Small Drone Market - By Wing (Fixed, Rotary, Hybrid), By Power Source (Fuel, Battery), By Mode of Operation (Remote, Semi-autonomous, Autonomous), By Application & Forecast, 2024 - 2032

Small Drone Market Size

Small Drone Market was valued at USD 11 billion in 2023 and is anticipated to register a CAGR of over 6% between 2024 and 2032. The industry is propelled by continuous technological advancements, decreasing costs, and expanding commercial applications. The rising demand for aerial imaging, supportive regulatory frameworks, integration of AI & automation, and innovative use cases, such as drone-based delivery services, contribute to its sustained growth and market expansion.
 

For instance, in April 2023, DJI introduced Inspire 3, targeting the high-end film and television production market. Equipped with the X9-8K Air, its lightest full-frame three-axis gimbal camera, the drone captures footage at an impressive 8K/25fps CinemaDNG and 8K/75fps Apple ProRes RAW. Furthermore, with DJI's cutting-edge picture processing tech, CineCore 3.0, it boasts up to 28 minutes of flight time on a single battery.
 

The small drone market growth is fueled by advancements in miniaturization technology, enhancing drone capabilities while reducing production cost. Expanding commercial applications, particularly in agriculture, construction & infrastructure inspection, drive demand. Regulatory frameworks accommodating safe drone operations and the integration of AI for autonomous functionalities further stimulate market growth. Additionally, the increasing popularity of recreational drones and emerging use cases such as urban air mobility contribute to market expansion.
 

Challenges faced by the small drone industry include stringent regulatory constraints, especially airspace restrictions and privacy concerns. Limited battery life and weather dependencies hinder operational capabilities, while the risk of collisions and accidents poses safety issues. Additionally, intense competition often leads to price wars, impacting profitability. Overcoming these hurdles requires innovative solutions for regulatory compliance, technological advancements, and effective risk management strategies.
 

Small Drone Market Trends

Market trends in the small drone industry include the rise of autonomous capabilities and AI integration for enhanced functionality. The increasing demand for specialized applications such as delivery services and urban air mobility is observed. Moreover, ongoing advancements in battery technology and materials contribute to longer flight times & improved performance. For instance, in October 2023, Amazon announced that it will launch drone deliveries in the UK in late 2024 as part of its Prime Air drone delivery system expansion. The firm is collaborating with authorities & communities to build the service and qualifying consumers will be able to opt for drone delivery of thousands of items including everyday basics, cosmetic products, and office supplies.
 

The small drone industry is witnessing a surge in demand for compact, lightweight drones tailored for specific industries such as agriculture, construction, and security. Integration of advanced sensors and data analytics software enables precise data collection & analysis for improved decision-making. Additionally, emerging trends include the development of swarming drones for coordinated operations and the utilization of drones for environmental monitoring & conservation efforts.
 

Small Drone Market Analysis

Based on wing, the market is divided into fixed, rotary, and hybrid. The rotary segment held a major market share of around 50% and is expected to grow significantly. One prominent market trend in the small drone sector is the increasing adoption of rotary-wing drones. These drones offer greater manoeuvrability and stability, making them well-suited for tasks such as aerial surveillance, infrastructure inspection, and search & rescue operations. Their ability to hover and fly in confined spaces makes them particularly valuable for applications requiring close-range or precise aerial data collection. For instance, in September 2023, Leonardo unveiled its Proteus Rotary Wing Unmanned Aerial System (RWUAS) concept model at the DSEI 2023 expo. The design includes a single main rotor and is suited for maritime capabilities such as surveillance, target acquisition, reconnaissance & logistics supply.
 

Based on power source, the market is categorized into fuel and battery. The battery segment held around 72% market share in 2023 and is poised for significant growth over the forecast period. A notable trend in the small drone market revolves around the advancement of battery-powered drones. Manufacturers are focusing on improving battery technology to extend flight durations and reduce recharging times. This trend is driven by the increasing demand for drones with longer operational capabilities, particularly in industries such as agriculture, construction & aerial photography, where extended flight times are essential for efficient data collection and monitoring tasks. For instance, in November 2023, HevenDrones introduced two new models, the H2D200 and H2D250, both powered by hydrogen fuel cells. These drones provide extended range and flight duration compared to lithium-ion batteries. The H2D200 offers a range of up to 510km and a flight time of up to four hours, while the H2D250 boasts a range of up to 750 kilometres and up to eight hours of operation.
 

