Saudi Arabia Unmanned Aerial Vehicle (UAV) Market Report and Forecast 2024-2032

Saudi Arabia Unmanned Aerial Vehicle (UAV) Market Outlook

The Saudi Arabia unmanned aerial vehicle (UAV) market size reached around USD 134.17 million. The market is assessed to grow at a CAGR of 15.4% between 2024 and 2032 to reach nearly USD 499.81 million by 2032.

Key Takeaways

• In 2023, the Saudi Arabian government allocated USD 69 billion in defence, nearly 23% of its total budget.

• Saudi Arabia aims to manufacture and export drones as an attempt to diversify its economy and develop its capabilities.

• Saudi Arabia is expected to emerge as a leader in drone technologies, buoyed by favourable government regulations aimed at improving the quality of living in the country.

An unmanned aerial vehicle (UAV) is an aircraft that has no passenger or pilot. Also known as a drone, it can be entirely or partially independent. Sometimes it is remotely controlled by a human pilot during the launch and recovery of an operation.

The extensive use of drones in the agriculture sector for soil assessment, crop monitoring, aerial mapping, and precision pesticide spraying is propelling the Saudi Arabia unmanned aerial vehicle (UAV) market expansion. The Agricultural Development Fund of Saudi Arabia is dispensing nearly USD 220 million for high-tech greenhouses between 2021 to 2025. Such funds are primarily dedicated to incorporating techniques like drones into the agricultural field.

Key Trends and Developments

Increasing geopolitical concerns, rising use of UAVs in security and policing, favourable government initiatives aimed at economic diversification, and technological advancements and innovations are positively impacting the Saudi Arabia unmanned aerial vehicle (UAV) market growth

Saudi Arabia Unmanned Aerial Vehicle (UAV) Market Trends

The structural transformation of supply chains, coupled with the growing focus on enhancing the efficiency and time effectiveness of logistics operations, are positively influencing the Saudi Arabia unmanned aerial vehicle (UAV) market. With the robust growth of the e-commerce sector, drones are emerging as viable transportation solutions to reduce vehicular emissions, overcome traffic, and lower operational costs while fulfilling instant delivery requirements.

Saudi Arabia is expected to emerge as a hub for drone technologies in the coming years due to the country’s complex desert, mountain, and water terrain and growing backlog across road infrastructure. The government is also integrating various regulations to facilitate the integration of drones into logistics infrastructure, aiding the market growth.

Market Segmentation

“Saudi Arabia Unmanned Aerial Vehicle (UAV) Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Large drones dominate the Saudi Arabia unmanned aerial vehicle (UAV) market share due to their applications in different end-use sectors

Large drones are used for business and professional purposes, especially in fields such as defence, agriculture, construction, and public safety, among others. These drones are termed as “large” due to their enormous capabilities such as high payload capacity and endurance. Advancements in technologies are expected to surge the use of large drones as alternatives for fighter jets for combat capabilities and rapid enemy detection in the forecast period.

Meanwhile, short drones can travel up to 90 miles and are typically used for intelligence and espionage gathering, whereas medium UAVs boast a distance range of 400 miles and are used for scientific studies, intelligence gathering, and meteorological research.

The use of UAVs in the military and defence sector is growing amid the rising geopolitical and regional tensions

The military and defence sector holds a significant share of the Saudi Arabia unmanned aerial vehicle (UAV) market. Unmanned aerial vehicles have become a game changer for reshaping the fate of the modern military. These vehicles perform multiple functions, including reconnaissance, surveillance, combat operations, and targeting to strengthen the defence sector. Unmanned aerial vehicles mitigate the risks associated with a human pilot and can be deployed in any environment irrespective of its hostile or hazardous nature.

Countries like Saudi Arabia are also investing in the adoption and manufacturing of drones due to increased geopolitical tensions. In March 2022, Advanced Communications and Electronics Systems Co. of Saudi Arabia signed an agreement with China Electronics Technology Group Corp. to manufacture military drones in Saudi Arabia.

Meanwhile, UAVs are utilised in construction sites for 3D mapping and modelling, aerial photography, volumetric measurement, and construction progress monitoring. Growing focus on enhancing efficiency, improving safety standards, and reducing expenses of mining and construction activities are anticipated to fuel the Saudi Arabia unmanned aerial vehicle (UAV) market expansion in the coming years.

In the civil and commercial sector, UAVs are used in diverse applications, including inspection, monitoring and management, photography and videography, and aerial mapping and surveying, among others. Architectures use UAVs in real estate for 3D views of the property for prospective clients, engineering firms deploy drones for critical activities such as road construction planning and transmission cables, and the technology is increasingly used to claim insurance during an accident.

Competitive Landscape

Major players included in the Saudi Arabia unmanned aerial vehicle (UAV) market report are attempting to enhance the capabilities of drones

Other Saudi Arabia unmanned aerial vehicle (UAV) market players include Parrot Drone SAS, Autel Robotics Co., Ltd, Drone Solution Services Pte Ltd, Airbus SE, Boeing Co, and BAE System, among others.

Key Highlights of the Report