The unexpected shifts in the global markets because of the sudden outbreak of the COVID-19 virus have brought many major and minor tremors to industries of all sizes including the Unmanned Traffic Management Market.
It was estimated prior to this unanticipated outbreak that the Unmanned Traffic Management Market was likely to witness an impressive CAGR of 21.2% during the forecast period. However, the gradual slowing down of industries will undoubtedly impose limits on the previously estimated growth rate. The escalating need for UTM solutions to assimilate self-governing aerial vehicles in commercial airspace is another factor significantly contributing to the growth of the global unmanned traffic management market.
Unmanned Traffic Management Market Segment Insights:
By End-Use Type:
The logistics & transportation segment dominated the market in 2018, and is likely to continue its leading position during the forecast period. The growth of this segment is owing to the growth in application of small Unmanned Aerial Systems (below 25 kg in weight) by e-commerce and retail companies.
By Solution Type:
The communication infrastructure segment is expected to remain dominant during the forecast period. The growth of this segment is driven by the growing acceptance of Beyond Line of Sight Operations (BVLOS), which demand precise communication between UTM and drone operators.
The persistent UTM segment is estimated to register a higher growth in the coming five years. This growth can be attributed to the increase in logistics and transportation activities in the developed economies, such as the US, the UK, and Switzerland.
By Component Type:
The services segment commanded the market in 2018, and is likely to remain dominant during the forecast period as well. The prime focus of unmanned traffic management will be on service providers delivering flight and security and information to UTM as well as drone operators.
North America dominated the unmanned traffic management market in 2018, and is estimated to maintain its dominance in the coming five years, driven by the growth in drone activities, rise in investments by various government agencies on drone BVLOS operations, and the regional presence of major global giants, such as AirMap, Lockheed Martin Corporation, and Harris Corporation. The North American region is expected to witness the highest growth during the forecast period. Europe and Asia-Pacific are also expected to offer substantial growth opportunities during the forecast period.