The global unmanned underwater vehicles market size is projected to reach USD 7.53 billion by the end of 2026. The increasing product applications in the defense sector will provide impetus to market growth. According to a report published by Fortune Business Insights, titled “Unmanned Underwater Vehicles Market Size, Share and Industry Analysis, By Type (Remotely Operated Vehicle (ROV), and Autonomous Underwater Vehicle (AUV)), By Application (Commercial Exploration, Scientific Research, Defense, and Miscellaneous), By Product Type (Small Vehicle, High-Capacity Electric Vehicle, Work-Class Vehicle, and Heavy Work-Class Vehicle), By Propulsion System (Electric System, Mechanical System, and Hybrid System), By Payload (Camera, Sensors, Inertial Navigation System, and Others), and Regional Forecast, 2019-2026,” the market was worth USD 2.96 billion in 2018 and will exhibit a CAGR of 12.8% during the forecast period, 2019-2026.
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Unmanned underwater vehicles are automated vehicles that operate under water. They are used for numerous marine as well as research and survey applications. The increasing use of these products in applications such as survey and research in the oil and gas industry will emerge in favor of the growth of the overall market.
The growing demand for oil and natural gas will create a subsequent demand for unmanned underwater vehicles across the world. The presence of several large scale companies, coupled with the massive investments by these companies will create several platforms for market growth. The emphasis on the development of low-energy consuming vehicles by government as well as private organizations will aid the growth of the overall market in the coming years. Moreover, technological advancements have played a vital role in the growth of the market, accounting to their applications across numerous industry verticals.
Increasing Number of Company Mergers Will Aid Market Growth
The report encompasses several factors that have contributed to the growth of the overall market in recent years. It highlights a few of the standout strategies adopted by major companies and includes a brief analysis of the impact that these companies have had on the global market. It has been observed that company collaborations are a growing trend among major companies.
In August 2019, General Dynamics Corporation announced that it signed a contract with the US Department of Defense. The contract is said to be worth USD 45 million and is aimed at production of low-rate initial production of surface-mine undersea vehicle. General Dynamics’ latest contract with the US Dept. of Defense will not just help the company grow, but will also influence the growth of the overall market in the foreseeable future.
North America Holds the Highest Market Share; Increasing Use of ROVs to Aid Growth
The report analyzes the ongoing UUV market trends across North America, Latin America, Asia Pacific, the Middle East and Africa, and Europe. Among these regions, the market in North America currently holds the highest UUV market share. The increasing use of ROVs in several countries across North America will aid the growth of the regional market. Moreover, emphasis on developing efficient ROVs for underwater surveys for oil and gas extraction will provide impetus to market growth. As of 2018, the market in North America was worth USD 948.8 million and this value is likely to increase further in the coming years. Besides North America, the market in Asia Pacific will also witness significant growth in the coming years driven by the increasing investment in UUVs used in the defense sector by major economies such as China, India, and Japan. The market in Europe will also witness considerable growth due to the presence of several large scale companies such as Kongsberg Maritime and Saab Group.
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