Military Billion Dollar Drone Market Expecting Substantial Growth Opportunity as Usage Skyrockets

PALM BEACH, Fla., Feb. 13, 2025 (GLOBE NEWSWIRE) — FN Media Group News Commentary – The Military Drone Market is expected to see substantial growth in the coming years. A recent report from Straits Research. Said that the global military drone market size was valued at USD 21.81 billion in 2024 and is expected to grow from USD 24.25 billion in 2025 to reach USD 56.69 billion by 2033, growing at a CAGR of 11.20% during the forecast period (2025-2033). The report said: “A military drone, also known as an unmanned aerial vehicle (UAV), is a type of aircraft that operates without a human pilot on board. These drones are equipped with advanced technologies for surveillance, reconnaissance, intelligence gathering, and, in some cases, targeted strikes. Military drones are used extensively in modern warfare for a variety of roles, including combat, surveillance, logistical support, and search-and-rescue missions. The global market is experiencing rapid growth, driven by technological advancements and increasing global demand for enhanced surveillance, intelligence, and reconnaissance capabilities. As nations recognize the strategic advantages of unmanned aerial systems (UAS) in military operations, drones are increasingly deployed in both combat and non-combat roles. This expansion is further supported by rising defense budgets, particularly in regions such as Asia-Pacific, Europe, and the Middle East. Despite the promising growth, there are significant challenges facing the global market, including complex regulatory issues and ethical concerns surrounding the use of autonomous weapons. However, innovations in artificial intelligence (AI), miniaturization, and battery life are expected to open new growth opportunities, enabling more advanced, efficient, and versatile drone capabilities in the near future.” Active Companies in the markets today include ZenaTech, Inc. (NASDAQ: ZENA), AgEagle Aerial Systems Inc. (NYSE: UAVS), EHang Holdings Limited (NASDAQ: EH), Vertical Aerospace (NYSE: EVTL), The Boeing Company (NYSE: BA).

Straits Research continued: “Geopolitical tensions, especially in regions like Asia-Pacific, the Middle East, and Eastern Europe, are driving a significant demand for military drones. As nations seek to strengthen their surveillance, intelligence, and tactical capabilities, military drones have become integral to modern defense strategies. For example, the Indo-Pacific region increasingly views drones as vital for maintaining a strategic balance in contested areas. Similarly, Russia’s actions in Ukraine have highlighted the tactical advantages of drones, prompting Eastern European nations near the conflict zone to prioritize drone investments to enhance border security and ensure readiness in case of escalations.

ZenaTech (NASDAQ:ZENA) ZenaDrone Subsidiary Develops and Tests Proprietary Drone Communications System Enabling Secure and Reliable Communications for US Defense Applications – ZenaTech, Inc. (FSE: 49Q) (BMV: ZENA) (“ZenaTech”), a technology company specializing in AI (Artificial Intelligence) drones, Drone as a Service (DaaS), enterprise SaaS and Quantum Computing solutions, announces that its subsidiary ZenaDrone has developed and is currently testing a proprietary drone communications management system called “DroneNet” that enables direct and secure drone communications in situations without reliable internet, cellular or satellite communications. The internally developed system is specifically built for use with the Company’s ZenaDrone 1000 and IQ series of drone products. A drone communications system is a two-way link between a drone and its base station used to direct the drone and relay real-time drone video and sensor data.

“We believe our proprietary DroneNet communications system will improve both the reliability and performance of our drones ensuring we are not dependent on third-party products with compatibility issues. This internal development ensures we gain more customization of our products, cost management, and control of our supply chain, all of which results in what we believe to be superior drone solutions. Once we’ve tested this initial version, our plan for future advancements includes developing and testing our own microchips with multilayer encryption suitable for NDAA-compliant use required for US Defense applications,” said CEO Shaun Passley, Ph.D.

Drones used by the military for intelligence, surveillance and reconnaissance applications require reliable communications systems for uninterrupted data transmission, mission effectiveness, and operational security. Drones must relay real-time video, sensor data, and telemetry to command centers, allowing defense operators to make time-sensitive decisions. This is especially critical for Beyond Visual Line of Sight (BVLOS) operations, where drones operate over longer distances often in harsh or contested environments. Without secure and resilient communications links, drones risk losing control, can face signal jamming, or data latency, which can compromise mission success. Advanced proprietary communication solutions, using satellite and 4G help ensure connectivity in GPS-denied or high-interference environments and can safeguard data against jamming and cyber threats.

