The Impact of the Top 3 Strategic Imperatives on the Global Unmanned Ground Vehicle Industrial Inspection Market

Competitive Intensity

• Why: Increasing interest in artificial intelligence (AI) technologies has led to a surge in their integration into unmanned ground vehicle (UGV) systems for enhanced autonomy. This means that a significant portion of the investments coming into AI will spill over into businesses involved in the development of UGVs.
• Frost Perspective: Businesses operating in the unmanned systems sector should capitalize on the AI revolution by integrating autonomous features into their products and showcasing them in their marketing efforts. Partnerships should be established with companies developing AI models to explore potential use cases. For instance, Boston Dynamics has integrated ChatGPT into its Spot platform and is now exploring innovative use cases.

Disruptive Technologies

• Why: The evolution of AI algorithms is enabling the deployment of fully autonomous solutions for inspecting industrial sites. AI-driven predictive maintenance has gained importance in the sector, allowing UGVs to anticipate equipment failures.
• Frost Perspective: Businesses developing UGVs for this segment should allocate resources to research ways to integrate AI technologies into their products and services. The development of AI tools should be coupled with the implementation of a robust data management infrastructure. These tools can be leveraged to speed data analytics workflows, resulting in reduced downtime for end users.

Geopolitical Chaos

• Why: Competition between China and the United States for AI and green tech dominance is creating trade barriers for high-tech components, products, and services between the West and China. The United States and Europe are campaigning to restrict Chinese companies’ access to high-tech semiconductors, equipment, and software.
• Frost Perspective: Western UGV original equipment manufacturers (OEMs) should diversify their supply chains, reducing reliance on components from China. Growing interest in green tech means that businesses involved in unmanned systems should highlight the reduction in carbon emissions resulting from their products and services.

Research Scope

• The study focuses on the industrial inspection subsegment, in which UGVs are used to inspect and monitor industrial environments that may be potentially dangerous for human inspectors.
• This market is segmented into 4 categories based on the type of platform mobility, as UGVs with different types of movement cater to different use cases.
• Additionally, the study highlights the main types of use cases for which industrial businesses adopt UGVs.
• The study also provides an overview of the most relevant industry participants to illustrate the emerging nature of this market.
• Highlighting the competitive intensity of this new sector, the study examines how mergers and acquisitions have taken place in recent years.
• The study concludes with an overview of growth opportunities, showing how UGV manufacturers can achieve sustainable growth in this industry.

Unmanned Ground Vehicle Segmentation by Platform Type

Tracked

• These systems are equipped with tracks, providing superior traction and stability on challenging terrain.
• Tracked UGVs can navigate obstacles like rocks and uneven land, making them ideal for inspections in harsh outdoor conditions.

Wheeled

• Wheeled platforms are equipped with wheels or tracks for movement on flat terrain.
• They are mostly used in indoor environments and well-maintained outdoor areas.
• These systems are often used for surveillance and quick inspections due to their high speed and maneuverability compared to other systems.

Legged

• Inspired by biological creatures, legged UGVs are designed to move using walking or legged locomotion mechanisms.
• These UGVs exhibit exceptional mobility on complex terrain, including stairs.
• Legged UGVs can adapt to various surfaces, making them suitable for inspection work in hazardous environments.

Hybrid

• Hybrid UGVs combine mobility features from various platforms.
• Their movements can be adjusted depending on the surface, ensuring full mobility regardless of the terrain.
• As this technology is still in experimental phases, these systems have the lowest adoption rates in the sector.

Growth Drivers

• Rising costs associated with Health, Safety, and Environment (HSE) manual inspections are driving businesses to adopt unmanned systems. These costs have been rising largely due to the environmental diligence demanded for inspection work, which can lead to significant fines if not conducted properly, requiring additional training certifications for inspectors and specialized equipment.
• Improvements in AI technology are accelerating the adoption of autonomous unmanned workflows. These workflows are ideal for industrial inspections, as routine assessments are essential at regular intervals to identify signs of wear and recommend repair or replacement of industrial components.
• Unlike unmanned aerial systems, UGVs face little regulatory restrictions in commercial use cases. This facilitates a smoother adoption process and eliminates the complexities associated with using unmanned systems in commercial segments, which often require advise from a third-party specialized in regulatory frameworks.

Growth Restraints

• Adoption costs for unmanned systems remain high, preventing small and medium-sized businesses from integrating them in their factories. Protectionist policies from both the United States and China are likely to slow down component purchases and keep production costs high for the next 3 to 5 years.
• In certain industries, resistance to adopting automation technologies like UGVs might stem from concerns about potential job loss, workflow changes, or diminished human oversight.
• The lack of awareness among industry participants about the potential applications of unmanned systems represents a significant challenge for businesses developing these solutions. Currently, the media and the public predominantly focus their attention on Boston Dynamics, which has used its robot Spot as a gimmick to garner publicity.