Drone Software Market Size (2024 – 2030)

The worldwide market for Drone Software, with an initial valuation of USD 8.57 billion, is forecasted to achieve a market size of USD 43.20 billion by the conclusion of 2030. A Compound Annual Growth Rate (CAGR) of 26% is expected during the forecast period spanning 2024 to 2030.

DRONE SOFTWARE

In recent times, Drone software has witnessed a surge in popularity, attributed to rapid technological advancements across diverse industries. The escalating demand for drones for purposes such as agricultural and construction insights, remote area exploration, and mapping has notably expanded the Drone software market. Presently, the upsurge in the requirement for sophisticated and automated drone software has compelled software enterprises to develop AI-infused drone software offering real-time data analysis across multiple sectors. Moreover, sector-specific and product-oriented advancements in drone technology, such as the creation of agricultural crop software for scrutinizing crop patterns, have further catalyzed the growth of the Drone software market. Looking ahead, optimistic prospects await the drone software market, as advancements in AI and automation software technologies revolutionize intricate operational processes including remote mapping, emergency analysis and response, environmental study, wildlife habitat monitoring for conservation, and other domains.

Key Market Insights:

In the United States, as of 2024, The FAA (Federal Aviation Administration) has registered 855,860 drones.

Globally, DJI stands as the foremost consumer drone manufacturer, holding a market share of 54%, and within the USA, the company commands an 80% share, as reported in 2022.

According to estimates from the US Department of Defense (DoD), the Pentagon utilizes over 11,000 unmanned aerial systems to support domestic training events and missions abroad.

As per findings by Drone Survey Services, drone-based crop spraying has demonstrated a 40%-60% increase in efficiency compared to manual spraying in the field of agriculture.

A recent survey indicates that 79% of online consumers are open to receiving deliveries via drone.

The Civil Aviation Administration of China reported 781,000 registered drone users in 2021, with a total of 832,000 drones registered.

Drone Software Market Drivers:

Technological advancements in drone technology are the primary impetus behind the global drone software market's growth.

Advancements in drone technology have streamlined operational tasks for industries, aided by innovations in drone hardware including advanced sensors, cameras, propellers, sophisticated landing gear, and intelligent flight controllers. This progress has surged the demand for drone software, facilitating effective data communication from hardware to end-users. Noteworthy features include advanced GPS and obstacle detection software integrated into sensors and cameras, providing location insights, obstacle alerts, and image capturing capabilities for analysis and mapping. Such applications are predominantly adopted for military and security purposes. Additionally, the rise in demand for advanced drone photography software catering to aerial photography and videography requirements of vloggers, travelers, and tourism entities has further spurred market growth. Furthermore, AI and machine learning-driven software enable remote flight tracking and performance enhancements. The optimization features within drone software, such as drone power management and route planning, have also augmented market demand. Autonomous flight capabilities in the software empower users to automate navigation and path planning, especially beneficial in sectors like agriculture and infrastructure mapping.

Escalating security concerns globally are fostering demand for drone software solutions.

Heightened safety concerns across international boundaries have underscored the need for robust, secure drone software offering real-time location data and fortified data encryption. Geofencing functionalities allow security personnel to establish virtual boundaries, preventing unauthorized drone access and restricting drone flights in sensitive locations such as airports, military zones, and governmental premises. Furthermore, the trend towards remote technologies has spurred the development of drone software with remote identification capabilities. This empowers security personnel to remotely discern drone identities and their locations, facilitating enhanced drone flight monitoring, particularly in Air Force security operations. Moreover, advanced drones equipped with encrypted sensor technology find extensive use in military and defense sectors, ensuring data security and capturing critical data such as images or videos of targeted or adversary drones. The escalating demand for border security measures has further elevated the adoption of drone software featuring advanced security attributes including collision and obstacle avoidance, emergency landing protocols, and risk assessment tools.

Drone Software Market Restraints and Challenges:

Concerns regarding data privacy and security present potential obstacles to the drone software market's growth. Drone software contains vast amounts of sensitive data vulnerable to cyber threats such as data breaches, leaks, and virus intrusions, which can compromise drone operations and diminish market demand.

