Global Automatic Identification System Market By Class (Class A, Class B, and AIS Base Stations), By Platform (Vessel Based and On-Shore), By Application, By Region and Companies – Industry Segment Outlook, Mark Assessment, Competition Scenario, Trends, and Forecast 2023-2032

Report Overview

The Global Automation Identification System Market size is expected to be worth around USD 491.0 Million by 2032 from USD 278.2 Million in 2023, growing at a CAGR of 6.0% during the forecast period 2023 to 2032.

An automatic identification system is a tracking and monitoring system that uses various components like transponders on ships to recognize the other vessels in the area. The automatic identification system is mainly used by the traffic controllers for the vessels that provide navigation and safety routes to the vessels.

Automatic identification systems are primarily implemented for applications like fleet management, maritime security, vessel tracking, and many others applications. Automatic identification systems perform their operations by providing all the needed information like course speed, vessel position, and unique identification on the display and radar of the service provider. The wide usage of automatic identification systems in the marine industry is driving the growth of the global automatic identification systems market.

Note: Actual Numbers Might Vary In The Final Report

Automated identification systems are also used on a large scale for the transmission of critical information related to environmental or atmospheric conditions to the respective service provider like forecasters, mariners, and emergency response Systems. The increasing number of vessels in marine is raising the demand for traffic control systems and navigation systems to properly navigate the vessels and ensure the safety of the vessels. Due to this, the rising adoption of automatic identification systems is propelling the growth of this market.

Key Takeaways

• Market Growth: The Automatic Identification System (AIS) market is projected to grow at a CAGR of 6.0% between 2023 and 2032, reaching a value of USD 491.0 million by 2032 from USD 278.2 million in 2023.
• Driving Factors: The increasing traffic congestion and rising shipment tracking needs are significant factors propelling the growth of the AIS market. AIS aids in preventing accidents and ensuring proper navigation for vessels, thereby enhancing maritime safety.
• Class Analysis: Class A dominates the AIS market due to its strict implementation by the International Maritime Organization for vessels above 300 gross tonnages. The Class B AIS is also expected to grow moderately, catering to small commercial and recreational vessels.
• Platform Analysis: Vessel-based AIS systems hold a significant share in the market, owing to the increased maritime and naval trading activities globally. The adoption of AIS in autonomous ships further contributes to the growth of vessel-based AIS.
• Application Focus: Vessel tracking leads the application segment, with AIS being extensively used for monitoring vessel activities and ensuring their safety. The maritime security segment is also expected to grow due to increasing safety concerns in maritime trade.
• Regional Insights: Asia Pacific dominates the AIS market, accounting for a substantial revenue share of 32.6%. The region’s robust shipping industry and the presence of major exporters like China contribute to this dominance. Europe is also expected to witness significant growth due to increased investments in ship projects and seaborne trade activities.
• Key Market Players: Prominent companies in the AIS market include Furuno Electric Co. Ltd, Saab AB, Japan Radio Co. Ltd., ExactEarth Ltd, and others. These players often engage in partnerships, collaborations, mergers, and acquisitions to expand their global presence.
• Growth Opportunities: Innovations and technological developments in the AIS market are anticipated to create numerous opportunities for market players. The growth of autonomous vessels is also expected to contribute significantly to the market expansion.
• Regulatory Impact: Many governments worldwide are mandating the adoption of AIS in vessels to enhance safety and security. This regulatory push is significantly fueling the AIS market growth.

Driving Factors

Increasing Traffic Congestion and Rising Shipment Tracking Needs are Driving the Growth of the Automatic Identification Systems Growth.

The rising traffic issues in the sea and near the port have led to many problems in the sea and at the ports. With an increasing number of vessels in the sea, traffic control has become a difficult job to operate. The increasing traffic due to vessels is leading to traffic congestion and accidents among the vessels.