North America dominated the global small drone market with a share of over 32% in 2023. A significant market trend in the North America small drone sector is the rapid growth of commercial applications. With favourable regulatory frameworks and increased awareness of drone technology benefits, industries such as agriculture, construction, and public safety are embracing drones for various tasks. Additionally, collaborations between government agencies & drone manufacturers are fostering innovation and driving advancements in drone technology tailored to regional needs & regulations. For instance, in September 2023, Skydio introduced the Skydio X10, a drone designed for first responders, infrastructure operators, and U.S. & allied armies worldwide. It contains sensors to record every detail of relevant data as well as AI-powered autonomy to deliver greater capabilities & adaptability in a smaller and more user-friendly form.
 

Small Drone Market Share

DJI and Teledyne Technologies hold a significant market share of over 30% in the small drone business. These companies vie for supremacy across segments such as consumer drones, professional UAVs, and specialized industrial applications. Advancements in technology including AI integration and sensor development drive this competitive landscape with firms continually striving to enhance performance, reliability & functionality to capture market share in this rapidly evolving industry.
 

In the burgeoning market, competition intensifies as key players vie for dominance across diverse segments. Innovation in areas such as camera technology and flight autonomy drive differentiation. Established companies and emerging startups alike strive to capture market share, navigating regulatory complexities and consumer demands to establish a foothold in this rapidly evolving industry.
 

Small Drone Market Companies

Major players operating in the small drone industry are:

• AeroVironment, Inc.
• Autel Robotics
• BAE Systems Inc.
• DJI
• Parrot Drone SAS
• RTX Corporation
• Skydio, Inc.
• Teledyne Technologies Incorporated.
• Thales Group
• Yuneec
   

DJI and Teledyne Technologies hold a significant market share of over 30% in the small drone business. These companies vie for supremacy across segments such as consumer drones, professional UAVs, and specialized industrial applications. Advancements in technology including AI integration and sensor development drive this competitive landscape with firms continually striving to enhance performance, reliability & functionality to capture market share in this rapidly evolving industry.
 

In the burgeoning market, competition intensifies as key players vie for dominance across diverse segments. Innovation in areas such as camera technology and flight autonomy drive differentiation. Established companies and emerging startups alike strive to capture market share, navigating regulatory complexities and consumer demands to establish a foothold in this rapidly evolving industry.
 

Small Drone Industry News

• In February 2024, Front End, a Saudi-owned company, entered an exclusive partnership with The Drone Centre (TDC) to distribute DJI drones in the oil & gas sector. This strategic alliance is aimed at enhancing efficiency in the oil & gas industry by leveraging drone technology. The partnership is also focused on the distribution of DJI drones, specifically for the oil & gas sector, indicating a targeted approach to address industry-specific needs.
   
• In January 2024, Autel Robotics acquired FCC certification for its new enterprise drone, the Autel Alpha. The Autel Alpha will have a 35x optical zoom camera, twin thermal imaging sensors, a strong laser rangefinder, and a super-sensitive starlight night vision camera. It also has a maximum flying duration of 45 minutes and a transmission range of up to 12 miles (20 kilometers).
   

The small drone market research report includes in-depth coverage of the industry, with estimates & forecast in terms of revenue (USD Billion) and volume (Units) from 2018 to 2032, for the following segments:

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Market, By Wing

• Fixed
• Rotary
• Hybrid

Market, By Power Source

• Fuel
• Battery

Market, By Application

• Government & defense
• Construction
• Media & entertainment
• Agriculture
• Wildlife conservation
• Commercial
• Emergency services
• Logistics
• Others

Market, By Mode of Operation

• Remote
• Semi-autonomous
• Autonomous

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Russia
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • ANZ
  • Southeast Asia
  • Rest of Asia Pacific 
• Latin America
  • Brazil
  • Mexico
  • Argentina
  • Rest of Latin America 
• MEA
  • UAE
  • South Africa
  • Saudi Arabia
  • Rest of MEA