"Smart Market Solutions to Help Your Business Gain Edge over Competitors"
The global drone services market size was valued at USD 9.56 billion in 2021 and is projected to grow from USD 13.48 billion in 2022 to USD 232.8 billion by 2029, exhibiting a CAGR of 42.78% during the forecast period. The global COVID-19 pandemic has been unprecedented and staggering, with drone services experiencing higher-than-anticipated anticipated demand across all regions compared to pre-pandemic levels. Based on our analysis, the global market exhibited a rise of 41.27% in 2020 compared to 2019.
Unmanned aircraft systems (often referred to as drones or UAV services) offer a variety of functions, such as environmental monitoring, surveillance, mapping, agriculture, aerial photography, and more. The increasing use of commercial drones in numerous sectors has increased the services sector worldwide.
Rising Demand for Delivery Drones in Healthcare Sector amid Covid-19 to Boost Growth
The recent COVID-19 pandemic situation has positively impacted the worldwide drone services industry. The impact of the pandemic leads to severe disruption in the transportation and logistics ecosystem. Thus, as the drone can deliver goods and services at remote locations without human intervention, it has created a new opportunity in the transportation industry. For instance, in July 2022, the world's leading online retailer Amazon is setting the plans for Air Program. In this program, Amazon uses drones as automated flying machines to deliver customers' packages.
According to a UNICEF report, eighteen countries developed drone delivery and transportation during the pandemic. Moreover, many countries such as Ghana, Malawi, and Rwanda use drones to deliver services, medical commodities, and medical samples.
Demand for Surveillance Drones near Borders is Bolstering the Market Growth
In the ongoing war between Ukraine and Russia, many countries dependent on Russia and Ukraine for defense supplies have started focusing on self-reliance in defense. Drones have played a significant role in the conflict between Ukraine and Russia. The market has positively impacted local European players.
The demand for surveillance drones is increasing for border surveillance, gathering data acquisition, and analytics purposes. Due to these factors, the use of drones has increased tremendously in all regions. In addition, the use of Unmanned Aerial Vehicles (UAVs) is significantly growing due to war situations in both countries. Ukrainian and Russian forces have used these vehicles for their two main traditional tasks: intelligence gathering and ground combat and Intelligence, surveillance, and reconnaissance (ISR) platforms.
Request a Free sample to learn more about this report.
High Demand for Delivery Drones from Emergency Medical Service Application Would Propel the Adoption of Drones Globally
Artificial intelligence (AI) software enhances unmanned aerial system performance overall. UUVs could previously only display what their cameras had recorded. AI software development, drones are now helpful for object monitoring, area mapping, and real-time analytical input.
Drones are utilized for various tasks, including delivering packages in the postal service and food delivery industry and transporting medical supplies such as vaccines, medications, and medical samples.
In October 2020, Zipline, a firm, had flown more than 70,000 medical deliveries. This firm is involved in delivering medical supplies, and personal protective equipment (PPE), during the COVID-19 pandemic, specifically in the countries such as Israel and the U.S.
Matternet, an urban drone logistics platform, unveiled its new Matternet station in March 2020. It enables hospitals and supply partners to integrate automated drone delivery laboratories and pharmacy operations, collaborating with Matternet's autonomous M2 drone and cloud platform systems.
Increasing Adoption of Drone Services In the Agricultural Sector to Drive Market Growth
The drone is used for various business purposes, including agricultural transportation, environmental mapping, aerial photography, and videography. Drones boost productivity and enhance farming methods. The growing need for precision farming is causing the industry to expand and increase the drone services market growth. Precision farming may multiply crop productivity.
Drone OEMs fund research and development to create thermal cameras, multispectral sensors, and LiDAR aiming to increase the effectiveness of drones. The drones fly at a predetermined altitude with sensors to produce analytical data.
Furthermore, the Indian Union Ministry of Agriculture and Farmers Welfare released rules in January 2022 to lower the cost of drone technology for farmers. As a result of the amendment, farmer-producer organizations (FPOs) will be qualified to receive funds for up to 75% of the cost of agricultural drones for use in field demonstrations.
Rising Demand for Application Aerial Photography and 3D Scanning in Building Information Modeling (BIM) Aid Growth
Due to the wide availability of inexpensive drones, photography has become famous for many applications using high-resolution cameras due to the high availability of low-cost drones. Aerial photography provides broader approaches to large township projects, multi-story building projects, and innovative city projects. In addition, mini drones are becoming popular in wedding photography and videography for making blogs and nature videography purposes. The demand is also increasing in the real estate and infrastructure industry. Thus, the rising demand for drones in multiple photography and videography is driving the market growth.
Safety Concerns by the Regulatory Bodies Affecting the Demand for Drone Services
UAV services are subject to rules and regulations by different countries for drone platforms to prevent privacy breaches and some safety concerns, thereby restraining market growth.
Similarly, the Indian government has put rigorous regulations into place for services. A few principles are drone pilots must request authorization to fly before every flight via a smartphone app, which will automatically process the request and approve or reject it. India refers to its policy as No Permission, No Takeoff (NPNT). A drone pilot needs permission to fly a drone from the DigitalSky platform.
