Global Drone Market Report and Forecast 2025-2034

Global Drone Market Size

The global drone market value reached approximately USD 27.70 billion in 2023. The market is projected to grow at a CAGR of 10.8% between 2024 and 2032, reaching a value of around USD 59.20 billion by 2032.

Global Drone Market Outlook

• The US Department of Defense uses over 11,000 UAS for training and missions across all branches, including the National Guard.

• As of June 2023, nearly 90,000 drones have been registered in Canada, according to the Government of Canada.

• By the end of 2023, China had nearly 1.27 million registered UAVs, a 32.2% increase year on year, according to CAAC.

Global Drone Market Growth

The growing use of drones in agriculture, military reconnaissance, and terrain mapping significantly contributes to market expansion. Drones with sensors help farmers monitor crops, enabling timely preventive measures to ensure healthy yields, further enhancing the growth of the drone industry.

Researchers use drones with LIDAR sensors and 3D cameras for 3D terrain mapping, sending live images and videos to control rooms and enhancing remote sensing technology. Additionally, drones with advanced imaging tools provide critical intelligence about enemy territory for military operations.

Drone market dynamics and trends are shaped by new drones being launched such as drones with thermal sensors aiding search and rescue missions by locating lost individuals in forests or rugged terrains, even in harsh conditions. They also deliver essential supplies in war-prone or disaster-stricken areas.

The drone industry revenue is driven by governments that are partnering with companies to deploy advanced military drones. Kadet Defence Systems and DRDO are developing Loitering Aerial Munitions for the Indian military, capable of precise targeting in challenging environments. Airobotics and HHLA Sky are collaborating to create drones for industrial and infrastructural use in Germany.

Global Drone Industry Outlook

According to SIPRI, the United States leads global military expenditure with USD 916 billion in 2023, representing 37% of global spending and a 2.3% increase from 2022. China's military spending was estimated at USD 296 billion, accounting for 12% of global spending, with a significant 60% increase over the past decade. Russia's expenditure reached USD 109 billion, showing a 24% rise from 2022 and contributing 4.5% to global spending, thus increasing the drone market revenue.

Further, as per SIPRI, India’s military budget stands at USD 83.6 billion, with a 4.2% increase year-over-year, making up 3.4% of global expenditure. Saudi Arabia's spending was estimated at USD 75.8 billion, comprising 3.1% of global spending despite an 18% decrease over the past decade. The top five countries account for 61% of global military expenditure. The United Kingdom, Germany, Ukraine, France, and Japan collectively spent USD 318 billion, with notable increases in Germany (9%) and Ukraine (51%) due to ongoing conflicts, totalling 74% of global expenditure among the top ten nations, boosting the demand of drone market.

Further, between 2022 and 2023, North Africa led the growth of the drone market with a remarkable 38% increase, followed by Eastern Europe at 31%, reflecting heightened regional security concerns. Central and Western Europe saw a substantial rise of 10%, while the Middle East increased its expenditure by 9.0%. Sub-Saharan Africa recorded an 8.9% growth, and East Asia increased by 6.2%, indicating strategic military investments. North America's expenditure grew by 2.4%, and South Asia by 2.2%. Other regions like Central America and the Caribbean, Oceania, and South America experienced minimal changes.

The drone market opportunities are boosted by progress in drone technology, including improved sensors, AI integration, and longer battery life, enhances their efficiency and value across multiple industries.

• Drones are extremely adaptable, utilized in agriculture for crop monitoring, the military for surveillance, construction for site inspections, and disaster management for search and rescue, expanding their market scope.

• Drones provide a more affordable alternative to traditional methods, minimizing the need for manned missions in dangerous areas, lowering labour costs, and enabling quicker data collection and analysis.

Diverse regulations across countries present significant obstacles, complicating drone market growth and operational consistency, and making regulatory compliance both time-consuming and expensive.

• The potential for unauthorized surveillance, hacking, and misuse of drones raises security and privacy concerns, leading to public apprehension and stricter regulations.

