Drone Motor Market Expected to Reach $9.9 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Drone Motor Market" was valued at $2.6 billion in 2021, and is estimated to reach $9.9 billion by 2031, growing at a CAGR of 15.1% from 2022 to 2031.

Drone electric motors transform electrical energy into mechanical energy, typically in the form of linear or rotary motion. This motion in the majority of drone motors is caused by the attraction or repulsion of two magnetic fields. One of these fields is created by a permanent magnet, and the other is produced by taking advantage of the magnetic field that is produced around a conducting wire when an electric current is sent through it. The moving portion of two motor parts in drones generate magnetic fields and is referred as rotor, and the stationary portion is referred as stator. The motor's rotational motion and the torque it produces can be used by harnessing the shaft that extends from the rotor.

North America dominated the drone motor market in 2021, in terms of revenue, followed by Asia-Pacific, Europe, and LAMEA. In addition, Asia-Pacific is expected to grow at the highest growth rate over the forecast period, owing to the rising photography activities with aerial view in construction and entertainment sector.

The global defense expenditure has seen exponential growth in the recent past. As per Stockholm International Peace Research Institute (SIPRI), the global military expenditure has reached more than $1.9 trillion in 2021 with an increase of around 2.6% year-on-year. To modernize the defense forces in order to tackle the rise in threats of wars and other internal conflicts, many nations are continuously increasing their spending in defense in order to manufacture and purchase advanced security solutions.

The military expenditure accounted for 2.4% of the global gross domestic product (GDP) in 2021. Thus, an increase in global military expenditure has augmented the adoption of simulation and training technology. Furthermore, the attacking capabilities and advancements of weapons across the globe have created the demand for modernization and installation of sophisticated defense infrastructure by governments to be prepared for any unprecedented threats and offensive attacks from foreign countries. Militaries across the world are investing in the UAV solutions such as drones for effective operations of advanced security systems. Thus, upsurge in military spending is predicted to drive the sales of military drone motors over the forecast period.

The government funding for drones is growing to improve the productivity of military operations. This is expected to increase the production and demand of drones. As per the report published by the Bard College Center for the Study of the Drone, in 2019, the funding of US Army has increased by $719 million compared to 2018, and the funding of US Navy's for unmanned systems increased by $1 billion.

The US Department of Defense (DOD) also demanded an approx. amount of $9.3 billion for drones and associated technologies in 2020, demonstrating a major expansion of 26% in drone spending over the budget, which was USD 7.5 billion. The DOD has been earmarked about $7.5 billion in the fiscal year 2021 for a range of robotic platforms and related technologies. Most of the global spending of defense is ascribed to the procurement and development of drones, which eventually increases the demand for drone motors.

The rotor type of drone is the largest segment of the drone motor market, accounting for a majority of the market's revenue. The demand for rotor-type drones will increase as they offer better control around objects, which leads to use in the entertainment business for capturing shots that require high mobility. The increased popularity of vlogging content on various platforms drives up demand for rotor-type drones.

The growth of activities such as drone racing has also aided in the development of rotor-type drones. These activities include the Fédération Aéronautique Internationale (FAI) drone racing championship and many other events. The demand for rotor-type drone will increase as the development in technology makes them more capable of performing various tasks efficiently. The rotor drone motor is expected to grow rapidly in the coming years, driven by the increasing adoption of drones for various applications. The drone motor market is also expected to be driven by technological advancements, such as improved battery technology and more advanced flight controllers, which are expected to increase the performance, capabilities and sales of rotor drones.

The hybrid drone is still relatively small with the annual revenue of $146.5 Mn in 2021, but it is growing rapidly as manufacturers and consumers recognize the benefits of hybrid propulsion systems. Hybrid drones offer improved range and endurance compared to traditional drones, with the combination of electric and combustion engines. This extended range and endurance make hybrid drones ideal for applications that require longer flight times and coverage, such as search and rescue and surveillance. These drones also offer greater flexibility compared to traditional drones and has ability to switch between electric and combustion engines. This flexibility allows hybrid drones to adapt to different flight conditions and environments.

The hybrid drone is expected to grow rapidly in the coming years, driven by the increasing adoption of drones for various applications. The drone motor market is also expected to be driven by technological advancements, such as improved battery technology and more advanced flight controllers, which are expected to increase the performance and capabilities of hybrid drones. These drones will see increased demand in the future because they are fully autonomous and have characteristics of both rotor-type and fixed-wing types, such as hovering with control and stable forward flight, which is expected to increase the sales over the forecast period.

The leading players operating in the drone motor market are Constar Micromotor Co., Ltd., Faulhaber Group, Hacker Motor USA, KDE Direct, KO Technologies, Mad Motor Components Co.,Ltd., Neumotors, Nidec Corporation, T-motor, and X-TEAM.

COVID-19 Impact Analysis:

The drone business doesn't seem to have suffered greatly financially from the outbreak. The fact that industry leaders entered 2020 worried about the consumer market for flying drones for fun may have even aided it. That might not be the case anymore. In 2021, NPD had claimed that sales of consumer drones "soared" during the pandemic, with sales more than doubling from March to November of 2020 in comparison to 2019. This was likely due to people who were locked down at home looking for socially distant hobbies. According to research by droneanalyst.com on the drone hardware market published in 2021, the sales of drones used for agricultural spraying increased by a staggering 135%, with Asia accounting for the majority of the gain