The Unmanned Aerial Vehicle Market is estimated to be valued at US$ 56.81 Billion in 2031

A newly published report by Coherent Market Insights reveals a sustainable growth opportunity in the unmanned aerial vehicle market. Coherent Market Insights’ analyst projected the global the unmanned aerial vehicle market to be valued at US$ 56.81 Bn in 2031. It is expected to exhibit a CAGR of 10.4% over the forecast period 2024-2031.

The increasing adoption of UAVs in military applications for reconnaissance, surveillance, and combat support drives the market. UAVs are a cost-effective solution compared to manned aircrafts for such applications.

This trend of increasing commercial use of UAVs in sectors such as agriculture, insurance, energy, and delivery further fuels the market growth. UAVs can help in yield monitoring, crop health analysis, and precise application of fertilizers and pesticides in agriculture.

Key market trends include: The unmanned aerial vehicle market trend is growing at a rapid pace with advanced UAV systems that are embedded with Artificial Intelligence (AI) and Internet of Things (IoT) technologies. AI-enabled UAVs integrated with advanced cameras and sensors help in inspecting critical infrastructure, surveillance, precision agriculture, and delivery services more efficiently.

In addition, there is an emerging trend in the development of lightweight UAVs based on carbon composites and plastics for military as well as commercial applications. The lightweight drones are characterized by high strength-to-weight ratio and long flight range and duration.

Unmanned Aerial Vehicle Market Opportunities: Fixed wing drones are likely to capture the largest share of the unmanned aerial vehicle market in the forecast period. They are highly efficient for applications that require long flight times such as border surveillance, crop monitoring, pipeline inspection and aerial photography. Advancements in electric propulsion technologies are further enhancing the flight duration of fixed wing drones.

Less than 5KG Load Capacity Segment: Those drones with a less than 5KG load capacity are expected to dominate the unmanned aerial vehicle market. Such small drones are very cheap and can be operated by a single pilot easily. Being light in size, they can enter confined areas and do inspections inside. In addition, they create less noise and air pollution.

Key Market Takeaways: The global unmanned aerial vehicle market is anticipated to witness a CAGR of 10.4% during the forecast period 2024-2031. This is owing to advancements in artificial intelligence, connectivity and battery technologies.

On the basis of type, the fixed wing drone segment is expected to hold a dominant position. This is owing to their high flight endurance.

On the basis of load capacity, the <5KG segment is expected to hold the largest market share. This is due to their affordability and ease of use.

North America is expected to hold a dominant position over the forecast period. This is due to growing deployments of drones in industries like infrastructure inspection, emergency services and defense.

Competitor Insights: Key players operating in the unmanned aerial vehicle market include AeroVironment, Inc., Airbus SE, BAE Systems plc, Boeing Company, China Aerospace Science and Technology Corporation (CASC), DJI, Elbit Systems Ltd., General Atomics Aeronautical Systems, Inc.

Recent Developments: In March 2023, the United States Army awarded future tactical UAV contracts to five companies: AeroVironment, Griffon Aerospace, Northrop Grumman, Sierra Nevada Corporation, and Textron Systems. More information in full report