Offshore AUV and ROV Market Size, Share & Trends Analysis Report By Vehicle Type (ROV, AUV), By Vehicle Class (Work-class Vehicle, Observatory-class Vehicles), By End-User Application (Oil and Gas, Defense, Research, Other End-user Applications), By Activity (Drilling and Development, Construction, Inspection, Repair, and Maintenance, Decommissioning, Other Activities) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Offshore AUV and ROV Market Size

The global offshore AUV and ROV market size was valued at USD 4.5 billion in 2023 and is projected to reach from a value of USD 4.9 billion in 2024 to USD 12.9 billion by 2032, registering a CAGR of 23.45% during the forecast period (2024-2032).

The increase in offshore AUV and ROV market share during the forecast period is related to an increase in offshore oil and gas exploration activities owing to global surging energy demand.

The Offshore Autonomous Underwater Vehicle (AUV) and Remotely Operated Vehicle (ROV) Market encompasses a diverse range of robotic technologies used extensively in marine environments. AUVs and ROVs are crucial for various industries, particularly in offshore oil and gas exploration, subsea inspection, oceanography, defense, and environmental monitoring. These systems allow for efficient, precise, and high-quality data collection in underwater environments that are often challenging or impossible for humans to access.

The global market is experiencing rapid growth due to increased offshore exploration and production activities, advancements in underwater robotics, and growing demand for underwater inspections, maintenance, and repair. The expansion of deepwater oil and gas projects, driven by rising energy demand and the depletion of onshore reserves, is a key factor fueling the demand for these vehicles. In addition, the push for renewable energy sources, such as offshore wind farms, is further increasing the need for underwater inspection and maintenance systems.

Furthermore, technological advancements in automation, artificial intelligence (AI), and sensor technology are significantly enhancing the capabilities of AUVs and ROVs, making them more efficient, cost-effective, and capable of operating in deeper and more hazardous environments. The defense sector is another major contributor to market growth, with rising investments in naval surveillance and underwater security systems.

Highlights

• The ROV segment owns the highest market share by vehicle type.
• Work-Class Vehicle holds the largest share by Vehicle Class.
• The oil and gas segment is the largest contributor to the market by end-user application.
• Decommissioning holds a significant share by activity.

Offshore AUV and ROV Market Growth Factors

Increasing offshore oil and gas exploration activities

Increasing offshore oil and gas exploration remains a key driver for the market. With global energy demand projected to rise by 5% by 2030, oil and natural gas will continue contributing significantly, particularly in regions with growing energy needs like Asia-Pacific. Major oil and gas projects are ramping up to meet this demand. For example, in 2024, Petrobras announced plans for the deep-water Búzios field in Brazil, which includes a large-scale deployment of AUVs and ROVs for subsea exploration and production. This trend is mirrored in the North Sea, where new offshore drilling projects are set to commence despite rising environmental regulations. Additionally, AUVs and ROVs enhance efficiency in decommissioning aging infrastructure, crucial for projects like the Brent field in the UK, driving demand for underwater robotics.

Safety and risk mitigation

Offshore operations are often associated with elevated hazards and challenging settings. Autonomous Underwater Vehicles (AUVs) and Remotely Operated Vehicles (ROVs) provide safer alternatives to human divers for activities including the inspection of underwater facilities, pipelines, and structures. These vehicles can operate in hazardous settings, mitigating possible hazards to individuals and enhancing safety in offshore operations. These many aspects contribute to the expansion of the industry.

Restraining Factors

Ban on offshore exploration and production activities in multiple regions

A major restraint to market growth is the ban on offshore exploration and production in several regions, driven by environmental concerns and climate change mitigation. In 2024, the European Union reaffirmed its commitment to ending new offshore oil and gas exploration within its waters, including the North Sea and Arctic regions. Countries like New Zealand and Costa Rica have similarly implemented moratoriums on offshore drilling. These regulations, coupled with shifting subsidies toward renewable energy, are expected to limit the deployment of AUVs and ROVs in traditional oil and gas sectors.

Furthermore, the International Energy Agency (IEA) has noted that global investment in fossil fuel exploration dropped by 10% from 2022 to 2024, reflecting a global shift toward sustainability.

