A delivery drone is an autonomous unmanned aerial vehicle employed to deliver goods, medical supplies, food, and other goods. Delivery drones are generally autonomous, though some types require the user's permission to fly. In May 2021, the U.S. Federal Aviation Administration (FAA) presented two options to regulate the safe use of drones, one of which would establish a minimum safety standard for all types of delivery. The FAA granted Amazon the permission to use its Prime Air delivery drones to securely distribute deliveries to customers in August 2020.
The demand for delivery drones has significantly increased in the healthcare sector and the food & beverage sector since the outbreak of COVID-19 pandemic. DGCA (Directorate General of Civil Aviation), the national regulator of aviation in India, had approved the fleet of drones and jets of the Boeing Company in April 2021.
Drone delivery has been used in several instances as a substitute for more traditional aerial deliveries. It enables shorter delivery times, saving energy and money. Delivery Drones have also been used to make short, time-sensitive deliveries to homes and businesses, such as picking up flowers and food from the home, placing products on store shelves, and delivering parcels to people's front door. These deliveries are usually made within a 30 minute window, which makes these deliveries ideal for running a business out of one's home.
The delivery drones market has received much interest due to increasing demand for instant delivery services around the globe, provision of medical drugs at remote locations, and non-contact type delivery alternatives to avoid spread of contagious diseases such as COVID-19 infection. Although, customer adoption is a major restraint and sensitivity of drones are some of the factors that are limiting the market growth. Furthermore, stringent regulations associated with air traffic administration for delivery drones are poised to stifle growth of the delivery drones market.
Due to growing adoption of drones for commercial purpose in the region, North America is witnessing a considerable surge in the delivery drones market. The demand for the delivery drones market is likely to expand as the adoption of delivery drones increases in the military and defense sector for intelligence and surveillance purpose. Likewise, the integration of the AI (Artificial Intelligence) in drones for several applications in multiple sectors is projected to pave a way of growth opportunities for the companies operating in the delivery drones market.
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