The global market for military unmanned aerial vehicles (UAVs) is anticipated to grow at a compound annual growth rate (CAGR) of 4.89% in the next ten years, from an estimated $8.5bn in 2016, says a report by Strategic Defence Intelligence (SDI).
Titled “The Global Unmanned Ground Vehicles Market 2016-2026”, the report states that the value of the military UAV market is projected to be $13.7bn by 2026, whereas the cumulative market value is anticipated to be $114bn over the forecast period.
The report also claims that internal and external security threats, territorial disputes, and modernisation efforts undertaken by the military forces across the world are anticipated to drive the demand for UAVs.
Major UAV customers include nations in North America and Europe, while the global UAV market is projected to be overshadowed by the US.
Asia Pacific is anticipated to emerge as the third biggest market after Europe, as the procurement is likely to be high in the region due to a number of international territorial disputes and insurgency issues.
The unmanned combat aerial vehicle (UCAV) platforms, when compared with other UAV categories, are expected to attract more customers as they offer high lethality and precision strike capabilities for the military forces, adds the report.