Multirotor drone market to reach $2.28 billion by 2020, market analysts say
NewsJuly 13, 2015
Analysts at Markets and Markets are estimating that multirotor drones market will be $840.21 million this year with a projected CAGR of 22.2 percent reaching $2.28 Billion by 2020.
The report, "Multirotor Drones Market by Application (Defense, Aerial Shooting, Business & Commerce, Law enforcement, Environmental Inspection), Payload (Electro-optic sensor, Cameras, Sense and Avoid System, LIDAR, CBRN, Wi-Fi, GPS), Region - Forecast to 2020," states that the increasing use of drones for law enforcement has stimulated the growth of the drones market.
Also, the increased multirotor production for non-military applications such as aerial shooting, agriculture, sports coverage, and environmental inspection, has aided in highlighting the importance of drones in the global market and as a result increased the market demand.
Today drones are preferred for many commercial and military applications, due to their high precision, high efficiency, acceptable & affordable innovations, and low production, operational and maintenance costs. The penetration rate of aerial shooting applications in this market is highest compared to other applications. However, the market demand for business & commerce applications are expected to overtake the homeland security applications market by 2020, according to Markets and Markets analysts.
However, declining defense budgets, lack of skilled pilots, and strict airspace regulations are restraining the growth of the market to some extent, according to the report. Due to economic downturn, nations such as U.S. and the U.K. are facing economic difficulties. Any budget cut in these countries could slow down the defense industry even further, according to the report.
Despite these facts, the global drones market is booming and a considerable amount of money is spent on research & development with countries such as India, South Korea, China, Germany, France, and Australia being the new growth regions, according to Markets and Markets.
The unrest in Asian countries from terrorist attacks and political disputes has increased the unmanned aerial vehicle (UAV) spending. Regions such as North America, Asia-Pacific, and Europe currently hold the largest share market. However, the Middle Eastern and African countries are showing a potential of growth in this sector, Markets and Markets analysts say.
The major manufacturers of multirotor drones market are AeroVironment, Inc. in the U.S., Israel Aerospace Industries in Israel, DJI Innovations in China, 3D Robotics in the U.S., and Microdrones GMBH in Germany, according to the report. Other key players include Aibotix in Germany, Coptercam in Australia, Draganfly Innovations in Canada, Aeryon Labs in Canada, and Cyberhawk Innovations Ltd. in the U.K.
