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This story originally appeared on ValueWalk
Understand the drone market
Drones are the key technology for the next two decades. They are used in many different areas of industry and the commercial exploitation of this technology has never been higher. In its new Drone Market and Industries 2021-2041 market research report, IDTechEx predicts the drone market will hit $ 22B + by 2041, partly due to this wide range of use cases. This article is designed to give you a basic understanding and insight into this market.
The main market consists of some big players like DJI, Parrot, Yuneec, Kespry, Auctuel Robotics and Insitu. They make up over 85% of the market segment, and that breakdown has remained for the past four years. However, there were also new entrants who increased the share of revenue from "other" companies. These companies tend to be smaller, begin a pre-sales phase, and typically serve a specific use case. A clear example of this is zipline for the drone delivery use case. Zipline manufactured fixed-wing drones to service rural areas in countries like Rwanda. The market breakdown can be seen in the pie chart (Figure 1), which was calculated from the historical revenues of over 80 companies 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%.
Predictions for the Drone Hardware Market
IDTechEx predicts the hardware drone market will grow to over $ 8.9 billion by 2031. This growth will be due to growth in all three sub-markets of the drone market. It is predicted that software will drive demand for drone hardware. Innovations in big data, machine learning, data analytics and AI are driving the technology forward. The growth in the second decade between 2031 and 2041 will continue to be dominated by some special use cases. IDTechEx predicts growth in other sectors as restrictions on the use of drones adjust in this second decade. By 2041, the total drone market is projected to be over $ 22 billion. This key market is an exciting opportunity, and this report will provide you with the insight you need to make effective and impactful decisions.
Although COVID-19 has restricted some use cases of drones, overall market research from IDTechEx shows that the drone market continued to grow in 2019 and 2020. In particular, drones can be used for tasks that would require several employees. In this way, the social distance is maintained while the workers can continue their work. This is due to the wide variety of use cases that drones can be used for and their continued utility in collecting detailed data and mapping areas that are difficult for humans to capture.