Airlines are increasing technology spending at record levels, but fragmented data systems remain a major obstacle to improving efficiency, resilience and on-time performance, according to SITA’s 2025 Air Transport IT Insights report.
Carriers invested $36 billion in IT in 2025, equal to 3.6% of revenue, as they looked to strengthen day-to-day operations and reduce the cost of disruption. With flight delays costing the industry an estimated $30 billion, the pressure to turn technology into measurable operational gains is especially acute for low-cost and regional airlines, where margins are tighter and schedule reliability is critical.
Data-driven decision-making is now a strategic priority for 83% of airlines, but nearly half of carriers (49%) say data integration remains the biggest barrier to achieving consistent real-time performance. That gap is especially relevant for smaller and point-to-point operators, which depend on fast turnaround, efficient aircraft utilisation and close coordination with airports and ground handlers.
Artificial intelligence is emerging as a key tool for airline operations, with 63% of carriers already using AI in operations control. Generative AI is now the top investment priority for 79% of airlines over the next 12 months, but adoption for cross-partner tasks, such as turnaround monitoring, remains low at 17%, suggesting that many airlines are still using AI mainly within their own systems rather than across the wider operation.
SITA chief executive David Lavorel said the industry’s central challenge is not a lack of technology, but a lack of connected data across systems and partners. “Where data does not flow freely across systems and partners, investment cannot fully deliver what it was designed to unlock,” he said.
Security, digital identity and sustainability are also moving up the agenda, but the same data-sharing problem continues to limit progress. For airlines, the message is clear: technology spending is rising, but the real competitive gain will come from linking systems well enough to improve punctuality, turnaround performance and operational control.
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