Drone Manufacturer Grows Amid Uncertain Market

Aug. 21, 2014
80 percent of DSLRPros' yearly revenue now comes from the drones it manufactures and sells

Aug. 21--Donald Scott is a former Navy pilot and an amateur filmmaker. Those two passions meet in his job as chief executive of a company that makes drones.

DSLRPros in Oakland Park started by selling filmmaking equipment, but Scott says 80 percent of DSLRPros' yearly revenue now comes from the drones it manufactures and sells.

Scott's interest in digital cameras prompted him to launch the company in December 2012. Before long, the business expanded into aerial filmmaking with drones, the remote-controlled devices that can be smaller than a plate.

Professionals and hobbyists alike have increasingly turned to drones to shoot film or take pictures. Scott says his company, which doubled its annual revenue in the past year to $10 million, is tapping into an emerging market.

But some drone users have faced legal issues recently, as the Federal Aviation Administration has issued fines to film production companies and real estate agencies who use them for commercial purposes without proper certification.

Congress has mandated that the FAA develop a comprehensive plan to regulate both manned aircraft and drones in U.S. skies by 2015.

For now, drone manufacturers are "in limbo," said Jonathan Ewing, a Fort Lauderdale-based lawyer who specializes in aviation. "We have no idea what's going to happen."

The uncertainty surrounding commercial usage could affect DSLRPros' ability to market its drones.

"It's a risk," Ewing said. "Nervous buyers might be saying, 'Do I really want to invest in this?' "

But Scott says his company is growing rapidly, even without commercial customers. It's selling to fire departments that use drones to assess the danger of a blaze before sending in first responders, as well as farmers who use them to monitor crops in the field for disease.

That's helped Scott expand his Fort Lauderdale office. From two staffers last May, it now employs 32 people and expects to add 40 more in the next year.

Jack Bennings, director of workforce development with the Greater Fort Lauderdale Alliance, has been working with DSLRPros on developing improved training programs for its employees.

"I think they've got tremendous potential," he said. "But I think a lot of that has to do with whether they're going to get FAA approval" for commercial drones.

The company understands the risks users face flying drones. It plans to provide customers with educational DVDs on proper drone usage by the end of the year.

"We want to be more proactive about regulation," said Scott's wife, Aarthi, who serves as the company's chief operating officer.

Despite the challenges, DSLRPros believes it ranks among the nation's top 10 drone manufacturers and expects to become the nation's largest.

"The more we sell, the more we can get rid of the stigma surrounding drones," Scott said.

[email protected], 954-356-4705, Twitter @KerryClose

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