Report Overview :
A number of companies are currently exploring the usage of UAVs (UAVs) for commercial and military purposes. UAVs with cameras are being deployed to inspect oil rigs, monitor agriculture fields and mines, and check on telecom towers.
Of late, next-generation industrial UAVs are being dispatched to deliver packages, or support search and rescue operations. An industrial UAV is an essential tool, integrated with data gathering capabilities and almost unlimited mobility. Furthermore, companies such as Uber and Amazon are planning to use UAVs to improve their market position in transportation and ecommerce industry, respectively. As UAV adoption accelerates, the value will quickly shift from UAV makers to the providers of UAV-related services. This would significantly boost the market growth across the globe.
After various successful applications and over a period of growth and innovations in the military segment, there have been a significant shift and increase of market dynamics towards the wider use of UAVs in the commercial sector.
Government agencies, industries, and other organizations are all actively gauging the prospect for UAVs to create new and innovative business models. For instance, in 2016, the Federal Aviation Administration (FAA) registered nearly 300,000 UAV owners within the first month after it opened its registration site.
UAVs nowadays find application in various sectors, including but not limited to agriculture, disaster response, real estate, education, meteorology, tourism, utilities, construction & mining, maritime, and media. Moreover, companies such as Amazon, UPS, and Google are experimenting with UAVs for home delivery of goods. Of late, UAVs are being largely used in various industrial applications, including aviation, construction, mining, oil & gas, telecom, and logistics.
The use of UAVs is driven by their benefits over their conventional manual inspection counterparts. With the rapid advances in technologies, UAVs can detect edge erosion and blade defects of a wind turbine and inspect turbine blade lightning receptors, towers, and nacelles.
Although the UAVs have a number of advantages, these unmanned systems are susceptible to cyberattacks, which can become a potential threat to the market growth. UAVs are vulnerable to hacking because they use unencrypted global positioning system information for navigation. These UAVs are remotely-controlled and are reliant on external wireless signals. The programming languages used are known to have vulnerabilities, which makes the software easier for hackers and engineers to crack.
The global UAV market has been segmented by type, application, component, and region. Based on type, the UAV market is divided into fixed wing and multi rotor UAVs.
In 2017, the fixed wing segment accounted for the largest market share and it is also expected to witness the fastest market growth, during the forecast period. Based on application, the UAV market is divided into military and commercial.
In 2017, the military segment accounted for the largest market share and it is expected that the commercial segment would witness the fastest market growth, during the forecast period. Based on component, the UAV market is divided into payload, airframe, guidance navigation & control, and propulsion system.
In 2017, the airframe segment accounted for the largest market share and it is expected that the payload segment would witness the fastest market growth, during the forecast period.
On the basis of region, the global UAV market has also been segmented into five regions, namely, North America, Europe, Asia-Pacific, Middle East & Africa, and Latin America. North America had the largest share of the market in 2017, primarily due to the presence of the major companies such as AeroVironment, Inc. and PrecisionHawk combined with the availability of sophisticated technologies to deliver innovative solutions, in the region.
The region leads the global market in terms of expenditure and technological advancements and has a large number of deployments of UAVs. The US generates a very high demand for UAVs used for surveillance purposes. Although Canada made some considerable investments in the development of UAVs, the market is primarily dominated by the US, which is also the largest manufacturer of unmanned systems, globally. Therefore, the global UAV market is expected to grow at approximately CAGR more than 20% during the period 2018 to 2023.