Commercial drones will go mainstream in the 2021-2025 period
It’s a watershed moment for surveillance capitalism. Imagine a world where you will need a Covid-19 vaccination QR code confirmation to get in to stores and where drones will be around you even at night.
Small drones will be allowed to fly over people and at night in the United States, the Federal Aviation Administration (FAA) said on Monday, a significant step toward their use for widespread commercial deliveries. Drone delivery is about to get more common in an age of WFM and never-ending lockdowns.
So what? It’s time to take another look at drone stocks.
- $YRLLF ($UAV)
- $DFLY ($DFYLF on OTC)
- $TAKOF (TSX)
The FAA says that more than 1.7 million drones have been registered in the U.S., along with around 203,000 certifications for drone pilots. Those numbers will likely only snowball as more drones are deployed for commercial purposes. All of this makes drone related stocks more valuable.
Drones are the fastest-growing segment in all of transportation, with more than 1.7 million under registration, according to the Transportation Department.
Amazon.com founder Jeff Bezos once predicted that his company would use drones to deliver goods to customers’ doorsteps within five years, but that prediction is already off by two years.
Also new is the “Operations Over People and at Night” rule, which, as the name implies, regulates both the ability to fly over people and fly at night. The rule features a number of different qualifications for compliance, including weighing less than 0.55 pounds to fly overhead.
United Parcel Service said last year that it received approval to operate a nationwide fleet of drones and has already made hundreds of deliveries on a hospital campus in North Carolina. In 2019, Google sister company Wing Aviation won FAA approval for commercial drone flights in a corner of Virginia.
Drones are certainly coming and if you like to trade them you should do your due diligence on these stocks to figure out what are the best deals.
If I had to guess I’d say drone delivery will be mainstream in time for the retail renaissance after the pandemic in 2023. You can read the Reuters article here.
Companies have been racing to create drone fleets to speed deliveries. The United States has over 1.7 million drone registrations and 203,000 FAA-certificated remote pilots. In August 2020 Amazon.com Inc’s drone service received federal approval, allowing the retailer to begin testing commercial deliveries through its drone fleet.
Drones are a bit like AVs for retail and UberEats of the future. Our smart cities are going to become pretty wacky places.