Drone Software Market Opportunities:

The global Drone Software Market is poised to present lucrative opportunities for businesses, ranging from acquisitions, partnerships, and collaborations to product launches and agreements throughout the projected period. Moreover, the burgeoning trends in AI and data analytics, coupled with the escalating demand for automation technologies, are set to amplify the market scope for drone software, bolstering its future growth prospects.

Drone Software Market Segmentation: By Deployment Model

• Cloud-Based
• On-Premise

As of 2022, within the drone software market's deployment model segmentation, cloud-based solutions hold the predominant share at approximately 23.9%. Cloud-based drone software resides on third-party service providers' servers, facilitating the management, maintenance, and updates of the software. Furthermore, these solutions offer enhanced scalability, enabling various industries to manage vast datasets effortlessly, along with heightened accessibility for users to access data from any location or device.

The on-premise segment emerges as the fastest-growing category throughout the forecast period. This software is installed and operated on specific industry's local servers, granting users complete control over data and options for software customization.

Drone Software Market Segmentation: By Architecture

• Closed Source
• Open Source

In the realm of architecture segmentation in 2022, open-source drone software commands the largest share at around 27% of the market. Developed by a community of developers and collaborators, open-source drone software is freely accessible to the public, allowing for viewing, editing, and distribution of the software code. Additionally, open-source solutions offer heightened transparency, empowering users to customize software to meet their specific needs, thereby enhancing software effectiveness. These software solutions find primary use in research and analytical pursuits by educational and research institutions.

The closed-source segment emerges as the fastest-growing category during the forecast period. Managed and developed by specific companies, closed-source drone software does not provide public access to its code. Instead, it offers subscription-based services, granting users access to specific software features. This type of drone software finds extensive use in sectors such as construction, military, and defense, primarily for bolstered safety, security, and reliability.

Drone Software Market Segmentation: By Platform

• Desktop-Based Software
• Application-Based Software

As of 2022, within the market's platform segmentation, desktop-based software claims the largest share, accounting for approximately 23%. These solutions are installed on and operate from desktop computers or laptops, enabling users to manage and monitor drone flights directly from these devices. Notably, one major advantage of desktop-based software is its offline usability, facilitating ease in monitoring remote areas. Additionally, advancements in AI technology have expanded the utility of desktop software for tasks such as 3D mapping and data analysis, particularly in construction, infrastructure development, and related domains.

The application-based software emerges as the fastest-growing segment during the forecast period. With the surge in smartphone usage, there is a heightened demand for application-based drone software. This software can be installed and operated on mobile devices, offering users convenient remote monitoring of drone flights via smartphones. Furthermore, integration with cloud-based services enables users to manage and analyze complex, extensive datasets in real-time. Application-based drone software sees wide applications in environmental monitoring, public spaces surveillance, agricultural land management, and more.

Drone Software Market Segmentation: By Industry

• Vertical Environment
• Agriculture
• Construction
• Military & Defense
• Film & Entertainment
• Logistics & Transportation
• Others

Within the industry vertical segmentation in 2022, military & defense stands out with the largest share, accounting for approximately 28% of the market. The use of drone software in the military & defense sector is on the rise, primarily aimed at enhancing regional security and mitigating potential collateral damages. Specialized drones equipped with cameras, thermal imaging, and computer vision technology serve surveillance purposes, capturing real-time images and videos of potential threats. Furthermore, drone software enables military personnel to remotely identify and track potential threats using advanced AI algorithms. Enhanced security measures, facilitated by secured and encrypted drone software, aid in preventing unauthorized access to territories and sensitive data. Moreover, the increasing demand for integration technologies has led to the development of drone software tailored for seamless integration into military systems, further bolstering security and safety measures.

The agriculture segment emerges as the fastest-growing category during the forecast period. Drone software is gaining traction in agriculture due to its precision and effectiveness in collecting and analyzing real-time data. Notably, precision agriculture drone software witnesses a surge in demand, facilitating farmers in monitoring crop patterns, analyzing soil conditions, and gauging yield data. Equipped with advanced sensors like multispectral and hyperspectral sensors, these agricultural drones provide crucial crop health insights. Additionally, agriculture drone software offers GIS integration, enabling farmers to gain detailed field insights, identify problematic areas, remotely monitor crops, and more. Advancements in data analytics and automation technologies empower farmers to conduct historical analyses of crop performance, optimizing yields effectively.

