Market Size of Unmanned Combat Aerial Vehicle Industry
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 8.00 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Unmanned Combat Aerial Vehicle Market Analysis
The unmanned combat aerial vehicle (UCAV) market is expected to grow at a CAGR of more than 8% during the forecast period.
The defense sector has witnessed the mild impact of the COVID-19 pandemic. The global defense expenditure showed significant growth even during the pandemic. According to the Stockholm International Peace Research Institute (SIPRI), the total global military expenditure rose to USD 1,981 billion in 2020, an increase of 2.6 percent from 2019. The growth in defense expenditure continued in 2021 with a total global defense spending surpassing USD 2 trillion.
An unmanned combat aerial vehicle (UCAV) is also known as a combat drone used for intelligence, surveillance, reconnaissance (ISR), and target acquisition. The UACV carries aircraft ordnance such as ATGMs, missiles, and bombs in hardpoints for drone strikes. These drones are usually under real-time human control and can be used for both battlefield intelligence and drone strikes. Furthermore, combat drones offer an unprecedented ability by increasing accuracy, reducing the risks to civilians, and protecting military personnel from harm.
The increasing defense budgets and the territorial disputes between many nations, particularly in the Asia-Pacific and the Middle East & African regions, are the major reasons for the development of combat UAVs. Growing spending on procurement of next-generation drones due to rising warfare situations, political disputes, and cross-border conflicts among neighbouring countries. With the increasing demand for combat drones, companies and governments are investing in new and innovative UCAVs, with advanced target detection and identification capabilities. Thus, increasing defense spending and procurement of advanced combat drones drive the growth of the market during the forecast period.
