Drone-enabled services revenue will reach $8.7 billion annuallyStaff writer ▼ | May 3, 2016
Small unmanned aerial vehicles (UAVs), also known as drones, are gaining significant traction in a variety of industries.
Technology The largest revenue opportunity lies in services
According to a recent report from Tractica, by the end of the next decade, annual revenue from drone-enabled services will be more than double the revenue from sales of commercial drone hardware units themselves.
The market intelligence firm forecasts that global commercial UAV services revenue will grow from $170 million in 2015 to $8.7 billion by 2025.
The largest service applications will be filming and entertainment, mapping, aerial assessment, and prospecting, but smaller opportunities for drone services will also include disaster relief, early warning systems, data collection and analytics, environmental monitoring, and package delivery.
"Commercial drone operators around the world are quickly realizing the potential for UAVs to be harnessed for a variety of services in a more efficient manner than can be achieved using conventional means such as satellites or aircraft," says managing director Clint Wheelock.
"Most commercial applications for drones are related to aerial imaging or data analysis, taking advantage of low-cost components and ever-increasing sensor capabilities."
Wheelock adds that, while regulatory and business barriers remain to the more widespread use of drones for commercial purposes, the path ahead is becoming steadily clearer as business models and policy frameworks continue to be refined in countries around the world. ■