April 20, 2024
Small Uav Market

Small Uav Market is Estimated to Witness High Growth Owing to Advancements in Miniaturization of Sensors

The small UAV market has witnessed significant growth in recent years on account of advancements in miniaturization of components like sensors, batteries and processors. Small UAVs, also known as micro drones are unmanned aerial vehicles weighing less than 25 kilograms and with maximum dimension not exceeding 150 centimeters. They are powered by rechargeable lithium-polymer batteries and are portable, easy to launch and land. The small size and lightweight design of these drones enables applications in areas with limited space. Their usage has increased in commercial sectors such as agriculture, insurance, energy, infrastructure inspection and filming/photography.

The small UAV market is estimated to be valued at US$ 6.67 billion in 2024 and is expected to reach US$ 14.23 billion by 2031, growing at a compound annual growth rate (CAGR) of 11.43% from 2024 to 2031.

Key Takeaways

Key players operating in the Global Small Uav Market Demand are Northrop Grumman, Bayer Tech, DJI, Parrot Drone SAS, Israel Aerospace Industry Ltd., AeroVironment, Inc., Lockheed Martin Corporation, Teledyne FLIR LLC, BAE Systems, Elbit Systems Ltd., AIRBUS, Textron Inc., Autel Robotics, Yuneec, PowerVision Inc., Teledyne Technologies Incorporated , Guangzhou Walkera Technology Co Ltd, Yuneec , Turkish Aerospace Industries, and Others. The increased use of small drones for monitoring crop health, insurance surveys and infrastructure inspections has opened several opportunities for market players. Miniaturization of sensors and increased battery lives through lithium polymer batteries has enabled the development of drones weighing less than 2 kgs carrying high resolution cameras for over 30 minutes.

Market drivers

Some key drivers for growth in the small UAV market include –

1) Increased Adoption for Commercial Applications: The reduction in cost of small drones along with their ease of use has boosted their adoption across commercial sectors like agriculture, infrastructure, energy, insurance etc for monitoring and surveillance tasks. This is expected to drive high demand over the forecast period.

2) Advancements in Autopilot Technologies: Integration of autopilot functions, Return-to-Home capabilities and obstacle avoidance sensors in small drones is supporting their autonomous operations. This is increasing their usage in commercial delivery, inspection and surveillance applications.

3) Reduction in Product Costs: Continuous technological advancements, mass production and use of low-cost components has led to a significant decline in costs of small drones. This wider affordability is facilitating their adoption across various commercial and individual user segments.
Current challenges in small Uav market:

The small UAV market is facing challenges pertaining to development of advanced technologies, integration of new applications, airspace regulations and privacy concerns. Development of autonomous flying capabilities, sense and avoid technologies and long range precision technologies require extensive research and testing. stringent regulations around commercial use of drones in different regions hinders the growth potential of the market. Privacy concerns related to use of drones for surveillance, infrastructure inspection and photography requires setting up of codes and protocols. Establishing public trust on safety and security of drone operations is critical for small UAV market to reach its full potential in commercial sectors.

SWOT Analysis
Strength: Compact size and lightweight design enables flexible deployment and operations. Modern technologies allows integration of advanced cameras, sensors and communication systems.

Weakness: Limited battery capacity restricts flight time. Vulnerable to signal interference and cyber threats.

Opportunity: Growing applications in agriculture, infrastructure inspection, surveillance and delivery sectors. Development of autonomous flying capabilities and swarm technologies.

Threats: Stricter regulations around commercial use of drones. Significant investment required for R&D of new technologies. Concerns around misuse of drones for illegal activities.

Geographical regions:

North America dominated the small UAV market in terms of value in 2024 due to heavy investments in drone technology by defence and commercial enterprises in US and Canada. Developed application markets across industries supports regional market growth.

Asia Pacific is expected to emerge as the fastest growing market during the forecast period. Countries like China, India, Japan and South Korea are investing heavily in development of indigenous drone technologies. Expanding drone delivery trials and dynamic start-up ecosystem in the region will drive the small UAV market in Asia Pacific.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it