Unmanned Ground Vehicles Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

Unmanned Ground Vehicles Market Analysis

The global unmanned ground vehicles (UGVs) market was valued at USD 2,979.7 million in 2023, which is expected to grow at a CAGR of 6.1% during the forecast period (2024– 2030), to reach USD 4,472.1 million by 2030.

The major factors responsible for the growth of the market are the increasing use of robotics in areas affected by chemical, biological, radiological, and nuclear attacks, as well as the rising demand for autonomous systems in the defense and commercial sectors such as in the airports, agriculture, firefighting, law enforcement, and oil and gas sector.

Furthermore, the rising government investments in the development and acquisition of UGVs will accelerate the market growth. UGVs are being widely used for counter-insurgency and combat operations. The main reason behind this is to reduce the burden of human casualties in such situations. UGVs play an important role in different missions to increase situational awareness of militaries in urban warfare in combination with unmanned aerial vehicles (UAVs).

Unmanned Ground Vehicles Market Trends & Drivers

Technology Advancements – Autonomous UGV

• Autonomous UGVs are often used in rugged terrain, areas with harsh weather conditions, and places that are inaccessible to humans. In such situations, the use of these robots reduces the possibility of harm to security personnel.
• Furthermore, UGVs are being integrated with artificial intelligence (AI) and machine learning (ML) so they can adjust their strategies based on the surroundings and adapt to the surroundings without outside assistance.
• For instance, in April 2021, Indian start-up Torus Robotics Pvt. Ltd. signed a memorandum of understanding (MOU) with the Government of India for the joint development of AI-based UGVs for the armed forces with BEML Limited. Both companies are now developing a high-altitude UGV with a 750-kilogram payload.
• It is an all-terrain autonomous vehicle, which is expected to be used for logistics and surveillance, even in bad weather conditions. Therefore, technological advancements are a major trend witnessed in the UGVs market.

Defense Sector’s Soaring Need for UGVs

• UGVs are used in a variety of defense applications, including search and rescue, transportation, and combat support.
• UGVs are capable of operating in risky environments without harming human lives, which is a strategic benefit for modern armed forces. The defense sector is increasingly relying on UGVs as seen by their deployment in a variety of scenarios and terrains.
• Many companies that specialize in UGV technology play an important role in fulfilling the growing needs of the defense sector, which further contributes to the continual evolution of unmanned capabilities on the ground.
• Governments around the world are increasing their military spending and investing heavily in upgrading their defense fleets, which would benefit the UGVs market outlook.

Challenge of Continuous and Uninterrupted Power Supply

• The need for continuous and uninterrupted power supply poses a significant challenge for UGVs.
• These have an important role in mission-critical operations such as EOD and surveillance reconnaissance where well-timed operation is crucial. These vehicles depend on electrical energy to help their operations and ensure a reliable power source, which is crucial for their efficiency and autonomy.
• Demand for the energy of complex sensor systems, charging infrastructure, and battery limitations are other factors that hinder the smooth power supply. These factors can be solved by bringing innovative battery technology, energy-efficient technology, and advanced alternative power sources such as fuel cells.

Detailed Segmentation Analysis

Mobility Analysis

• The wheeled category generated the highest revenue share of 40% in 2023. This is due to the surging demand for wheeled robots for applications where the terrain is reasonable even with a few obstacles.
• Whereas, the hybrid category is projected to grow at the highest CAGR of 6.5% during 2024–2030. This growth can be due to its configuration ability for various roles such as medical evacuation, reconnaissance, target acquisition, observation, and logistics support platform.

Further, mobility types are divided into:

• Wheeled (Largest Category)
• Legged
• Tracked
• Hybrid (Fastest-Growing Category)

Mode of Operation Analysis

• The autonomous category is expected to grow at the highest CAGR of 6.3% during the forecast period, on the basis of mode of operation. The autonomous mode allows UGVs to carry out tasks and operations without the need for human interference.
• Safe communications and control, autonomous path following and obstacle avoidance, automated target detection, and data compression capabilities in UGVs are expected to assist militaries in reconnaissance, surveillance, and target acquisition (RSTA) missions.
• Whereas, teleoperated is the dominant category. This dominance is due to its advantages as compared to other modes of operations such as low-latency digital video, head-aimed remote viewers, and enhanced situational awareness.
• For example, Edgeforce revealed its ASTRO (Autonomous Surveillance and Tracking Rover) in August 2022, which is UGV-equipped with autonomous and teleoperated modes, which can be employed for surveillance operations. This product is an appropriate platform for paramilitary forces and armed forces for their operations.