Numerous accidents and collisions of ships have resulted due to the lack of a proper traffic control system and navigation system, which lead to misguiding instructions from the port authorities and miscommunication between the nearby vessels. To avoid such incidents, many companies have developed tracking and navigation systems like automatic identification systems. The development of such technologies has helped the authorities to avoid accidents and properly navigate the vessels. These factors are driving the growth of the automatic identification systems market.

Also, many ships carry cargo across various regions. And to keep track of the cargo loaded on the vessels, many businesses use the automatic identification system to monitor and track the position of the shipment. These uses of automatic identification systems are anticipated to boost the growth of the automatic identification systems market during the forecast period.

Restraining Factors

Congestion of Signals from Vessels due to the Tremendous Number of Vessels Using AIS is Restricting the Growth of the Market.

The rising usage of the automatic identification system across the vessels is generating a huge amount of data to be stored in the computer systems. The vessels are generating a tremendous amount of signals refreshing every second. And with each vessel, the data generated from the automatic identification system is also rising to store in the systems.

This restricts the system from storing massive amounts of data on the systems and thereby obstructing the growth of the automatic identification systems market. Also, the signals produced by various vessels at a specific bandwidth have started to crowd in the sea and near the ports, this is resulting in the disappearance of the vessel on the radar. This can cause major accidents and collisions in the sea and near ports. These factors are restricting the growth of the automatic identification system market.

Class Analysis

Class A dominates the Class Segment in the Automatic Identification System Market.

Automatic Identification System is Classified on the basis of class, like class A, class B, and AIS base station. From these classes, class A of the automatic identification system leads the market by accounting for a major revenue share in the market. The growth of class A is attributed to the strict implementation of class A of the automatic identification system by the International Maritime Organization (IMO).

According to the rules of IMO, vessels of 300 gross tonnages and more were allowed to engage in the voyage, while vessels with 500 gross tonnages and more were not allowed on international voyages. The increasing maritime trade across the world is boosting the growth of the class A automatic identification system.

Also the class B automatic identification system is also anticipated to grow at moderately during the forecast period. Class B of AIS includes small commercial vessels and recreational vessels. With rising trading activities, the class B AIS is also expected to grow during the forecast period.

Platform Analysis

Vessel-Based Automatic Identification Systems Dominate Over the On-Shore based AIS.

By platform, the automatic identification system is divided into vessel-based and on-shore platforms. Out of these platforms, the vessel-based platform is anticipated to grow at a significant CAGR over the forecast period. The growth of the vessel-based automatic identification system is due to the increased maritime and naval trading activities across the globe.

With increasing trade across the countries through maritime and naval routes, the adoption of the automatic identification system on the ships has also increased. Also, the development of autonomous ships has built-in automatic identification systems in the vessels. These factors are boosting the growth of the on-vessel automatic identification system.

Note: Actual Numbers Might Vary In The Final Report

Application Analysis

Vessel Tracking Leads the Application Segment in the Automatic Identification System Market.

The automatic identification system is classified on the basis of applications like vessel tracking, fleet management, maritime security, and other applications. Among these applications, vessel tracking leads the application segment in the automatic identification system.

The vessel tracking is mostly done by the use of the automatic identification system in most of the vessels. The main purpose of vessel tracking is to track the activity of the vessel at every movement and ensure the safety and security of the vessel by guiding the vessel through proper routes and warning about the nearby vessel.

The borderline traffic control authorities mostly use the AIS for traffic control of the vessels. These factors are driving the growth of vessel tracking in the application segment of the automatic identification system market. Also, the rising security and safety concerns for maritime trading vessels are increasing the demand for automatic identification systems for maritime security purposes. Due to this, the maritime security segment is anticipated to grow at a high rate during the forecast period.

Market Key Segments

Class

• Class A
• Class B
• AIS Base stations

Platform

• Vessel based
• On-shore

Application

• Fleet Management
• Vessels Tracking
• Maritime Security
• Other Applications

Growth Opportunity

Innovations and Technological Developments in the Automatic Identification System Market are Expected to Create Many Opportunities in the Market.