Drone Software Market Segmentation: Regional Analysis

• North America
• Asia-Pacific
• Europe
• South America
• Middle East and Africa

As of 2022, within the regional segmentation, North America leads with the largest share, accounting for approximately 29% of the market. The region benefits from technologically advanced infrastructures and continuous advancements in drone technology, driving the demand for drone software. According to Drone Survey Services, businesses and governments in 2022 collectively invested a total of US $13 billion in drones.

The Asia-Pacific region emerges as the fastest-growing segment during the forecast period. Rapid technology adoption in agriculture and escalating infrastructure projects, attributed to population growth and urbanization, fuel the demand for drone software in the region. As per the National Agro-Tech Extension and Service Center (NATESC), China witnessed the use of over 120,000 drones for pesticide spraying on 1.07 billion mu of farmland in 2021.

COVID-19 Impact Analysis on the Global Drone Software Market:

The COVID-19 pandemic significantly impacted the drone software market. Travel restrictions and social distancing norms led to slowdowns in procuring drone components, subsequently reducing drone production and, consequently, the demand for drone software. However, the imperative for contactless delivery prompted e-commerce platforms to adopt drone-based delivery solutions, thereby boosting the usage of drone software. Additionally, hospitals, clinics, and research facilities employed specialized drones to monitor virus impacts in remote areas and facilitate vaccine deliveries, further increasing the usage of drone software for monitoring and delivery processes.

Latest Trends/ Developments:

The global Drone Software Market features a diverse landscape with the presence of numerous global companies. These entities strive to enhance market share through strategies such as acquisitions, partnerships, and investments. The surge in autonomous technology, particularly drones, has propelled the drone software market forward. Autonomous drones, leveraging AI and machine learning technologies, require minimal human intervention while providing real-time insights to users. Moreover, the growing adoption of agricultural drones has spurred developers to create robust, secure, and efficient agricultural drone software, facilitating remote crop monitoring and field mapping. Advanced drone software equipped with 3D modeling capabilities finds utility in construction for infrastructure development and site inspections. The advent of AI and computer vision technologies aids security personnel in obstacle detection, unauthorized access tracking, and security reinforcement within their territories. The escalating environmental concerns have led to increased usage of environmental monitoring drones for pollution assessments, wildlife analysis, and environmental health evaluations. Moreover, the surge in demand for contactless and expedited delivery services has prompted e-commerce and food & beverage companies such as Amazon, Domino's, and others to adopt drone delivery solutions.

In March 2024, an India-based startup in Nashik launched AeroGCS Green software tailored for drones, specifically targeting the agriculture sector for insecticide spraying. Developed by Passenger Drone Research Private Limited, this software aids farmers in mapping fields and lanes for precise spraying.

In March 2022, Asteria Aerospace, a subsidiary of Jio Platforms, unveiled SkyDeck, a cloud-based drone software platform offering Drone-as-a-Service (DaaS) solutions across various industry verticals such as agriculture, surveying, industrial inspections, surveillance, and security. SkyDeck features a unified dashboard and services platform for drone management, flight scheduling, data processing, visualization, and AI-based analysis for aerial data capture. The software finds applications in diverse sectors including agriculture, construction, mining, oil & gas, telecom, power utilities, and others.

In June 2021, Alphabet Wing introduced OpenSky, an application-based drone software in the USA, available on both Google Playstore and iOS app store. OpenSky facilitates airspace authorization, enabling drone operators to request approval for operations in remote areas swiftly and easily.

Key Players:

1. DroneBaseInc
2. DJI
3. ESRI
4. Pix4D
5. DroneDeploy
6. PrecisionHawk, Inc
7. Skydio
8. Yuneec
9. OpenDroneMap
10. ArduPilot
11. AgisoftMetashape