Urban Air Mobility market seen reaching $30.7 billion by 2031

Allied Market Research says the urban air mobility market was worth $2.3 billion in 2021 and is projected to hit $30.7 billion by 2031, driven by eVTOL aircraft and use cases like air taxis and cargo. Asia-Pacific led the market in 2021, while intracity, autonomous and fixed-wing hybrid segments are expected to grow fastest.

Why it matters: - Urban air mobility could reshape short-haul transport by moving people and cargo faster than congested road systems. - The market’s projected rise to $30.7 billion by 2031 signals growing investor and manufacturer interest in eVTOL-based transport. - The technology is aimed at first-mile and last-mile connections, which could make it a practical add-on to existing transit networks. - Air taxis and other UAM vehicles may also reduce travel distance and improve sustainability compared with traditional urban transport.

What happened: - Allied Market Research valued the global urban air mobility market at $2.3 billion in 2021. - The firm projected the market will reach $30.7 billion by 2031, implying a 30.2% CAGR from 2022 to 2031. - The report was published June 5, 2026 and covers market trends, dynamics, regional outlook, investment opportunities and leading players. - The report is available through a sample PDF request.

The details: - Urban air mobility vehicles are designed to move passengers or cargo within urban areas using vertical takeoff and landing. - eVTOL development is a major demand driver because it has drawn attention from major market players in urban transportation. - High upfront investment remains a restraint because cities need suitable infrastructure for these vehicles. - Noise pollution is another challenge because the aircraft use rotary blades. - The market is segmented by platform, platform operations, range, platform architecture and region. - Platform segments include air taxis, air shuttles and air metro, personal air vehicles, cargo air vehicles, air ambulance and medical emergency vehicles, and last-mile delivery vehicles. - Platform operations are split into piloted and autonomous. - Range categories are intercity and intracity. - Platform architecture categories are rotary wing and fixed-wing hybrid. - Regional coverage includes North America, Europe, Asia-Pacific and LAMEA. - Key players profiled include Ehang, Lilium GmbH, Airbus, Wisk Aero LLC., Bell Textron, Volocopter GmbH, Workhorse Group Inc., Joby Aviation, Kitty Hawk and Archer Aviation. - The report says the Asia-Pacific market held the highest share in 2021 and is projected to keep that lead through the forecast period. - The report also says air taxis led the platform segment in 2021, while last-mile delivery vehicles are expected to grow fastest. - Piloted systems led platform operations in 2021, while autonomous systems are expected to grow fastest. - Intercity service led the range segment in 2021, while intracity service is expected to post the fastest growth. - Rotary wing platforms led the architecture segment in 2021, while fixed-wing hybrid platforms are expected to grow fastest. - The report includes Porter’s five forces analysis and a look at competitive pressures, buyer and supplier power, threats from new entrants and substitutes. - Buyers can access the report through a purchase page or send an inquiry before buying.

Between the lines: - The report points to a market still early in buildout, with growth driven by aircraft innovation but constrained by infrastructure and operating costs. - The strongest near-term use cases appear to be air taxis and delivery, which suggests the commercial path may start with specific urban routes rather than broad adoption. - Asia-Pacific’s lead suggests the region may be moving faster on adoption, regulation or ecosystem readiness than other markets, though the report does not isolate the reason.

What’s next: - Volocopter plans to introduce air taxis in Singapore in 2024, according to the report. - Fast growth is expected in autonomous systems, intracity travel, last-mile delivery vehicles and fixed-wing hybrid platforms. - The market’s next phase will likely depend on how quickly cities and operators can fund infrastructure and scale safe operations.

The bottom line: - Urban air mobility is moving from concept to market, but the biggest growth opportunity sits alongside the biggest hurdles: infrastructure, cost and urban acceptance.