Through India's DigitalSky platform, all drone operators in the country must register their aircraft and submit a flying authorization request for each flight. In December 2018, the Directorate General of Civil Aviation (DGCA) initiated the DigitalSky platform for drone licensing.
To know how our report can help streamline your business, Speak to Analyst
Drone MRO Services Segment in Increasing Due to Increasing Demand of Drones Worldwide to Lead the Global Market
Based on the service type segment, this market is divided into drone platform services, drone MRO services, and drone training and simulation services.
Drone MRO services are likely to dominate due to the rising adoption of airline services for drone-based inspection systems. The increasing adoption of drones in various specific industries, applications, developments, and technological advancements in drones are major factors driving drone training and simulation services growth. However, the lack of trained operators is restraining the market growth.
The drone platform services segment is expected to grow at the highest CAGR during the forecast period due to the high adoption of data collection in various commercial domains.
Aerial Photography Segment to Dominate Backed by Robust Demand for Aerial Imaging
Based on the application segment, this market is divided into aerial photography, product delivery, surveillance and inspections, data acquisition and analytics, and others.
The increasing use of drones for aerial photography and videography boosts the market growth. In addition, the availability of low-cost drones with exceptional features such as high-definition cameras and low weight and size, along with portability features, causes the adoption of drones by professional photographers and videographers, media entertainment, and filmmakers will propel the market growth.
The rising conflict between the Russia-Ukraine war aid the market growth of drone services. Drones are used in both countries for surveillance and inspection near borders to monitor the enemy's movement. This factor will facilitate the growth of local drone-based companies in the European region.
Agriculture Segment to Grow Backed by Rising Applications in Large Countries
Based on end-use, the industry is classified into agriculture, infrastructure, oil & gas, logistics, and others.
The agriculture segment is expected to grow significantly during the forecast period. The rising demand for UAV services for vegetables, fruits, legumes, and grains in major countries such as India and China will aid this market’s growth. The growing need for precision farming is causing the industry to expand its market growth. Moreover, drones in agriculture are creating new possibilities for improved crop yield for better farming options with real-time information access. Drones boost productivity and enhance farming methods, thus aiding market growth in the forecast period.
North America Drone Services Market Size, 2021 (USD Billion)
To get more information on the regional analysis of this market, Request a Free sample
The consolidated regional market is classified into North America, Asia Pacific, Europe, the Middle East, and the Rest of the World.
North America dominated the market in 2021. The U.S. had the highest defense budget in 2021. The rise in the adoption of drone services and the presence of key drone manufacturers in the U.S. is anticipated fuel market growth in North America. According to the Federal Aviation Administration (FAA), 872,694 drones were registered in the U.S. in May 2021.
Asia-Pacific has the highest drone services market share and is anticipated to grow at the highest CAGR through the forecast period. The growth is attributed to rising investments by the government and OEMs in drone services. The countries in APAC, such as China and Japan, have the presence of large drone service providers.
The market in Europe is anticipated to grow during the forecast period. The increasing use of drones for various applications across Germany, France, and the U.K. is predicted to support the market growth in Europe during the forecast period.
The market in the Middle East is projected to grow during the forecast period owing to the increasing application of UAV services in the oil & gas industry are expected to be the major driving force for the market. Moreover, factors such as cost-effectiveness and efficient inspection and monitoring methods are expected to help drive the market for UAV services in the region.
The Rest of the World’s market is anticipated to display significant growth owing to increase global automation services in Brazil and African countries.
Leading Players Are Adopting Various Strategies to Gain Competitive Edge
The competitive landscape of the market depicts the domination of top players such as Terra Drones, Cyberhawk, and others. Key players focus on growing investment in research and development, a diversified product portfolio of drone services solutions, and strategic acquisition. These companies focus on business expansion strategies such as agreements, mergers and acquisitions, product- folio expansion, and long-term contracts with multinational companies.
An Infographic Representation of Drone Services Market
To get information on various segments, share your queries with us
The global drone services market research report provides a detailed analysis of the market and focuses on key aspects such as key players, offerings, objects, and end-user of drone services. Moreover, the research report offers insights on market trends, competitive landscape, market competition, product pricing, regional analysis, market players, competition landscape, and the market status and highlights key industry developments. In addition to the factors mentioned above, the market report encompasses several direct and indirect factors that have contributed to the sizing of the global market over recent years.
ATTRIBUTE | DETAILS |
Study Period | 2018-2029 |
CAGR | 42.78% (2022-2029) |
Revenue Forecast in 2029 | USD 232.8 Billion |
Base Year | 2021 |
Estimated Year | 2022 |
Forecast Period | 2022-2029 |
Historical Period | 2018-2020 |
Unit | Value (USD billion) |
Segmentation | By Service Type
|
By Application
| |
By End-Use Industry
| |
By Geography
|
Fortune Business Insights says that the global market size was USD 9.56 billion in 2021 and is projected to reach USD 232.8 billion by 2029.
Registering a CAGR of 42.78%, the market will exhibit steady growth in the forecast period (2022-2029).
During the forecast, the segment is expected to be the leading segment in this market.
Ageagle Aerial Systems Inc. is the leading player in the global market.
North America dominated the market in terms of share in 2021
Related Reports