Market Trends of Unmanned Ground Vehicle Industry
The Military Segment is Anticipated to Show Significant Growth During the Forecast Period
The military segment is projected to show significant growth in the unmanned ground vehicle market during the forecast period. The growth is attributed to the growing adoption of unmanned ground vehicles (UGVs) by the defense forces and increasing expenditure on the procurement of advanced robots for combat operations. UGVs are used in the military to mitigate risks taken by soldiers and provide solutions to physically demanding or dangerous tasks. There are two main types of UGVs: remotely controlled and autonomous. Remotely controlled UGVs are operated through a handheld or fixed control station, while autonomous UGVs can travel between pre-defined waypoints and roam throughout the environment without human operators to execute their mission.
Military UGV uses include explosive ordnance disposal (EOD), forward reconnaissance, equipment carrying, manned-unmanned teaming, and mobile weapons platforms. For instance, in July 2022, ZeroEyes, an artificial intelligence-based gun detection video analytics company, signed a contract with the US Air Force's AFWERX directorate for the research and development of unmanned ground vehicle (UGV) automated threat detection. The contract includes the integration of the company's AI gun detection system with UGVs at Minot Air Force Base in North Dakota. The value of the contract was USD 1.2 million. Also, in January 2022, the Republic of Korean Army (RoKA) received two new 66 multirole unmanned ground vehicles (UGVs) manufactured by Hyundai Rotem. The company announced that the two Multi-Purpose UGVs (MPUGVs) were delivered to the service following six months of evaluation by the Defense Acquisition Program Administration (DAPA) and the RoKA.
Thus, growing expenditure on the defense sector and rising procurement of unmanned systems to improve soldiers' safety and overall performance of critical missions will drive the growth of the market during the forecast period.
Asia Pacific Will Showcase Remarkable Growth During the Forecast Period
Asia Pacific is projected to show highest growth in the unmanned ground vehicle market during the forecast period. The growth is attributed to the increasing demand for unmanned systems for combat operations and growing expenditure on defense sector from China, India, South Korea, and Japan. According to the Stockholm International Peace Research Institute (SIPRI), in 2022, China and India were the second and fourth largest defense spenders in the world with a defense budget of USD 292 billion and USD 81.4 billion, respectively.
Rising cross-border conflicts between India-China and China-Taiwan, political disputes among neighboring countries, and growing terrorism across the region leads to increasing military spending and procurement of advanced defense systems. Indian government started 'Make in India' initiative to supports local defense OEMs to develop and manufacture advanced defense products.
For instance, in August 2022, Edgeforce India, an Indian start up unveiled Astro, an unmanned ground vehicle. Autonomous Surveillance and Tracking Rover (Astro) is a wheeled UGV that works in both teleoperated and autonomous modes for performing surveillance operations. It has ability to integrate various types of surveillance equipment and perform numerous duties in all-weather, semi-amphibious, all-day conditions. Also, in December 2022, the Indian Army announced that they had recently procured Milrem Robotics' Tracked Hybrid Modular Infantry System (Themis) unmanned ground vehicle (UGV) from Estonia. Themis has been making waves in the military technology sector, and India became the latest country to add it to its arsenal. Moreover, the addition of Themis to the Indian Army would provide a significant boost to their capabilities. Thus, growing expenditure on procurement of advanced UGVs and rising use of robotics systems for commercial applications drive the market growth across the region.
