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Commercial drone hardware and services revenue to reach $12.6 billion by 2025

July 3, 2017

Posted by: Avadhoot Patil

Unmanned aerial vehicles (UAVs), commonly known as drones, have a great deal of potential to be explored and exploited for commercial applications. Major industries, government agencies, and other organisations are all actively assessing the opportunity for drones to disrupt the market and create innovative business models.

Rapid advances in technology and economies of scale have enabled drones to be prototyped and commercially launched at an affordable price. Furthermore, due to emerging cloud-based applications and data services, the commercial drone industry is enjoying a period of rapid growth.

According to a new report from Tractica, worldwide commercial drone hardware and services revenue will increase from $792 million in 2017 to $12.6 billion by 2025. While the majority of revenue currently comes from hardware sales, the balance will shift in the next few years and, by the end of the forecast period, Tractica anticipates that drone-enabled services will represent approximately two-thirds of the total revenue mix.

“A number of major industries are seeing strong value propositions in utilising drones for commercial use,” said research analyst Manoj Sahi. “Some of the key industries include agriculture, film, media, oil & gas, energy & utilities, insurance, and real estate & construction, among many others.”

Sahi addsed that the top commercial applications for drone-enabled services include the following:

Tractica’s report, “Drones for Commercial Applications”, examines the market and technology issues surrounding commercial drones and provides 10-year revenue forecasts for the industry. The report assesses crucial market drivers and challenges, regulatory issues, and key technology issues that will influence market development.

DCA-17-chart

In total, 194 key, emerging, and other industry players are profiled. Market forecasts for drone shipments and revenue are segmented by world region, airframe type, industry, and customer type.

An Executive Summary of the report is available for free download on the firm’s website.

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