AP NEWS
ADVERTISEMENT
Press release content from NewMediaWire. The AP news staff was not involved in its creation.
PRESS RELEASE: Paid content from NewMediaWire
Press release content from NewMediaWire. The AP news staff was not involved in its creation.

Hocine Benaoum Discusses the Future of the Aviation Industry in 2021

January 4, 2021 GMT
Hocine Benaoum Discusses the Future of the Aviation Industry in 2021
Hocine Benaoum Discusses the Future of the Aviation Industry in 2021

Dallas, TX - ( NewMediaWire ) - January 04, 2021 - The aviation industry has gone through a tremendous amount of change over the last decade. Aviation industry expert Hocine Benaoum believes we’ll see just as much, if not more, change in the decade ahead. This is true in terms of both the industry makeup and the technologies used.

“Change is a constant,” Hocine Benaoum says. “Seventy years ago, commercial planes were a novelty for many. Now, millions and millions of people use airplanes each and every year. The planes we have now are far more efficient, comfortable, and safe than early airplanes. And forty years from now, planes are going to be far better.”

The COVID-19 pandemic remains the elephant in the room, especially for the aviation industry. The International Air Transport Aviation (IATA) has noted that the aviation industry struggled mightily in 2020. The IATA expects the challenges to continue into 2021.

“The COVID-19 pandemic shut down travel across the globe,” Hocine Benaoum points out. “Some airlines had been working on low profit margins for several years now. Financial constraints and collapsing revenue hit the industry hard in 2020. However, we might not feel the full pain of the shutdown until 2021 or beyond, especially if financial reserves and government support dry up.”

ADVERTISEMENT

The IATA reports an expected $118.5 billion net loss for 2020. In 2021, the net loss is projected to weigh in at $38.7 billion.

“Continued losses will lead to continued cost cutting. Airlines and other aviation companies may have to lay off more staff in 2021,” Hocine Benaoum says. “That may help some smaller companies as they’ll have a deeper talent pool to draw from. We may also see industry consolidation as companies pool resources.”

Hocine Benaoum Talks About Aviation Technology Evolution

While the COVID-19 pandemic may continue to disrupt the aviation industry, technologies will continue to advance. Hocine Benaoum believes that technological change will be essential for the aviation industry.

“Increased efficiency will allow the aviation industry to lower costs, which will make it easier for more people to travel,” Hocine Benaoum suggests.

ADVERTISEMENT

Another thing that could result in cost savings is the blockchain. This technology powers bitcoin and other cryptocurrencies. Blockchain experts working on a SITA Blockchain Alliance MRO Proof of Concept to track information, providing real-time status updates, chain of custody, and other information. On top of that, digital passports may help with pre-cleared bags and other hassles may be alleviated.

“The blockchain is a very interesting technology,” Hocine Benaoum says. “Sometimes, new techs are over-hyped. That said, I do believe this technology will play a role in the aviation industry of the future.”

Either way, digitization will also continue. Passengers may use digital passports, blockchain or not. Advanced processing, including for proof of COVID-19 vaccination, may come into play.

“Digitization will almost certainly play a major role in the aviation industry. Over time, it may reduce bottlenecks, lowering costs and making travel more convenient passengers,” Hocine Benaoum argues.