Market Opportunities

Growing offshore renewable technologies

The growth of offshore renewable energy presents significant opportunities for AUVs and ROVs. With offshore wind capacity expected to reach 50 GW by 2025, according to the Global Wind Energy Council (GWEC), AUVs and ROVs are essential for installing, monitoring, and maintaining wind farms in challenging marine environments. In 2024, China’s investment in offshore wind reached USD 10 billion, with substantial projects in the South China Sea using underwater robotics for cable installation and site surveys.

Furthermore, emerging technologies such as floating wind farms and tidal energy systems require advanced subsea inspection tools, boosting demand for AUVs and ROVs in this sector. These systems are also gaining traction for monitoring carbon capture and storage (CCS) sites, offering a new revenue stream for market players.

Regional Insights

The middle east and africa: dominant region

The Middle East and Africa dominate the global offshore AUV and ROV market, driven by extensive offshore oil and gas exploration. As of 2024, the region holds over 48% of the world’s proven oil reserves, and offshore production is increasing to meet soaring global energy demand. Countries like the UAE, Saudi Arabia, and Nigeria are key players, focusing on developing vast offshore fields. In 2024, Abu Dhabi National Oil Company (ADNOC) continues work on the Lower Zakum field, a multi-billion-dollar project requiring extensive AUV and ROV services for subsea infrastructure, pipeline installation, and monitoring.

Additionally, over 90 offshore projects across the Middle East and Africa are slated for completion by 2025, reflecting strong demand for subsea robotics in the region. In Africa, major developments like TotalEnergies’ USD 9 billion Tilenga project in Uganda underscore the market's growth potential in expanding subsea services.

North america: fastest growing region

North America is projected to be one of the largest markets for offshore AUVs and ROVs due to extensive investments in technology, defense, and offshore oil and gas exploration. The U.S. defense budget for 2024 includes significant allocations for AUV and ROV development, with increasing applications in subsea surveillance and reconnaissance. Moreover, the Gulf of Mexico continues to be a global hub for oil and gas production, with over 100 offshore rigs operating as of 2024. U.S. companies such as Oceaneering International and Teledyne Marine are leading suppliers of ROVs and AUVs, providing services for oilfield inspections and underwater maintenance. In Mexico, USD 1.5 billion has been earmarked for the development of the Lakach deepwater gas field, with AUVs and ROVs critical to subsea operations.

Europe remains a significant market due to its advanced offshore wind energy and oil and gas sectors. By 2024, Europe’s offshore wind capacity is projected to exceed 60 GW, a 20% increase from 2023, with countries like the UK, Norway, and Denmark at the forefront. Norway, in particular, has emerged as a key player in offshore wind, awarding contracts for the 1.5 GW Sørlige Nordsjø II project, which will require extensive use of AUVs and ROVs for installation and monitoring. Additionally, Norway's oil sector, particularly Equinor's North Sea projects, continues to drive demand for AUVs and ROVs for subsea inspections and decommissioning. In the Mediterranean, Italy and Spain are expanding offshore wind investments, further enhancing market demand.

Asia-Pacific is one of the fastest-growing markets for offshore AUV and ROV services, driven by rising investments in offshore oil and gas, wind energy, and defense. China, the region’s largest player, invested USD 12 billion in 2024 to expand its offshore wind energy sector, which is expected to surpass 50 GW by 2025. The South China Sea remains a focal point for Chinese military expansion, with the Chinese navy utilizing advanced ROVs and AUVs for surveillance. In India, Reliance Industries' USD 10 billion KG-D6 gas project in the Bay of Bengal is set to become operational by 2024, with subsea robotic services playing a key role in its development. Furthermore, Southeast Asian countries like Indonesia and Malaysia are increasing offshore oil exploration, enhancing demand for underwater robotics across the region.

