South Dakota Researchers Studied Drone Profitability

A 2026 study examined how corn and soybean farmers in eastern South Dakota utilize and monetize drone technology.

Updated on Sept. 22, 2026 in Agriculture

Bold flat-color editorial illustration showing a geometric drone hovering above minimalist crop furrows, evoking agricultural technology and profitability analysis. — A South Dakota State University study of 595 farmers found that using drones for precision application, rather than just sensing, significantly increases agricultural profitability. AI Illustration. Upload story photo >

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Researchers at South Dakota State University surveyed 595 corn and soybean farmers to evaluate the profitability of agricultural drone use. The study analyzed how producers balance equipment costs against operational gains in fields across eastern South Dakota.

Why it matters

Farmers gain profitability by using drone-gathered imagery to inform variable rate input technologies. Producers who deploy drones specifically for treatment application reported higher profitability levels compared to those using the technology solely for remote sensing.

Most surveyed farmers, roughly 90%, own their drone equipment. The initial investment for a DJI Phantom 4 v2 totals $4,391, with annual operating costs of $2,685 plus $52 per individual flight.

The players

South Dakota State University

This public research university located in Brookings, South Dakota, conducted the study on agricultural technology.

The details

Researchers categorized drone usage based on the duration of technology adoption among producers. Profitability is determined by balancing various financial factors, including initial purchase costs, pilot fees, changes in revenue, and shifts in total crop yield.

2026: Research findings were published regarding drone profitability for South Dakota farms.

Market Landscape

The findings mirror a broader shift toward precision agriculture where farmers increasingly integrate data-driven tools to optimize field management. This transition positions technology-adopting producers to potentially lower input costs while maintaining competitive margins against traditional farming methods.

Local producers can use these cost benchmarks to weigh the potential financial return of investing in drone imagery or application systems. The data suggests that specific operational choices, such as using drones for treatment application, are key drivers for improving farm-level profitability.

The takeaway

Producers should carefully evaluate if their scale of operation justifies the $4,391 initial hardware cost and ongoing flight expenses. Focusing drone application on precision treatment may offer a more direct route to profitability than simple remote sensing imagery.