Connected Ship - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2025 - 2030)

Connected Ship Market Analysis

The Connected Ship Market size is estimated at USD 3.80 billion in 2025, and is expected to reach USD 6.64 billion by 2030, at a CAGR of 11.80% during the forecast period (2025-2030).

Rising enforcement of International Maritime Organization requirements for e-navigation and carbon intensity reporting has moved data connectivity from an optional add-on to an operational prerequisite. Commercial fleet owners are digitizing operations to trim fuel use, cut emissions, and maintain compliance, while defense agencies accelerate adoption for situational awareness and crew welfare. Satellite innovations, especially Low Earth Orbit constellations, have slashed bandwidth costs, widening access for small operators. Supply-chain shocks in 2024 exposed hardware vulnerabilities and prompted manufacturers to seek near-shore production, yet regulatory certainty and maturing technology continue to reinforce demand across all vessel classes.

Global Connected Ship Market Trends and Insights

IMO e-navigation and CII mandates

Continuous data reporting now replaces periodic logs, forcing vessels to integrate real-time connectivity that links bridge, engine room, and shore offices. The Maritime Single Window, live since January 2024, obliges ports to accept standardized electronic submissions, which raises baseline connectivity requirements worldwide. New S-100 hydrographic standards, operational from 2025, add granular bathymetric layers that feed digital twins used for autonomous navigation. The revised International Maritime Organization strategy targets a 40% cut in CO₂ intensity by 2030, so ship owners equip sensors that validate progress and avoid penalties.Electronic certificates for seafarers, adopted in 2025, further digitize crew management and reduce administrative lags.

Growing incorporation of ICT and IoT on board

Fleet managers now deploy thousands of low-power sensors that feed predictive analytics engines, allowing maintenance teams to fix components before failure. Maersk’s collaboration with Onomondo connects containers through global cellular and satellite links, showing how large carriers exploit IoT to raise schedule reliability. NB-IoT and BLE Mesh devices track humidity, vibration, and shock inside boxes, creating continuous end-to-end cargo visibility. Edge computing modules process data locally to lower satellite bandwidth use and preserve latency-sensitive functions. Port operators in South Korea and Japan support ship-to-shore 5 G networks that backhaul the data once vessels berth, closing the information loop.

High CAPEX / OPEX of broadband connectivity

Hardware, installation, airtime, and crew training together stretch shipowner budgets, especially for smaller tramp operators. The United States Coast Guard cyber rules add USD 138.7 million per year in compliance costs, raising the hurdle for digital upgrades. Semiconductor scarcity lifted electronics pricing throughout 2024, and tariffs on Chinese components added a further 25% to production costs. Many owners delay line-fit projects until vessels dry-dock to minimize downtime, yet this approach prolongs payback periods. Leasing models and bandwidth-as-a-service plans are emerging to ease capital strain, though adoption remains cautious.

Other drivers and restraints analyzed in the detailed report include:

1. Rapid roll-out of LEO constellations
2. Carbon-intensity targets driving data-driven voyage optimization
3. Escalating cyber-risk and insurance premiums

For complete list of drivers and restraints, kindly check the Table Of Contents.

Segment Analysis

The commercial segment generated 85% of the connected ship market revenue in 2024, reflecting the sheer number of merchant hulls and rising regulatory compliance costs. The connected ship market size for commercial vessels is projected to grow at an 11.4% CAGR, underpinning investments in fuel optimisation, cargo visibility, and crew connectivity. Defense applications are expanding at 13.5% CAGR as navies pursue autonomous patrol craft, secure communications, and integrated battlespace awareness. Growing geopolitical tensions and joint exercises in the Indo-Pacific further drive defense demand, yet budget cycles introduce procurement delays that temper near-term volumes. Commercial carriers look to defense innovations—such as mesh networking and hardened cybersecurity—for cost-effective civilian spin-offs.

Fleet digitization in the commercial arena anchors financial return on investment through lower fuel burn and port call efficiency. Meanwhile, defense buyers value redundant satcom links and electromagnetic resilience over bandwidth price, a distinction that shapes vendor roadmaps. As software-defined radios shrink in size and cost, cross-segment platforms emerge that serve merchants, coast guard, and naval customers with minimal hardware variance. The convergence shortens development cycles and spreads R&D cost across a wider volume base, reinforcing incumbent yet open niches for specialized cybersecurity vendors.

The Connected Ship Market is Segmented by Ship Type (Commercial, Defence, and Coast-Guard), by Application Type (Vessel Traffic Management, Fleet Operations, Fleet Health Monitoring), by Fit (Line Fit, Retrofit), and Geography.

Geography Analysis

Asia Pacific leads global adoption with 35% connected ship market share in 2024 and a 21.6% growth trajectory to 2030. China’s green shipbuilding action plan, targeting 50% share in zero-carbon vessels by 2025, pushes yards to integrate digital systems that monitor fuel cells, batteries, and alternative fuels. Japan’s Society 5.0 program funds research on ship-to-shore data exchange and maritime autonomous surface ships, reinforcing domestic demand. South Korea’s export credit support encourages fleets to specify high-bandwidth satcom during newbuild tenders, ensuring early migration to LEO-enabled hybrid networks.

North America ranks second by revenue, driven by strict cybersecurity regulations and high labor costs that make predictive maintenance attractive. The United States Coast Guard mandate, effective July 2025, accelerates cyber-secure retrofits on Jones Act fleets, while offshore energy operators view connected drilling vessels as essential for safety and uptime. Canadian operators leverage connectivity to comply with Arctic voyage reporting and to enable remote technical assistance amid sparse shore infrastructure.

Europe commands mature adoption levels but remains growth-relevant due to environmental legislation. FuelEU Maritime and inclusion of shipping in the EU Emissions Trading System demand granular data reporting that only connected platforms can deliver. Ports across Scandinavia, the Netherlands, and Spain now offer reduced harbour dues for digitally verified carbon reductions, reinforcing the business case. Intra-EU short-sea operators invest in low-power terminals paired with cellular backhaul to maintain constant data flow even within coastal zones. Together, these factors underpin steady European fleet conversions through 2030.

List of Companies Covered in this Report:

1. Northrop Grumman Corp.
2. General Electric Co.
3. Wärtsilä Oyj Abp
4. Kongsberg Gruppen ASA
5. Marlink AS
6. Synectics Ltd.
7. Atos SE
8. Inmarsat (Viasat)
9. Iridium Communications
10. Navis (Navis LLC)
11. DNV (Veracity)
12. ABS Wavesight
13. ABB Marine and Ports
14. Thales Group
15. Cobham Satcom
16. KVH Industries
17. Furuno Electric
18. Samsung Heavy Industries
19. Raytheon Technologies
20. Starlink (SpaceX)
21. OneWeb (Eutelsat)

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support