Enterprise Drone Market To Grow And For Good Reasons

by Moumita Deb Choudhury    Feb 16, 2017


Just sometime back, UAVs (Unmanned Aerial Vehicles) or RPAS (Remotely Piloted Aerial Systems) commonly known as ‘drones’ was synonymous with wars, attacks on terrorists or pilot-less spying aircrafts. Times have changed, and so are the uses of UAVs. Now these flying objects are hugely benefiting the commercial segment too, as their potential is being recognized. Today, drones are used by industries in various profitable ways.  

Significance of Drones in the enterprise

Production of drones for personal and commercial use is growing rapidly, with global market revenue expected to increase 34 percent to reach more than $6 billion in 2017 and grow to more than $11.2 billion by 2020, according to a new forecast from Gartner. Almost three million drones will be produced in 2017, 39 percent more than in 2016.

While the civil markets (personal and commercial) have been wading through regulation by various governments, drones’ popularity in these markets has not diminished. The overall drone market will see substantial growth, but the dynamics of the personal and commercial submarkets are very different, Gartner analysts said.

The advantages of drone is far-reaching and is not just limited to ecommerce or military. Businesses today are contemplating to capitalize on its technology as it is space-age and booming. 

Amazon is looking into technology that would let it drop packages from its delivery drones to customer’s houses using parachutes. The internet retail giant has filed a patent for a system that would let parcels fall to the ground slowly with their descent directed by the drone. Under the proposals, the drone will propel the package to the ground using a burst of force from a system that includes electromagnets and spring coils, reports The Telegraph.

Key factors leading to the rise of Drones popularity

According to a study by MarketsandMarkets, The drone software market in Asia-Pacific region is expected to witness high growth during by 2020, owing to innovations in technology and increasing focus on the manufacturing of commercial drones at low cost.

The key factors expected to fuel the growth of the drone software market include increasing investments and the rising use of drones in commercial and military applications. Based on architecture, the open source segment is expected to dominate the market. Open source software are available freely and many companies are opting for open source software. The trend in drone software is towards open source software as end users require customized software for operating drones.

In fact, drones can go places humans cannot venture, making them great for surveillance, security, remote site inspections, news reporting, visual data collection at disaster sites, filmmaking, land surveying and other tasks.

As far as offering is concerned, the desktop software segment is estimated to lead the drone software market during the forecast period. Desktop-based software have the same responsive interface as app-based. However, desktop-based software are loaded with more complex drone data analysis, mapping, and image processing features. The advanced features provided by desktop-based applications are expected to result in the increased demand across industries.

When it comes to application, the analytics segment is anticipated to witness the highest growth in the drone software market during the forecast period. The data captured by drones can be used for analytics and provided to businesses to help them in decision-making. Drone software are developed according to the diverse needs of different applications.

Commercial Market Scenario

The market for commercial drones is much smaller, with a significantly higher average selling price in comparison with personal drones. With more countries solidifying their drone regulations, the market is beginning to stabilize, and companies are now buying drones to test and deploy in nearly every industry. Commercial drones normally have a higher payload, longer flight times, and redundant sensors and flight controllers to make them safer. They are more specialized to a function, such as mapping, delivery or industrial inspection, so prices vary according to these requirements, according to Gartner.

“The commercial and personal drone markets are increasingly overlapping, as lower-priced personal devices are being used for commercial ventures,” said, Gerald Van Hoy, senior research analyst at Gartner. “Personal drone vendors are now aggressively trying to position themselves in the commercial market. Recent technological advances blur the lines, allowing personal drones to be used in many special-purpose applications such as surveillance, 3D mapping and modelling.”

All things good, but what about security?

Extremists and terrorist organisations could build drones that can cause havoc by carrying heavy load of explosives into public areas.

Another concern is that remote controlled drones mostly come with a camera and there are chances that common civilians will get spied on. 


Another thing with drones is the ease with which it can be hacked as the tools required to do so is available to anyone having a computing device. There are also high chances that useful data may be siphoned off and put into negative uses. 

Disruptive technologies used in drone software industry are changing the way organisations envisions and does business, helping them gain a competitive advantage.