• Despite technological advancements, drones still face issues like limited battery life, susceptibility to weather conditions, and range limitations, which can impact their reliability and effectiveness.

New applications in urban air mobility, environmental monitoring, and delivery services offer substantial growth opportunities, with investments in R&D opening these markets.

• Increasing partnerships with governments for infrastructure, defence, and public safety applications can propel market growth and innovation.

• Advances in AI and machine learning can improve autonomous operations, data analysis, and decision-making, leading to more advanced applications and higher demand for intelligent drones.

The drone market demand forecast is impacted by constant changes in regulations and legal frameworks creating uncertainty, with strict rules and potential liabilities potentially stifling.

• The growing competition within the drone market can lead to price wars, reduced profit margins, and a continuous need for innovation to remain competitive.

• Drones are susceptible to cyber-attacks, which can compromise sensitive data, disrupt operations, and damage the reputations of companies involved in drone technology.

Market Competition in the Global Drone Market

Innovations in drone technology, regulatory advancements, and increasing adoption across various industries drive this competitive landscape across the global drone market growth.

Key Players in the Global Drone Market and their Key Initiatives

AeroVironment, Inc.

• Launched Switchblade 600, a next-generation tactical missile system further boosting the the drone market.

• The company is expanding its presence in commercial markets through strategic partnerships and acquisitions.

Parrot S.A.

• Expansion of ANAFI drone series which includes the launch of ANAFI Ai.

• Strategic partnership with Verizon to integrate 4G LTE connectivity in drones.

Airbus SE

• Airbus SE launched the Zephyr high-altitude pseudo-satellite drone.

• The company partnered with international regulatory bodies to advance urban air mobility solutions.

Lockheed Martin Corp.

• Lockheed Martin Corp. developed the Stalker VXE drone.

• The company partnered with commercial and defence sectors to advance autonomous technologies to improve its position in the drone industry.

SZ DJI Technology Co., Ltd.

• SZ DJI Technology Co., Ltd. introduced the DJI Matrice 300 RTK.

• The company launched the DJI FPV drone, combining first-person view technology with high-speed performance.

Global Drone Industry Segmentation

“Global Drone Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Fixed Wing 

• Rotary Wing

• Hybrid 

Market Breakup by Technology

• Remotely Operated Drones 

• Semi-Autonomous Drones  

• Autonomous Drones 

Market Breakup by Function

• Special Purpose Drones 

• Passenger Drones 

• Inspection and Monitoring Drones 

• Surveying and Mapping Drones 

• Spraying and Seeding Drones 

• Others 

Market Breakup by Application

• Military 

• Commercial 

• Government and Law Enforcement 

• Others 

Market Breakup by Region

• North America

• Europe

• Asia Pacific

• Latin America

• Middle East and Africa

Drone Market Share

Fixed-wing drones are ideal for a variety of applications, including aerial mapping, surveying, agricultural, and environmental monitoring, because they can cover huge regions quickly and effectively. Their longer flight periods, which come from their design, provide them a clear edge over their multi-rotor competitors and make them more suitable for long-range operations.

The rotary wing drone market opportunities are anticipated to grow at a significant rate throughout the forecast period because of its ability to hover, perform agile movements, and maintain a long-term visual focus on a single target. These drones are often seen as a good substitute for a range of business uses, including surveillance, photography, filmmaking, and monitoring.

Leading Companies in the Drone Market

The market players are offering their cutting-edge drones to government bodies across the world to strengthen their military capabilities.

• AeroVironment, Inc.

• Parrot S.A.  

• Teledyne Technologies Inc.  

• Airbus SE  

• Lockheed Martin Corp.  

• Autel Robotics Co., Ltd.   

• SZ DJI Technology Co., Ltd.  

• Aeronavics Ltd.  

• Draganfly Inc.  

• PrecisionHawk, Inc.

Key Highlights of the Report

Drone Market Report Snapshots

Drone Market Size

Drone Market Growth

Drone Market Share

Drone Companies