AI In The Drone Market Size, Share, Opportunities, And Trends By Technology Type (Software, AI-pilot, Others), By Offerings (Hardware, Software), By End-User (Defence, Logistics and Delivery, Agriculture and Precision Farming, Disaster Management and Search & Rescue, Environmental Monitoring, Others), And By Geography - Forecasts From 2025 To 2030
- Published : Dec 2024
- Report Code : KSI061617023
- Pages : 144
AI In The Drone Market Size
The AI in the drone market is projected to grow at a CAGR of 30.49% over the forecast period, increasing from US$31.923 billion in 2025 to US$120.410 billion by 2030.
In the drone market, artificial intelligence offers key applications. Artificial intelligence helps to offer autonomy to unmanned aerial vehicles and also enhances the capabilities of the drones. The AI in drones offers its application across multiple industries, like defense, agriculture, surveillance, surveys, and logistics among others. In the agriculture sector, AI-based drones can map and monitor livestock and crop production.
A major factor propelling the growth of AI in the drone market is the increasing utilization of drones in the global logistics and e-commerce sector. In the logistics and e-commerce sector, AI-based drones can offer the capability to enhance the efficiencies of the delivery processes. Various global companies have introduced drone-based delivery solutions across multiple nations. For instance, in October 2023, Amazon, a global leader in the e-commerce sector introduced drone delivery solutions in multiple countries like the UK, and Italy.
The growth in the global e-commerce retail sector is expected to propel the demand for AI drones in the logistics and e-commerce sectors. The Census Bureau of the USA stated that e-commerce retail sales in the nation witnessed significant growth in the past few years. The agency stated that during the first quarter of 2024, the total retail sales of the e-commerce sector were recorded at US$287,855 million, which was about 15.8% of the total retail sales. The e-commerce retail sales increased to US$292,567 million during the second quarter of 2024 and finally reached US$300,053 million during the third quarter of 2024.
What are the drivers of the AI in the drone market?
- Growing global defense expenditure
AI drones offer key application in the global market. In the defense sector, drones help enhance the efficiencies of surveillance systems and improve military capabilities. With the rising global military and defense expenditure in the global market, the demand for AI in the drone market is expected to significantly increase.
The Stockholm International Peace Research Institute in its global report stated that in 2023, the global military expenditure witnessed a growth of about 6.8% compared to 2022. The agency stated that in 2023, the total military expenditure of the USA and China was recorded at US$916 and US$296 billion respectively. Similarly, the military expenditure of Russia and India was recorded at US$109 and US$83.6 billion respectively.
- Increasing demand for the AI-powered software in drones
The growth of AI in the drone software segment is primarily driven by better data analysis and interpretation, automated processing of data, accuracy and productivity, and advanced analytics functionalities. Such software connected to AI is expected to be more significant due to efficiency in the processing of the enormous amounts of data collected by drones in the forms of pictures, videos, and sensor readings to reduce the consumption of time and effort to do this processing. It can also define possible patterns, unusual behaviors, and trends in drone data for improved and more informed decisions. The enhancement in this segment is majorly attributable to the high adoption of AI in the drone industry.
Further, SafePro AI delivered SpotlightAI ONSITE real-time AI-powered drone image processing introduced in December 2024. This is a real-time threat detection software for over 150 land mines and unexploded ordinance classes from drone imagery, in support of forward operations. It offers extensive practical field experience in Ukraine under real-world testing by Safe Pro AI, a subsidiary of Safe Pro AI. It is designed to work with virtually any drone. Thus, these latest innovations and advancements result in more demand for increased AI in drone software technologies in turn increase in the market in years to come.
Additionally, AI-powered software in drones is opening a doorway for certain new applications, such as precision agriculture, infrastructure inspection, and delivery services. The AI-powered drone software providers are launching software for various sector applications such as environmental monitoring, search and rescue, and logistics-specific solutions. On an application basis, this segment is witnessing an expansion across industries, which is contributing to the market growth.
What are the key geographical trends shaping the AI in the drone market?
By geography, the AI in the drone market is segmented into North America, South America, Europe, Middle East and Africa, and Asia Pacific. The major economies like China, Japan, India, and South Korea dominate the Asia-Pacific region. Some of the fastest-growing emerging economies are from this region such as ASEAN countries.