During the study, we analyzed different types of modes of operation:

• Autonomous (Fastest-Growing Category)
• Teleoperated (Largest Category)
• Tethered

Application Analysis

• The law enforcement category is expected to have the highest CAGR of 6.7% during the forecast period, based on application.
• Various federal law enforcement agencies around the world, including the Federal Bureau of Investigation (FBI) in the U.S., the Russian Police in Russia, and the Ministry of Defence Police in the U.K., use UGVs for intelligence, surveillance, target acquisition, and reconnaissance (ISTAR) and explosive ordnance disposal (EOD).
• The military category held the largest market share of around 45% in 2023 and is anticipated to continue its dominance in the near future. Military unmanned ground vehicles are widely used for transportation, which helps improve logistical efficiency and increase army movement.
• Also, casualties are picked up by the military and battleground equipment off the field with the help of these vehicles.

Further, various applications are given below:

• Commercial
• Military (Largest Category)
• Law Enforcement (Fastest-Growing Category)

Size Analysis

• The small category dominates the market. This is due to its versatility, cost-effectiveness, and agility, which makes it suitable for different applications such as surveillance and urban operations.
• Additionally, small-sized UGVs have witnessed advancements in miniaturization technologies for delivering strong performance, which helps drive their extensive adoption across the commercial, military, and research sectors.
• Whereas, the large category is projected to grow at the highest CAGR of over 6.6% from 2024 to 2030. This growth is due to their ability to operate around difficult territories and move large objects smoothly. Civil security and military forces use these ground vehicles for the detection of any possible threats.
• Enhanced payload capacity and capabilities are offered by large UGVs, which are suitable for various tasks like the transportation of heavy equipment and logistics in challenging environments.

Further, the size segment is divided into:

• Small (Largest Category)
• Medium
• Large (Fastest-Growing Category)
• Very large
• Extremely large

System Analysis

• The payloads category dominates the market. This is associated with the increased performance of the vehicle due to advanced technology in sensing, control, and computer-empowered modern technologies.
• In the defense, security, and industrial sectors, greater emphasis is given to data-driven decision-making, due to which advanced payloads become a key factor that propels market dominance.
• On the other hand, the power system category is projected to grow at the highest CAGR of 6.8% during 2024–2030. The advanced technology in battery and power transmission is driving the market in this category.
• This growth pattern is an indication that the industry is focusing on overcoming power limitations and increasing the functioning capabilities of unmanned ground vehicles.

During the study, we analyzed different systems:

• Payloads (Largest Category)
• Navigation
• Controller
• Power (Fastest-Growing Category)
• Others

Regional Evaluation

• North America held the largest revenue share of around 50% in the unmanned ground vehicles market in 2023. This is because the U.S. is one of the world's largest manufacturers, users, and exporters of unmanned military systems.
• The two North American countries are awarding numerous contracts to major global unmanned ground vehicles market players for the delivery of combat-capable UGVs.
• For instance, the U.S. has deployed a number of unmanned systems along the Mexican border to ensure that gang-related violence and disputes are handled carefully, without any harm to humans.
• Whereas, the APAC market is projected to grow at the highest CAGR of 7.0% from 2024 to 2030. This can be due to the vigorous development of UGVs in the military sector in major countries of this region like India, China, South Korea, and Japan.
• Further, political tensions and cross-border conflicts between India and China and China and Taiwan along with the rising terrorism across the region have increased military spending and procurement of modern defense systems.
• The “Make in India” initiative was launched by the Indian government to provide strength to local defense original equipment manufacturers to develop and produce modern defense products.

Further, these regions and countries were analyzed for this report:

• North America (Largest Regional Market)
  • U.S. (Larger and Faster-Growing Country Market)
  • Canada
• Europe
  • Germany
  • U.K. (Largest Country Market)
  • France (Fastest-Growing Country Market)
  • Italy
  • Spain
  • Rest of Europe
• APAC (Fastest-Growing Regional Market)
  • China (Largest and Fastest-Growing Country Market)
  • Japan
  • India
  • South Korea
  • Australia
  • Rest of APAC
• Latin America
  • Brazil (Largest and Fastest-Growing Country Market)
  • Mexico
  • Rest of LATAM
• Middle East and Africa
  • Saudi Arabia (Largest Country Market)
  • South Africa
  • U.A.E. (Fastest-Growing Country Market)
  • Rest of MEA

Competitive Analysis

The market is consolidated in nature. The major players in the market are boosting their product portfolios by investing money in the research and development of products and offering them at reasonable prices, which increases market rivalry. The competition is very intense but advanced technologies are helping organizations to save time as well as cost while focusing on their efficiency and effectiveness.

Unmanned Ground Vehicles Industry News

• Russia installed four Marker Unmanned Ground Vehicles (UGVs) to strengthen its war efforts in Ukraine in April 2023. This is an anti-tank robotic UGV that was developed by a robotic company named “Androidnaya Tekhnika” in Russia to demolish enemy targets.
• In March 2023, the U.K. tested their heavy uncrewed ground vehicles (H-UGV) to examine terrain, speed, and communication systems capabilities. This was launched at the Eurosatory Defense and Security Exhibition in June 2022, developed by the Elbit Systems named ROBUST UGV.
• The Indian Army procured Milrem Robotics' Tracked Hybrid Modular Infantry System (Themis) unmanned ground vehicle (UGV) from Estonia in December 2022.