Global sales of drones are set to rise at a CAGR of 4.5%, driven mostly by commercial-use UAVs, says a new report from financial expert Frost & Sullivan.
The Global Commercial UAS Market Outlook 2020 report says: by 2023 North America will remain the largest market for commercial UAS with a total of 32.3% unit demand, followed by APAC and Europe at 29.1% and 23.3%, respectively.
Growth will be driven by technological advancements such as artificial intelligence (AI), as well as drones capable of long endurance flights and indoor inspection.
Frost & Sullivan suggests that vendors should consider changes such as India lifting its ban on commercial drones, and should work with partners on sensor/data fusion capabilities.
Repair and maintenance will also be a fruitful source of income.
Frost & Sullivan’s aerospace, defense and security vice president Michael Blades said: “Unit growth is driven by increasing regulatory support for commercial drone use in the APAC region, especially India.
“There is also a significant increase in demand for professional segment drones to conduct crop spraying in China and other countries in APAC.
“Drone services companies tend to focus on specific verticals because a one-size-fits-all business model does not work. Further, as companies gain experience through operations, those that can best innovate to meet specific end-user needs will prosper.”