drivers

Rising International Seaborne Commerce Activities

According to UNCTAD's Maritime Transport Report 2020, the growth of maritime trade would increase by over 4% in 2021. The majority of the seaborne trade is conducted on merchant ships. The greatest region for seaborne trade is Asia Pacific. The Automated Identification System is a crucial component of naval vessels. Thus, the growth of the market during the forecast period is driven by the expansion of the naval sector as a result of rising international seaborne commerce activities.

Stringent Government Policies

To improve the safety and security of ships, the government has established regulations that must be followed. In 2000, the International Maritime Organization (IMO) established a new standard requiring all ships to be equipped with AIS, which can automatically transmit data about the ship to other ships and to coastal regulators. All ships with a gross tonnage of 300 or more that are engaged in international journeys, all cargo ships with a gross tonnage of 500 or more that are not engaged in international voyages, and all passenger ships of any size are required to have AIS installed under the legislation. Thus, strict government regulation is anticipated to fuel the demand for automatic identification systems.

Restraint

Cyber Security Threats

Due to increased automation and digitization, the marine industry has experienced ongoing vessel modifications. The infrastructure of autonomous vessels consists of computer networks made up of highly integrated software, hardware, and electromechanical devices. This article According to the guidelines of their respective national legislation, AIS data is one of the main cyber dangers on the internet or elsewhere and may make ships more susceptible to terrorist activities through piracy and cyber-attacks. These AIS data leaks could be harmful to ship and port facility security and safety, which would impede industry growth.

Automatic Identification System Market:

Key Players

• Orbcomm Inc

Company Overview, Business Strategy, Key Product Offerings, Financial Performance, Key Performance Indicators, Risk Analysis, Recent Development, Regional Presence, SWOT Analysis

• Furuno Electric Co. Ltd
• Exactearth Ltd
• Kongsberg Gruppen ASA
• SAAB Transponder Tech AB
• L-3 Communications Holdings Inc
• Garmin International Inc
• Honeywell International Inc
• Raytheon Ltd.
• CNS Systems AB
• Other Prominent Players

Automatic Identification System Market: Regions

Automatic Identification System Market is segmented based on regional analysis into five major regions: North America, Latin America, Europe, Asia Pacific and the Middle East and Africa. In 2021, the market was dominated by the Asia Pacific. The well-established shipbuilding sector, which creates sophisticated military vessels including ferries, cruise ships, mega yachts, and submarines, is credited with the expansion. Furthermore, continuing territorial disputes between nations like China, India, and Pakistan have increased demand for the technology in the defense industry.

Impact of Covid-19 on Automatic Identification System Market

The global COVID-19 epidemic has presented the marine and shipbuilding industries with unprecedented hurdles. Supply chain disruptions caused by production stops and employee isolation periods have an impact on market expansion. Additionally, during the pandemic, investments in the shipbuilding industry decreased. The demand for automatic Identification systems has been impacted by the fall in shipbuilding services for many applications, including offshore service, marine trade, maritime export, and others. The lack of demand for automatic marine systems and the inability to manage the company's finances during the epidemic have led to the bankruptcy of numerous small maritime and shipping businesses.

Automatic Identification System Market is further segmented by region into:

• North America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United States and Canada
• Latin America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – Mexico, Argentina, Brazil, and Rest of Latin America
• Europe Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United Kingdom, France, Germany, Italy, Spain, Belgium, Hungary, Luxembourg, Netherlands, Poland, NORDIC, Russia, Turkey, and Rest of Europe
• Asia Pacific Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – India, China, South Korea, Japan, Malaysia, Indonesia, New Zealand, Australia, and Rest of APAC
• Middle East and Africa Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – North Africa, Israel, GCC, South Africa and Rest of MENA

Automatic Identification System Market report also contains analysis on:

Automatic Identification System Market Segments:

• By Application
  • Fleet Management
  • Vessel Tracking
  • Maritime Security
  • Search and Rescue
  • Other Applications
• By Class
  • Class A AIS
  • Class B AIS
  • AIS Base Stations
• Automatic Identification System Market Dynamics
• Automatic Identification System Market Size
• Supply & Demand
• Current Trends/Issues/Challenges
• Competition & Companies Involved in the Market
• Value Chain of the Market
• Market Drivers and Restraints

Automatic Identification System Market Report Scope and Segmentation

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