The rising demand for drones is attributed to cost-effective data acquisition, making them essential to industries like agriculture, logistics, mining, oil and gas, and real estate
The drone analytics market is estimated to be valued at $2.1 Bn in 2022 and is projected to reach $6.5 Bn by 2027, at a CAGR of 25.5%, as per a report by MarketsandMarkets
However, the growing number of drones would put an enormous strain on the permit and exemption procedures that nearly all countries require for drone use
Inc42 Daily Brief
Stay Ahead With Daily News & Analysis on India’s Tech & Startup Economy
While the drone industry in India is still in its infancy, it is little wonder that the market is on the cusp of an explosion. The rising demand for drones is attributed to cost-effective data acquisition, making them essential to industries like agriculture, logistics, mining, oil and gas, and real estate. The drone analytics market is estimated to be valued at $2.1 Bn in 2022 and is projected to reach $6.5 Bn by 2027, at a CAGR of 25.5%, as per a report by MarketsandMarkets.
The drone analytics market is expected to grow substantially owing to the increased demand for efficient Unmanned Aerial Vehicles (UAVs) in emerging fields such as precision agriculture, wildlife preservation, and search and rescue operations.
These UAVs enable the exchange of information, theory, and practical experiences to benchmark the best practices and encourage their use in new application areas. Some major emerging technologies and use cases disrupting the market include AI inspection, open-source software, AR, automated GCS, and swarm drones.
Market Drivers: Surge In Demand For Safe And Accurate Monitoring
The conventional data collection technique is restricted by time and safety, often leading to a shortage of detailed information for monitoring and evaluation. Cost-effectiveness, high precision, and extraordinary time efficiency make drones a trustworthy data acquisition tool that can deliver rich data and accomplish synchronous monitoring for various applications.
They show significant potential in mining monitoring at small or large scales. Drones equipped with different sensors can deliver basic data for various monitoring tasks and, hence, are widely used in several applications, including terrain surveying and 3D modelling, land damage calculation, ecological and geological hazards monitoring, pollution monitoring, land reclamation activities, and ecological restoration assessment.
Restraints: Underqualified Operators
Operating drones requires skilled personnel with sufficient training. Though developed countries can hire skilled and trained operators, the situation is not the same with emerging economies. This is generally due to low investment in defence and inadequate infrastructure in developing countries.
These factors are expected to hinder the global drone analytics market growth. Furthermore, this technology is in its nascent phase, and better funding and training schemes are required to make operators aware of the necessary training.
Opportunity: Technological Advancements
Drones are witnessing rising prospects for application in diverse fields of work. Due to their speed and agility, these winged devices are a concise means of delivering complete and valued results. Currently, drones outfitted with sensors and cameras are establishing their worth in gathering real-time footage that can be stored for later assessment. Un-crewed aerial systems can discover failing structures and equipment in less time and for a reasonable price compared to traditional methods.
Innovative technologies such as machine learning and laser are expanding the scope of application of these inspection drones, which are equipped with the necessary technologies to perform specific tasks during an inspection. This new capability provides opportunities for market growth for manufacturers.
Challenges: State And Local Regulations
There is no doubt that the drone industry is thriving. From inspecting active fire hotspots to sending messages via light shows, drones have come to be increasingly used by government agencies.
However, the growing number of drones would put an enormous strain on the permit and exemption procedures that nearly all countries require for drone use. Huge numbers of drones will also put the implementation of such rules under pressure. Restrictions on flying beyond visual line of sight (BVLOS), insufficient battery life, flying at or below 400 feet, not flying in restricted airspace, particularly near airports, and community-based privacy concerns are all obstacles to expanding the usefulness of public safety drones.
Drones also present insurance companies with difficult situations due to asset and liability damage. Drug trafficking using drones is another area of concern.
Note: We at Inc42 take our ethics very seriously. More information about it can be found here.