Drone Package Delivery Market

Drone Package Delivery Companies - Alphabet Inc.(US), Deutsche Post DHL Group (Germany) are the Key Players

The Drone Package Delivery Market is projected to grow from USD 228 Million in 2022 to USD 5,556 Million by 2030, at a CAGR of 49.0% from 2022 to 2030. Development of aerial delivery drones for use in geographically challenging areas, and Incorporation of IoT in ecosystem of delivery drones are some of the factors fueling the growth of the market.

The commercial applications of drones have grown in the past couple of years due to the development of vision and collision avoidance systems that have made drones safe for use in public places. In the coming years, these collision avoidance systems are expected to further improve with the development of sensors that could guide drones in case of failure of vision systems. These sensors are expected to work effectively in fog and other extreme weather conditions, where normal cameras become ineffective. AI is the next focus of the drone industry. This new technology is expected to enable drones to perform all tasks, right from their launch and navigation to data acquisition, data transmission, and data analysis. The incorporation of AI in drones will also reduce the amount of skills required by UAV pilots.

Major Drone Package Delivery Companies Include:

  • Alphabet Inc. (US)
  • DHL International GmbH (Germany)
  • Zipline (US)
  • United Parcel Service of America, Inc. (US)
  • FedEx (US)

These players have adopted various growth strategies such as contracts, agreements, acquisitions, expansions, new product launches, partnerships & certifications, investments, venture capital funding, new service launches, and research & development (R&D) activities to further expand their presence in the drone package delivery market.

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Alphabet Inc is a US-based holding company, with Google, as a wholly-owned subsidiary. Wing Aviation LLC is a subsidiary of Alphabet Inc. (US), offering autonomous drones for on-demand delivery of food, medicines, and other items within minutes to increase access to goods, reduce traffic congestion in cities, and help ease the CO2 emissions attributable to transportation of goods. It has developed an unmanned traffic management system that allows unmanned aircraft to navigate around other drones, manned aircraft, and other obstacles like trees, buildings, and power lines, thus offering faster and safer services. The company is currently providing its services in the US, Australia, and Finland.

Deutsche Post DHL Group is a Germany-based logistics company offering drone package delivery services across the globe. The company has presence in more than 220 countries and territories. The company works under 5 bussiness segments which are Express, Global Forwarding Freight, Postal & Parcel Germany, Supply chain and Ecommerce Solutions. The company is doing fully automated last-mile drone package deliveries in China. The company has joined with EHang develop fully automated delivery solutions for China’s metropolitan. Later, DHL is planning to expand these services to other regions around the world.

Zipline is a US-based logistics company that designs, manufactures, and operates aerial drones for delivery applications The company uses drones to deliver essential medical products, such as blood and animal vaccines, to hard-to-reach communities. It has a flight-testing center in Davis, California, and its delivery drones are assembled in the company’s facility in South San Francisco, California. In February 2021, Zipline signed a service level agreement with the Kaduna State Government to use drones in the health supply chain system. The delivery will include daily medical supplies, such as blood pints and medicines, and planned delivery of COVID-19 vaccines.

United Parcel Service of America is a premier provider of global supply chain management solutions. It is the world’s largest package delivery company and a leader in the US less-than-truckload industry. The global small package operations provide time-definite delivery services for express letters, documents, small packages, and palletized freight via air and ground services. UPS offers drone package delivery services in the US. It intends to expand the service across the globe. The company is focused on offering drone delivery for postal and medical packages to customers residing in private homes, retirement centers, and hospitals

FedEx is a major player that provides customers and businesses worldwide with a broad portfolio of transportation, ecommerce, and business services. The company operates through four business segments: FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services. FedEx offers last-mile drone delivery for postal and ecommerce packages across the US. It partnered with Wing Aviation LLC (US) in 2019 to test drone deliveries across the US as a part of the Unmanned Aircraft System Pilot Program launched by the US Department of Transport. The company is focusing on offering same-day drone package delivery services to residences in both urban and rural areas of countries across the globe through the FedEx Services segment.

Related Reports:

Drone Package Delivery Market by Solution (Platform, Infrastructure, Software, Service), Type (Fixed-Wing, Multirotor, Hybrid), Range (Short <25 Km, Long>25 Km), Package Size, Duration, End Use, Operation Mode, Region - Global Forecast to 2030

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Drone Package Delivery Market Size,  Share & Growth Report
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