Increasing growth of UAVs in the U.S. to drive the global demand for UAV chips

The UAV chips market worldwide is expected to grow with a CAGR of 9.6% during the forecast period from 2023 to 2030. Unmanned aerial vehicle is a non-human pilot or passenger aircraft. UAVs — sometimes referred to as drones — may be fully or partially autonomous, but a human pilot controls them more often remotely. The chips used in these UAVs are called UAV chips. These chips are made from silicon and other semiconductor devices. There has been an increasing demand for such chips especially since the launch of several safety norms led by the government or other safety authorities. The U.S. is anticipated to dominate the global UAV chips market owing to rising demand for UAVs especially for recreational purposes.

Fixed Wing UAVs to dominate the global market throughout the forecast period

In 2021, the fixed wing UAVs segment dominated the global UAV chips market owing to increasing sales of fixed wing UAVs across several end use applications. People from all the age groups opting for UAVs adopt fixed wing UAVs due to easy availability, less cost and ease of operation. Morevoer, owing to the less costs, the fixed wing UAVs have witnessed huge demand from commercial and military applications. This rising number of fixed wing UAVs are in turn anticipated to drive the demand for UAV chips over the forecast period.

Asia Pacific to Register the Fastest Growth

North America accounted for the largest share, in terms of revenue, in 2021 and is set to retain its dominance over forecast period. Favorable government initiatives towards drone advancement along with growing demand for drone-acquired data are the major factors supporting the regional market growth. In addition, the U.S. Federal Aviation Administration (FAA) has issued new regulations to provide more consistent and coherent guidance on the legal and safe operation of UAVs in commercial spaces. It is expected that such rules and regulations will reduce entry barriers and increase the adoption of regional products.

Asia Pacific is projected to witness the fastest CAGR during the forecast period. Countries such as China and Japan are increasingly accepting automation and advanced technology in order to counter rising labor costs. The higher efficiency of UAVs compared to human labor is expected to boost their adoption across the region for certain tasks, particularly in the agriculture sector. Due to several favorable regulations, drone sales in Europe are steadily increasing. Companies operating on the regional market are exploring new ways of transforming their conventional business processes by taking advantage of the benefits that drones offer.

Some of the prominent players operating in the UAV Chips market include Qualcomm, Intel, STMicroelectronics, TI, Samsung, ATMEL, Nuvoton, XMOS, NVIDIA and Rockchip among others.

Historical & Forecast Period

This study report represents analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.

The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.

Research Methodology

The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of UAV Chips market are as follows:

• Research and development budgets of manufacturers and government spending
• Revenues of key companies in the market segment
• Number of end users and consumption volume, price and value.
• Geographical revenues generate by countries considered in the report
• Micro and macro environment factors that are currently influencing the UAV Chips market and their expected impact during the forecast period.

Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.

Key questions answered in this report

• What are the key micro and macro environmental factors that are impacting the growth of UAV Chips market?
• What are the key investment pockets with respect to product segments and geographies currently and during the forecast period?
• Estimated forecast and market projections up to 2032.
• Which segment accounts for the fastest CAGR during the forecast period?
• Which market segment holds a larger market share and why?
• Are low and middle-income economies investing in the UAV Chips market?
• Which is the largest regional market for UAV Chips market?
• What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
• Which are the key trends driving UAV Chips market growth?
• Who are the key competitors and what are their key strategies to enhance their market presence in the UAV Chips market worldwide?