Offshore AUV and ROV Market Segmentation Analysis

By vehicle type

The market is further segmented by vehicle type into ROV and AUV. The ROV segment owns the highest market share and is expected to grow substantially during the forecast period. Remotely-operated underwater vehicles (ROVs) are robots that conduct underwater functions on behalf of the crew that operates from the surf ce. ROVs are incredibly complex and serve various industries, including search and rescue, military, aquaculture, recreation, discovery, oil and gas, offshore energy, submerged infrastructure, shipping, etc. In addition, major factors boosting the market include the increasing number of offshore oil and gas production operations, the growing offshore wind power industry, and the rising number of offshore oil and gas decommissioning activities. In February 2022, the United Arab Emirates state-owned company, Abu Dhabi National Oil Company (ADNOC), introduced remote-operated vehicles for easier underwater safety inspections.

Similarly, ADNOC stated that ROVs reduce human exposure to underwater hull inspection activities. The company expects to reduce operating costs by up to 68% and eliminate some of the additional support vessels.

By vehicle class type

The market is further segmented by vehicle class into work-class vehicles and observatory-class vehicles. The light work-class vehicle is a remotely operated vehicle (ROV). It is generally below 50 HP and can support several manipulators. This type of ROV allows a maximum working depth of 2,000 met rs. Lately, there has been an increasing trend to manufacture materials like polyethylene in an environmentally friendly way. Light work-class ROVs weigh less than 100 kg and may be deployed from smaller surface vessels. In some cases, they can be deployed with only two operators operating from a jetty or a small boat, although some inspection-class ROVs require a launch and recovery system (LARS). These vehicles are also usually used for minor acts, such as intervention with small tools and surveying, primarily using image processing software. Light work-class vehicles are used for wellhead monitoring, riser inspection and cleaning, pipeline survey, mooring inspection, and offshore wind platform inspection.

By end users

The market is further segmented by end-user application into oil and gas, defense, research and other end-user applications. The oil and gas segment is the largest contributor to the market and is predicted to expand substantially over the forecast period. Over the past few years, autonomous underwater vehicles (AUVs) and remotely operated vehicles (ROV) have evolved from emerging technology with niche uses to extensive applications in the oil and gas sector. AUVs and ROVs are used for positioning and guidance for sub-sea infrastructure construction, monitoring, and survey missions. Major factors driving the demand for AUVs and ROVs in the oil and gas industry include flexibility in launch and recovery, depth capability, navigation capabilities, and data logging capabilities.

Artificial intelligence technology has developed substantially in recent years. Companies operating in the AUV and ROV industries have been integrating these technologies into their products to enhance the value generated for end users. 

• For instance, in March 2022, Kongsberg Gruppen ASA announced the introduction of a new and upgraded version of the Hugin AUV with innovative technology with innovative technologies, including 3D sensing, trajectory planning, and collision avoidance systems.

By activity

The market is further segmented by activity into drilling and development, construction, inspection, repair and maintenance, decommissioning and other activities. Decommissioning holds a significant share by activity. Decommissioning involves plugging the hole in the seabed surface and safely disposing of the equipment used in offshore oil exploration and products. The decommissioning market is developing rapidly in the petroleum business, with major potential risks. It is a source of major liability for counties, operators, contractors, and the public and must be managed cost-effectively. Many companies have introduced AUVs and ROVs for their decommissioning services. In addition, many operators are adopting the technology as such equipment reduces the risks of spillage and other incidents. 

• For instance, in December 2021, Dubai-based Environment Quality Services announced that it had deployed the Saab Seaeye Falcon ROV to the decommissioning program offshore Ang la. The ROV is expected to provide visual inspection services for the site.

Recent Developments

• May 2024 - Chouest, a prominent offshore vessel operator and subsea speacialist, has acquired ROVOP, a UK-based supplier of ROV services to the energy sector.
• April 2024- Oceaneering announced the deployment of its new generation ROV, the Liberty™, designed for deepwater offshore operations. Liberty™ offers enhanced autonomy, greater depth capability (up to 4,500 meters), and improved data collection systems, positioning it as a leader in deep-sea exploration and subsea maintenance services. 
• March 2024- Saab Seaeye launched the Sabertooth MKII, an advanced hybrid AUV/ROV system designed for both commercial and defense applications. The Sabertooth MKII features autonomous long-range operation, making it ideal for oil and gas pipeline inspections and military surveillance. It is currently being deployed in the Norwegian Continental Shelf for Equinor’s subsea maintenance activities.