IDTechEx Forecasts the Drone Hardware Market to be Over $22Bn by 2041
Understanding The Drone Market
Drones are the key technology of the coming two decades. They are used in many different aspects of industry, and commercial use of this technology has never been higher. In its new market research report, "Drone Market and Industries 2021-2041", IDTechEx predicts that the drone market will reach $22Bn+ by 2041, attributed in part to this wide range of use cases. This article aims to provide you with an essential understanding and insight into this market.
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The main market is made up of a few major players, such as DJI, Parrot, Yuneec, Kespry, Auctuel Robotics, and Insitu. They make up over 85% of the market segment, and this split has remained over the past four years. However, there have also been new entrants to the market, increasing the portion of revenue from "Other" companies. These companies are typically smaller, beginning to exit a pre-revenue stage, and typically service one particular use case. One clear example of this is Zipline for the delivery use-case of drones. Zipline made fixed-wing drones to deliver healthcare to rural areas in countries such as Rwanda. The market split can be seen in the pie chart (Figure 1) calculated from over 80 companies' historic revenues for the drone market. This detailed analysis by IDTechEx follows the trend for other similar innovative and emerging market industries. In 2019, the split between the market leaders and the other smaller companies in the drone market was around 85% to 15%, respectively.
Figure 1. Drone Hardware Market Split in 2019. Source: IDTechEx, www.IDTechEx.com/Drones
Predictions For Drone Hardware Market
IDTechEx predicts that the drone market for hardware will grow to over $8.9Bn by 2031. This growth will be attributed to growth across all three sub-markets in the drones market. Software is predicted to push the demand for drone hardware, with innovations in Big Data, machine learning, data analytics, and AI all driving the technology forward. Growth in the second decade, between 2031 and 2041, will continue to be dominated by a few particular use cases. IDTechEx predicts that there will be a growth in other sectors as restrictions on drone use are adjusted in this second decade. By 2041, the entire drones market is forecast to be over $22Bn. This key market is an exciting opportunity, and this report provides you with the insight needed to make effective and impactful decisions.
Even though COVID-19 has restricted some use cases of drones, overall, the market research from IDTechEx shows that the drones market has continued to see growth throughout 2019 and 2020. In particular, drones can be used for tasks that would require multiple workers, thus keeping social distancing while allowing the workers to continue their jobs. This is due to the vast range of use cases for which drones can be used and their continued benefit to collect detailed data and mapping of areas that are difficult to cover by humans.