North America is expected to have a significant market share for AI in the drone market. USA AI in the drone market is witnessing growth due to emerging technology advances in machine learning, computer vision, and natural language processing which are opening up an avenue for future-proofing solutions. Such advanced AI technologies allow drones to perform more sophisticated functions while managing tasks within autonomy. Increased demand for industrial automation in the region is improving efficiency in task performance and reducing costs and safety incidents which support the case for using AI-powered drones for outsourcing tasks like data collection, inspections, and deliveries.
Additionally, as per Federal Aviation Administration data of the U.S. of October 2024, there were 791,597 registered drones, while 396,746 drones were commercial registered and 415,635 were remote pilot certified. The increasing density of drones in the region indeed necessitates advanced technologies like AI to address the challenges of space complexity, safety, and enhanced drone capabilities. The huge amount of data produced by drones will provide a fertile ground for AI R&D towards training algorithms for object detection, navigation, and decision-making, among other tasks as well as increase utilization in the security and surveillance purposes by the defense sector of the USA.
Besides that, such increasing numbers of drones bring new avenues for regional AI companies to work on the development and deployment of AI-based solutions for drone operations such as traffic management systems, collision avoidance systems, and payload delivery systems. The innovations are making complex information accessible and can democratize the adoption of AI-powered drone solutions, leading to promoting their utilization in agriculture, delivery, and infrastructure inspection in the region.
AI in the drone Market Segment Analysis:
The AI in the drone market, by technology type, is divided into software, AI pilot, and others. The software category is forecasted to attain a greater market share.
By offerings, the AI in the drone market is divided into hardware and software. The hardware category is forecasted to attain a greater market share.
The AI in the drone market, by end-user, is divided into defense, logistics & delivery, agriculture & precision farming, disaster management and search & rescue, environmental monitoring, and others. The defense category is forecasted to attain a greater market share.
Key developments in the AI in the drone market:
The market leaders for the AI in the drone market are Folio3 Software Inc., Saiwa, Shield AI, Skydio, Lockheed MartinAirobotic Nearthlab, Percepto, Ayaan Autonomous Systems Pvt. Ltd., AI Aerial Dynamics, Asteria Aerospace, Skylark Drones, and Blue Bear Systems Research Ltd.. The key players in the market implement growth strategies such as product launches, mergers, acquisitions, etc. to gain a competitive advantage over their competitors. For Instance,
- In January 2024, Nearthlab, a prominent developer of autonomous drone technologies, made a big stir through the launch of its “AIDrone”, representing the merging of AI with drone technology.
- In December 2023, Dronewatch launched ChatUAV, described as the world's first AI-powered drone knowledge base to answer all queries and questions that are drone-related from hobbyist to professional regulatory issues.
- In October 2023, Maris-Tech launched “Jupiter Drones,” an Ultra-Compact AI-powered video analytics product for the autonomous aerial vehicle market. A wide range of professional civilian, homeland security, and defense applications are suitable for Jupiter Drones.
AI in Drone Market Scope:
| Report Metric | Details |
| AI in Drone Market Size in 2025 | US$31.923 billion |
| AI in Drone Market Size in 2030 | US$120.410 billion |
| Growth Rate | CAGR of 30.49% |
| Study Period | 2020 to 2030 |
| Historical Data | 2020 to 2023 |
| Base Year | 2024 |
| Forecast Period | 2025 – 2030 |
| Forecast Unit (Value) | USD Billion |
| Segmentation |
|
| Geographical Segmentation | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| List of Major Companies in AI in Drone Market |
|
| Customization Scope | Free report customization with purchase |
AI in the Drone Market is analyzed into the following segments:
- By Technology Type
- Software
- AI-pilot
- Others
- By Offerings
- Hardware
- Software
- By End-User
- Defence
- Logistics and Delivery
- Agriculture and Precision Farming
- Disaster Management and Search & Rescue
- Environmental Monitoring
- Others
- By Geography
- North America
- USA
- Canada
- Mexico
- South America
- Brazil
- Argentina
- Rest of South America
- Europe
- United Kingdom
- Germany
- France
- Italy
- Spain
- Rest of Europe
- Middle East and Africa
- Saudi Arabia
- UAE
- Rest of the Middle East and Africa
- Asia Pacific
- China
- Japan
- South Korea
- India
- Indonesia
- Thailand
- Taiwan
- Rest of Asia-Pacific
- North America
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Frequently Asked Questions (FAQs)
The global AI in drone market is projected to grow at a CAGR of 30.49% during the forecast period.
