Drone Industry Cycles: How the 2016 Bubble Burst, and What's Different This Time
The 2016 consumer drone bubble left specific wreckage: 3D Robotics stopped making hardware, GoPro recalled all 2,500 Karma units six weeks after launch and cut 15% of staff, Parrot cut 35% of its drone workforce, and Lily Robotics collapsed after taking $34M in pre-orders. In 2023 even Skydio — $570M raised — exited consumer, and three years later it is valued at $4.4 billion. This wave runs on a completely different engine, but three things are exactly the same.