The automatic identification systems based on tracking systems used by the vessels have rapidly developed in the last few years. Many companies and businesses are heavily investing in the innovation and development of upgraded versions of the automatic identification system. This is anticipated to create many lucrative opportunities in the automatic identification system market. Furthermore, the growth of autonomous vessels in the market is expected to create many opportunities in the global automatic identification systems market.

Latest Trends

Governments of Many Countries are Making it Mandatory to Adopt the AIS in the Vessels.

The increasing international maritime trade activities and expanding naval sector has led to a rise in the marine traffic in the sea and near the port. Due to this, the use of automatic identification systems has seen a significant rise in the last few years. The rising need for the security and safety of the vessels is also demanding the use of automatic identification systems. This has also driven the AIS market significantly.

Moreover, many governments have implemented strict rules and regulations related to sea vessels. Every vessel has to comply with the rules and regulations set by the government of the region. Many governments have made it mandatory to integrate the automatic identification system in the vessels to ensure the safety and security of the vessel and to keep track of the vessel. These factors are fueling the growth of the automatic identification system market.

Regional Analysis

Asia Pacific Dominates the Automatic Identification System Market.

Asia Pacific leads the automatic identification system market by accounting for a major revenue share of 32.6%. The domination of the Asia Pacific region in the global automatic identification system market is attributed to the presence of a major exporting country like China. China exports most of its goods and services across the world.

Therefore, the shipping industry of China is one of the biggest in the world. The well-developed shipbuilding industry in the Asia Pacific region and especially in the country like China increasing the use of automatic identification systems in the region. These factors are boosting the growth of the Asia Pacific region in the global automatic identification system.

After Asia Pacific, the Europe region is anticipated to grow significantly in the global automatic identification system market during the forecast period. The growth of the Europe region is owing to the increasing investments in the innovation and development of ship projects.

The rising seaborne trade activities have also increased the demand for more ships in the market. And with the increasing demand for ships, the adoption of automatic identification systems has also increased. These factors are driving the growth of the Europe region in the automatic identification system.

Note: Actual Numbers Might Vary In The Final Report

Key Regions and Countries Covered in this Report:

• North America
  • The US
  • Canada
  • Mexico
• Western Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Portugal
  • Ireland
  • Austria
  • Switzerland
  • Benelux
  • Nordic
  • Rest of Western Europe
• Eastern Europe
  • Russia
  • Poland
  • The Czech Republic
  • Greece
  • Rest of Eastern Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Australia & New Zealand
  • Indonesia
  • Malaysia
  • Philippines
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Colombia
  • Chile
  • Argentina
  • Costa Rica
  • Rest of Latin America
• Middle East & Africa
  • Algeria
  • Egypt
  • Israel
  • Kuwait
  • Nigeria
  • Saudi Arabia
  • South Africa
  • Turkey
  • United Arab Emirates
  • Rest of MEA

Market Share and Key Player Analysis

Many key companies in the automatic identification system market are focusing on adopting the strategies like partnership, collaboration, mergers, and acquisition to expand the business across various regions in the global market. Some of the key players in the automatic identification system market are Furuno Electric Co. Ltd, Saab AB, Japan Radio Co. Ltd., ExactEarth Ltd, C.N.S. Systems AB, True Heading AB, ComNav Marine Ltd, Kongsberg Gruppen ASA, Garmin Ltd, L3 Technologies Inc., Orbcomm Inc., and other key players.

Top Key Players in Automation Identification System Market:

• Furuno Electric Co. Ltd
• Japan Radio Co. Ltd.
• Saab AB
• ExactEarth Ltd
• True Heading AB
• C.N.S. Systems AB
• ComNav Marine Ltd.
• Garmin Ltd
• Kongsberg Gruppen ASA
• L3 Technologies Inc.
• Orbcomm Inc.
• Other Key Players

Recent Developments

• In September 2021, Spire Global acquired ExactEarth Ltd for USD 161.2 million. After the completion of the deal, ExactEarth will be fully owned by Spire Global.
• In August 2022, Saab AB received the order for production of the Advanced Training Aircraft Fuselage Systems.

Report Scope