The AI in drone market is projected to reach a market size of US$120.410 billion by 2030.
AI In Drone Market was valued at US$31.923 billion in 2025.
Asia Pacific is forecasted to hold a major share of the AI In Drone Market.
The major factor driving the growth of AI in the drone market is the increasing demand for autonomous operations and real-time data processing across industries like agriculture, logistics, and surveillance.
1. INTRODUCTION
1.1. Market Overview
1.2. Market Definition
1.3. Scope of the Study
1.4. Market Segmentation
1.5. Currency
1.6. Assumptions
1.7. Base and Forecast Years Timeline
1.8. Key benefits for the stakeholders
2. RESEARCH METHODOLOGY
2.1. Research Design
2.2. Research Process
2.3. Data Validation
3. EXECUTIVE SUMMARY
3.1. Key Findings
3.2. Analyst View
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porter’s Five Forces Analysis
4.3.1. Bargaining Power of Supplier
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. AI IN THE DRONE MARKET BY TECHNOLOGY TYPE
5.1. Introduction
5.2. Software
5.3. AI-pilot
5.4. Others
6. AI IN THE DRONE MARKET BY OFFERINGS
6.1. Introduction
6.2. Hardware
6.3. Software
7. AI IN THE DRONE MARKET BY END-USER
7.1. Introduction
7.2. Defence
7.3. Logistics and Delivery
7.4. Agriculture and Precision Farming
7.5. Disaster Management and Search & Rescue
7.6. Environmental Monitoring
7.7. Others
8. AI IN THE DRONE MARKET BY GEOGRAPHY
8.1. Global Overview
8.2. North America
8.2.1. By Technology Type
8.2.2. By Offerings
8.2.3. By End-User
8.2.4. By Country
8.2.4.1. United States
8.2.4.2. Canada
8.2.4.3. Mexico
8.3. South America
8.3.1. By Technology Type
8.3.2. By Offerings
8.3.3. By End-User
8.3.4. By Country
8.3.4.1. Brazil
8.3.4.2. Argentina
8.3.4.3. Rest of South America
8.4. Europe
8.4.1. By Technology Type
8.4.2. By Offerings
8.4.3. By End-User
8.4.4. By Country
8.4.4.1. United Kingdom
8.4.4.2. Germany
8.4.4.3. France
8.4.4.4. Italy
8.4.4.5. Spain
8.4.4.6. Rest of Europe
8.5. Middle East and Africa
8.5.1. By Technology Type
8.5.2. By Offerings
8.5.3. By End-User
8.5.4. By Country
8.5.4.1. Saudi Arabia
8.5.4.2. United Arab Emirates
8.5.4.3. Rest of Middle East and Africa
8.6. Asia-Pacific
8.6.1. By Technology Type
8.6.2. By Offerings
8.6.3. By End-User
8.6.4. By Country
8.6.4.1. China
8.6.4.2. Japan
8.6.4.3. South Korea
8.6.4.4. India
8.6.4.5. Indonesia
8.6.4.6. Thailand
8.6.4.7. Taiwan
8.6.4.8. Rest of Asia-Pacific
9. COMPETITIVE ENVIRONMENT AND ANALYSIS
9.1. Major Players and Strategy Analysis
9.2. Emerging Players and Market Lucrativeness
9.3. Mergers, Acquisitions, Agreements, and Collaborations
9.4. Competitive Dashboard
10. COMPANY PROFILES
10.1. Folio3 Software Inc.
10.2. Saiwa
10.3. Shield AI
10.4. Skydio
10.5. Lockheed Martin
10.6. Airobotics
10.7. Nearthlab
10.8. Percepto
10.9. Ayaan Autonomous Systems Pvt. Ltd.
10.10. AI Aerial Dynamics
10.11. Asteria Aerospace
10.12. Skylark Drones
10.13. Blue Bear Systems Research Ltd (Saab UK Ltd.)
Folio3 Software Inc.
Saiwa
Shield AI
Skydio
Airobotics
Nearthlab
Percepto
Ayaan Autonomous Systems Pvt. Ltd.
AI Aerial Dynamics
Asteria Aerospace
Skylark Drones
Blue Bear Systems Research Ltd (Saab UK Ltd.)
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