Small UAV Market: Current Analysis and Forecast (2022-2028)

The Small UAV (Unmanned Aerial Vehicle) market refers to the market for unmanned aerial vehicles that are relatively small in size and are used for a variety of applications such as military, commercial, and civilian purposes. Small UAVs are typically classified as weighing less than 55 pounds (25 kilograms) and are also known as drones or quadcopters. The market for small UAVs has grown rapidly in recent years due to advancements in technology, increased demand for aerial surveillance and imaging, and the development of new applications such as drone delivery and precision agriculture. The market includes a range of players, including manufacturers, service providers, and software developers, and is projected to continue to grow in the coming years as new use cases for small UAVs are discovered and developed.

The Small UAV Market is expected to grow at a steady rate of around 15% owing to increasing use for commercial and civilian applications such as aerial photography, mapping, surveying, monitoring, and inspections. Major companies in the market offer Small UAVs for military and defense applications with technologically advanced features. For instance, In Feb 2023 DroneShield released an update for its DroneOptID platform. DroneOptID is a computer vision-based system used to control various thermal and optical sensors and detect, classify, and track small drone/UAS targets.

Based on type, the market is segmented into fixed-wing, helicopter, and rotary blade. The rotary blade segment has a significant share in the small UAV market for a number of reasons. Firstly, they are versatile and easy to maneuver, making them ideal for a range of applications such as aerial photography, surveying, inspection, and even delivery services. Additionally, they are relatively affordable compared to fixed-wing UAVs and can be operated by individuals with minimal training. Another factor driving the popularity of rotary blade UAVs is their rapidly evolving technology. Advances in battery technology, sensors, and software have enabled these drones to fly longer, higher, and more accurately than ever before.

Based on application, the small UAV market has been classified into defence and commercial & civil. The commercial and civil segment of the small UAV market is expected to witness significant growth in the coming years due to a number of factors. One of the main drivers of this growth is the increasing use of drones in a wide range of industries, including agriculture, construction, and transportation. For example, drones can be used to monitor crops, survey construction sites, and inspect infrastructure such as bridges and pipelines. In addition, recent developments in drone technology have made it easier and more affordable for businesses to incorporate drones into their operations. For example, advances in battery technology have extended flight times, while improvements in sensors and software have made drones more reliable and easier to operate.

For a better understanding of the market adoption of the small UAV industry, the market is analyzed based on its worldwide presence in the countries such as North America (U.S., Canada, Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. The Asia-Pacific (APAC) region has witnessed significant growth in the small unmanned aerial vehicle (UAV) market over the past few years. The region's Compound Annual Growth Rate (CAGR) in the small UAV market is driven by several factors, including the increasing demand for unmanned aerial vehicles for commercial and military applications, advancements in technology, and supportive government regulations. One of the key drivers of growth in the small UAV market in APAC is the increasing demand for unmanned aerial vehicles for commercial applications. For instance, in 2021, JD.com, a Chinese e-commerce giant, announced that it would use drones to deliver goods to remote areas in China. This move is expected to boost the demand for small UAVs in the region. Another driver of the small UAV market in APAC is supportive government regulations. Several governments in the region, including China, Japan, and South Korea, have introduced regulations that support the use of UAVs for commercial and military applications. These regulations have helped to create a conducive environment for the growth of the market. For instance, in 2021, the Indian government issued guidelines for the operation of drones in the country, which are expected to boost the demand for small UAVs in the region.

Some of the major players operating in the market include: Lockheed Martin Corporation; AiviewGroup; BAE Systems; AeroVironment, Inc.; DJI; Elbit Systems Ltd.; Grotmol Solutions AS; IAI; Saab AB; and Thales