Is It Time To Invest In Drones?

The drone industry has been through several twists and turns since the devices made their way to the market in the early '00s. The unmanned aircraft have become something of a novelty to the general public, but the use case for the devices have exploded across a range of industries, leaving investors to wonder if drones are on the verge of taking over the skies.

Who Doesn't Want A Drone?

Drones are becoming much more than just a cool alternative to a remote control car; companies like Facebook Inc FB and Amazon.com, Inc. AMZN have already begun creating souped up versions of the devices to fill needs in their own businesses.

Facebook is hoping to use the aircraft to provide Internet connections around the world and Amazon says they could be used as part of its delivery service. The aircraft have been considered for use for other jobs like land surveying, wildlife conservation, construction and emergency relief as well. With so many different industries calling out for the involvement of drones, some have begun to compare the devices to PCs back in the '80s.

Related Link: We've Reached "Drone Inflection"

Obstacles

While the demand for drones is there, the devices aren't quite ready to take over the skies yet. Issues regarding safety and privacy have made it difficult for the Federal Aviation Administration to set reasonable guidelines for drone flights.

At the moment, strict restrictions make it impossible for most businesses to incorporate drones into their operations.

Investors Get On Board

Despite the FAA rules, investors are still eager to bet on the future of unmanned aircraft. Some traders are turning to firms like Amazon that are set to benefit from a drone revolution, but others are interested in investing in the technology itself.AeroVironment, Inc. AVAV is a popular choice as a good amount of the firm's revenue comes from its drone business. The company designs and manufactures drones that are being sold to big names like BP plc (ADR) BP and the Department of Defense.

GoPro Inc GPRO has been a hot stock for those interested in consumer drones; the firm is planning to release its first drone for consumer use next year.