The global hyperspectral imaging market is expected to grow at a CAGR of 14.4% from 2021 to 2026, according to a recent report. Hyperspectral imaging involves capturing images and assigning spectral radiance values to each pixel through various wavelengths of the electromagnetic spectrum. The technology is being used in agriculture, chemical analysis, defense, metal, and meteorology sectors, and is complemented by powerful sensors capable of covering large surfaces of the earth with exceptional spatial, spectral, and temporal resolutions.

Technological advancements have led to improvements in data acquisition and analysis. Micro-hyperspectral technology addresses the need for small, lightweight, and efficient hyperspectral imaging instruments capable of being deployed in harsh environments. With the outbreak of COVID-19, the hyperspectral imaging market is likely to grow as this technology can be an excellent tool for analyzing COVID-19 rashes.

The defense sector has particularly invested in the acquisition of the latest technologies, and the lack of such technologies indirectly leads to the vulnerability of the entity. The defense environments are extensively using unmanned aerial vehicles (UAVs) to improve aerial and ground reconnaissance activities, and this is where HSI technologies find applications. Aerial vehicles have been in rising demand over recent years.

North America is expected to hold the maximum market share due to increasing innovations in surveillance and defense spending in the region. The United States has the highest military expenditure in the world, and in FY 2020, the United States Air Force budget requested $9.2 billion for space-related programs. Furthermore, companies offering hyperspectral imaging technology are extensively investing in product innovations for application in the military and defense.