Advanced Air Mobility Market Report 2026

The advanced air mobility market size has grown exponentially in recent years. It will grow from $11.6 billion in 2025 to $13.99 billion in 2026 at a compound annual growth rate (CAGR) of 20.5%. The growth in the historic period can be attributed to drone technology advancements, urban congestion challenges, early pilot aam projects, venture capital investments, aerospace innovation.

The advanced air mobility market size is expected to see exponential growth in the next few years. It will grow to $29.68 billion in 2030 at a compound annual growth rate (CAGR) of 20.7%. The growth in the forecast period can be attributed to acceleration of urban air mobility regulations, electric propulsion adoption, autonomous navigation development, smart city airspace planning, commercialization of air taxis. Major trends in the forecast period include growth of urban air taxi programs, development of autonomous flight systems, expansion of electric vtol platforms, integration with air traffic management, rising investment in aam infrastructure.

The rising urbanization and traffic congestion in major cities are expected to drive the growth of the advanced air mobility market in the coming years. Urbanization and traffic congestion refer to the growing population in urban areas, resulting in crowded roads and increased vehicle traffic. These trends are driven by factors such as population growth, economic development, limited public transportation infrastructure, and higher private vehicle ownership. Advanced air mobility offers a solution by providing efficient, on-demand air transportation, reducing dependence on ground-based vehicles. For example, in April 2025, according to the US Census Bureau, the population in the nation’s 387 metro areas increased by nearly 3.2 million (1.1%) between 2023 and 2024, slightly exceeding overall US population growth (1%). Therefore, increasing urbanization and traffic congestion are propelling the advanced air mobility market.

Key companies in the advanced air mobility market are leveraging innovative solutions such as urban air-traffic management (UATM) systems to ensure safe, efficient, and coordinated operations of air vehicles in congested urban environments. Urban air-traffic management systems are digital platforms that coordinate and control the movement of advanced air mobility vehicles, including drones and eVTOL aircraft, within urban airspace. They optimize flight routes, prevent collisions, manage air traffic, and ensure safe and efficient operations in densely populated areas. For instance, in May 2025, JetSetGo, an India-based private jet and helicopter charter company, launched Air Mobility India, a platform dedicated to advanced air mobility. The platform is built around four core pillars, offering a comprehensive resource hub for AAM-related news, blogs, and global content. It also plans to introduce a video library and an AI assistant named “Ami” to guide users, collect interaction data, and predict user needs. Unique features include fostering community discussions focused on local priorities, such as improving medical transport in remote areas and reducing commute times in metropolitan hubs, supporting India’s leadership in sustainable air mobility solutions.

In July 2023, Ampaire, a US-based aviation and aerospace equipment manufacturer, acquired Talyn Air for an undisclosed sum. This acquisition is part of Ampaire’s strategy to strengthen its position in aviation electrification, foster profitable growth, and expand into related sectors such as defense, drones, and electric vertical take-off and landing (eVTOL) technology. Talyn Air, a US-based company, develops advanced air mobility solutions, including eVTOL aircraft systems.

Major companies operating in the advanced air mobility market report include The Boeing Company, Airbus SE, Honeywell International Inc., Bell Textron Inc., Bristow Group Inc., Joby Aviation, Archer Aviation Inc., Lilium GmbH, Volocopter GmbH, Aurora Flight Sciences Corporation, Eve Air Mobility Inc., Wisk Aero LLC, Vertical Aerospace Ltd, Elroy Air Inc., Opener Inc., Urban Aeronautics Ltd, EHang Holdings Limited, Workhorse Group Inc., Pipistrel Co, The Helicopter Company.

Europe was the largest region in the advanced air mobility market in 2025. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the advanced air mobility market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the advanced air mobility market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The advanced air mobility market consists of sales of electric vertical takeoff and landing (eVTOL) aircraft, autonomous aerial vehicles, air traffic management systems, batteries, and electric propulsion systems. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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