Accelerating tech advances and investment could create a $1.5 trillion autonomous urban aircraft market by 2040, reveals Morgan Stanley research.
While it’s still early days for urban air mobility, thanks to the likes of battery technology, processing, computing power and overlaps with eVTOL aircraft manufacturing, the latest blue paper by Morgan Stanley says autonomous aircrafts could be common place come 2040.
Head of Morgan Stanley's Global Auto and Shared Mobility research team Adam Jonas says the intersection of technologies, such as ultra-efficient batteries, autonomous systems, and advanced manufacturing processes are “spawning a flurry of activity” in the sector.
“Urban air mobility represents business opportunities within infrastructure, fleet management, software, hardware and content, much like the opportunity for autonomous vehicles," Jonas said.
“We see the development of the urban air mobility ecosystem as extremely long-dated, with up-front capital allocation, testing, and development in the short term.”
Mark my words, a combination airplane and motorcar is comingAutomaker Henry Ford said in 1940.
The research note says flying cars could gain market share from cars, planes and public transportation.
“However, it could also open up a whole new world of business across multiple sectors,” the report says.
“In its base case, these opportunities point to a total addressable market of $1.5 trillion by 2040.
“A more bullish forecast places the market at $2.9 trillion.”
Last year ride sharing giant Uber unveiled its latest flying car prototype at the Uber Elevate Summit in Los Angeles, announcing plans it was looking to launch its “flying taxi” service by 2023.
While German aviation startup Volocopter expanded into Singapore, announcing plans it would undertake a series of flight tests in the city set to commence in the second half of this year.