The Global Market for Commercial Drones is Projected to Reach US$1.8 Billion by 2020

Growing Focus On Managing Risk with Drones Drives Growth in the Commercial Drones Market, According to a New Report by Global Industry Analysts, Inc.

GIA launches comprehensive analysis of industry segments, trends, growth drivers, market share, size and demand forecasts on the global Commercial Drones market. The global market for Commercial Drones is projected to reach US$1.8 billion by 2020, driven by the expanding use of unmanned aerial vehicles (UAVs) in executing high-risk tasks, and the growing prominence of drones-as-a-service.

Unmanned Aerial Vehicles (UAVs) have been a major force in military applications and battlefield scenarios. In the past decade, UAVs have gradually transitioned from being expensive systems used solely by military agencies to an easily accessible commodity, opening up a slew of opportunities in the commercial space. Improved maneuverability and reduced capital costs are positioning drones as an ideal alternative to humans and conventional manned aircraft, particularly for tasks in remote locations and high-risk scenarios. Given their low operational costs, drones are emerging as ideal technologies for use in a range of non-military applications such as video/film making, aerial surveying, surveillance, mapping, and environmental monitoring, as well as for humanitarian activities.

In the coming years, growth in the market will be driven by expanding applications, especially in law enforcement and agriculture sectors. Increasing demand for better aerial imagery, rising demand for remote sensing and air surveillances and the advent of advanced sensors and faster computing capabilities are driving use of UAVs in commercial applications. Technology maturity and falling prices of these systems are expanding market opportunities into a wide range of commercial applications. Technology advancements, over the years, have facilitated significant improvements in the accessibility and ease-of-use associated with drones, while costs have reduced substantially. New generation drones have better navigational capabilities, can carry increased and diverse payloads, undertake longer duration flights, and ensure softer landings. Design improvements and enhanced data processing capabilities enabled by technological developments are stimulating market growth. Specifically, there are strong growth opportunities for drones in high-value markets including non-audiovisual applications such as agriculture, surveillance and inspection.

The growth of civilian and commercial drones is however bringing forth a new set of risks, due to the largely undeveloped or underdeveloped regulatory landscape in most countries. With the number of drones flying in the less than 500 ft altitude airspace expected to increase over the coming years, aviation regulatory agencies, national and international are struggling to find a middle ground between supporting integration of drone technology into airspace and ensuring safety of property as well as human life. Commercial and civilian drones market also faces risk of liabilities related to drone use in crowded spaces, while shortage of skilled drone operators, lack of adequate testing evidence supporting capabilities of drones, and privacy and safety concerns are hampering adoption in commercial sectors.

As stated by the new market research report on Commercial Drones, the United States represents the largest market worldwide. The U.S. Federal Aviation Administration (FAA) is currently involved in finalizing regulations which allow drones with less than 55 pounds weight to be operated. Europe is poised to grow at the fastest CAGR of 36% over the analysis period, led by relaxation in regulatory landscape and expanding applications in agricultural and law enforcement sectors.

Major players covered in the report include 3D Robotics Inc., AeroVironment Inc., Agribotix, LLC, Airware, Cyberhawk Innovations Ltd., CyPhy Works Inc., Draganfly Innovations Inc., DroneDeploy , Drone Aviation Holding Corporation, EHang Inc., Lockheed Martin Corporation, Parrot SA, PrecisionHawk, Skycatch Inc., SZ DJI Technology Co. Ltd., Trimble Navigation Limited, XAIRCRAFT Technology Co. Ltd., and Yuneec International Co., Ltd., among others.

The research report titled “Commercial Drones: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, mergers, acquisitions and other strategic industry activities of global companies. The report provides market estimates and projections in US$ Thousand for all major geographic markets such as US, Canada, Japan, Europe (France, Germany, Italy, UK, Russia and Rest of Europe), Asia-Pacific, and Rest of World.

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