Market Size of Unmanned Traffic Management Industry
Study Period | 2019 - 2029 |
Market Size (2024) | USD 0.98 Billion |
Market Size (2029) | USD 2.87 Billion |
CAGR (2024 - 2029) | 23.50 % |
Fastest Growing Market | Europe |
Largest Market | North America |
Major Players*Disclaimer: Major Players sorted in no particular order |
Unmanned Traffic Management (UTM) Market Analysis
The Unmanned Traffic Management Market size is estimated at USD 0.98 billion in 2024, and is expected to reach USD 2.87 billion by 2029, growing at a CAGR of 23.5% during the forecast period (2024-2029).
- Unmanned traffic management system (UTM) development would ultimately identify services, information architecture, roles and responsibilities, software functions, infrastructure, data exchange protocols, and performance requirements that enable the management of low-altitude uncontrolled drone operations.
- UTM technology allows delivery drones and air taxis to enter future airspace with improved security. The system is jointly developed by the National Aeronautics and Space Administration (NASA), the Federal Aviation Administration (FAA), and other agencies to manage unmanned aerial vehicle operations. The stringent government regulations regarding the operation of unmanned aerial vehicles can act as a restraint to the market's growth.
- The use of drones is becoming increasingly common in various industries, including agriculture, surveillance, logistics, and transportation. Systems are needed to ensure drone operations are safe, efficient, and organized. The goal of unmanned traffic management is to establish a framework for managing drone traffic in the current airspace alongside manned aircraft.
- Due to the growing demand for commercial drone applications and advancements in drone technology, the unmanned traffic management market has experienced significant growth in recent years.
Unmanned Traffic Management (UTM) Industry Segmentation
An unmanned traffic management system helps manage unmanned aerial systems (UAS) operations. The systems provide services, information architecture, and infrastructure for managing low-altitude uncontrolled unmanned aerial vehicle operations.
The unmanned traffic management market is segmented based on component, application, and geography. By component, the market is segmented into hardware, software, and services. By application, the market is segmented into agriculture and forestry, transportation and logistics, and surveillance and monitoring.
For each segment, the market sizing and forecasts have been done on the basis of value (USD).
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Hardware | |
Software | |
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Agriculture and Forestry | |
Transportation and Logistics | |
Surveillance and Monitoring |
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Unmanned Traffic Management Market Size Summary
The unmanned traffic management (UTM) market is poised for substantial growth, driven by the increasing integration of drones across various sectors such as agriculture, surveillance, logistics, and transportation. This market is characterized by the development of systems that ensure safe, efficient, and organized drone operations alongside manned aircraft. The UTM technology, collaboratively developed by agencies like NASA and the FAA, is crucial for facilitating the entry of delivery drones and air taxis into future airspace with enhanced security. However, stringent government regulations regarding unmanned aerial vehicle operations pose potential challenges to market expansion. The market's growth is further fueled by the rising demand for commercial drone applications and advancements in drone technology, which have significantly boosted the market's trajectory in recent years.
The UTM software segment is expected to experience remarkable growth, providing real-time data on UAVs and informing pilots about airspace restrictions. The increasing procurement of drones for commercial and military applications, particularly in countries like the United States, China, and India, is a key driver of this segment's expansion. Investments in advanced software solutions for air traffic planning are also contributing to market growth. Notable developments include the launch of a drone traffic management system in India by Skye Air and the deployment of software solutions by companies like AirMap Inc. and ANRA Technologies to manage UAV traffic. North America leads the market, supported by a significant number of unmanned aerial vehicles and substantial investments in research and development. The market is consolidated, with major players like OneSky Systems, Inc., THALES, and Frequentis AG focusing on developing advanced UTM solutions to meet the growing demand for drone logistics and last-mile delivery services.
Unmanned Traffic Management Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Overview
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1.2 Market Drivers
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1.3 Market Restraints
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1.4 Porter's Five Forces Analysis
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1.4.1 Bargaining Power of Suppliers
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1.4.2 Bargaining Power of Buyers/Consumers
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1.4.3 Threat of New Entrants
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1.4.4 Threat of Substitute Products
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1.4.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Component
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2.1.1 Hardware
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2.1.2 Software
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2.1.3 Services
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2.2 Application
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2.2.1 Agriculture and Forestry
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2.2.2 Transportation and Logistics
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2.2.3 Surveillance and Monitoring
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2.3 Geography
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2.3.1 North America
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2.3.1.1 United States
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2.3.1.2 Canada
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2.3.2 Europe
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2.3.2.1 Germany
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2.3.2.2 United Kingdom
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2.3.2.3 France
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2.3.2.4 Russia
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2.3.2.5 Rest of Europe
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2.3.3 Asia-Pacific
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2.3.3.1 India
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2.3.3.2 China
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2.3.3.3 Japan
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2.3.3.4 South Korea
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2.3.3.5 Rest of Asia-Pacific
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2.3.4 Latin America
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2.3.4.1 Brazil
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2.3.4.2 Rest of Latin America
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2.3.5 Middle East and Africa
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2.3.5.1 United Arab Emirates
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2.3.5.2 Saudi Arabia
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2.3.5.3 Israel
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2.3.5.4 South Africa
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2.3.5.5 Rest of Middle East and Africa
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Unmanned Traffic Management Market Size FAQs
How big is the Unmanned Traffic Management Market?
The Unmanned Traffic Management Market size is expected to reach USD 0.98 billion in 2024 and grow at a CAGR of 23.5% to reach USD 2.87 billion by 2029.
What is the current Unmanned Traffic Management Market size?
In 2024, the Unmanned Traffic Management Market size is expected to reach USD 0.98 billion.