The ZenaDrone 1000 is an autonomous drone, in a VTOL (Vertical Takeoff and Landing) quadcopter design with eight rotors; it is considered a medium-sized drone measuring 12X7 feet in size. It is designed for stable flight, maneuverability, heavy lift capabilities up to 40 kilos, incorporating innovative software technology, AI, sensors, and purpose-built attachments, along with compact and rugged hardware engineered for industrial and defense use. Continued… Read this full release by visiting: https://www.financialnewsmedia.com/news-zena/

Other recent developments in the markets include:

AgEagle Aerial Systems Inc. (NYSE: UAVS) recently announced it recently completed a successful demonstration of its eBee VISION Intelligence Safety and Reconnaissance (ISR) UAS platform for key officials of the U.S. Department of Defense (DOD).

AgEagle CEO Bill Irby commented, “As we continue to expand our presence in the defense sector, this demonstration underscores AgEagle’s commitment to delivering innovative UAV solutions that meet the rigorous demands of diverse military applications. By providing enhanced intelligence, surveillance, and reconnaissance capabilities, the eBee VISION ensures our defense customers have the operational efficiency and situational awareness information they require for mission success.”

EHang Holdings Limited (NASDAQ: EH) recently announced the launch of its Exhibition (Experience) Center in Shenzhen’s Luohu Sports and Leisure Park. It is the world’s first EH216-S takeoff and landing site featuring a fully automated vertical lift vertiport. It also marks a new smart infrastructure in Shenzhen dedicated to the commercial operations of the EH216-S pilotless passenger-carrying aerial vehicle, establishing a groundbreaking model for electric vertical takeoff and landing (“eVTOL”) aircraft operations in urban areas.

The Luohu UAM Center, designed by EHang, boasts an automated three-dimensional vertical lift vertiport. This innovative facility reduces labor costs and optimizes space usage through its automated operations. The Luohu UAM Center, spanning approximately 753 square meters, has brought this advanced design to life. The first floor is dedicated to a hangar and boarding area, providing passengers with a seamless and comfortable experience. The integrated takeoff and landing pad with the hangar enables rapid charging, thereby streamlining flight operations. During the launch ceremony on January 21, an EH216-S aircraft was lifted from the first to the second floor by the vertical lift platform. It then took to the skies, completing a lap over the Luohu Sports and Leisure Park before landing smoothly, marking its first flight at the Luohu UAM Center. The demonstration received widespread acclaim from attendees.

Vertical Aerospace (NYSE: EVTL) has successfully completed the second stage of piloted thrustborne testing of its full scale VX4 prototype. The company is now preparing for a new chapter in its history, with the VX4 entering the penultimate phase of flight testing: wingborne flight. This phase will mark a defining moment in the VX4’s development, pushing beyond the limits of the secure airspace of Cotswold Airport’s airfield and into real-world operating conditions for the first time.

During Phase 2, the aircraft completed over thirty piloted test flights. Flight tests included completing successful hover and low speed flight maneuvers, as well as executing handling and performance procedures including roll, yaw, and spot-turns.

Shift5, the observability platform for onboard operational technology, and The Boeing Company (NYSE: BA) have recently entered into a global strategic reseller partnership to offer Shift5’s Compliance Module to automate Aircraft Network Security Program (ANSP) compliance efforts for commercial and civil aviation operators. The partnership will drastically reduce the time and manual effort required by maintenance and security teams to identify and report anomalies in onboard data in e-enabled aircraft, allowing them to address credible cyber threats and potential safety issues to improve the safety and operations of fleets.

Federal Aviation Administration’s (FAA) guidelines in Advisory Circular (AC) 119-1 and European Union Aviation Safety Agency’s (EASA) guidelines in Common Requirements Regulation (EU) 2017/373 and the Single European Sky Framework require operators flying connected or e-enabled aircraft with advanced connectivity capabilities to create an ANSP to ensure their safety, integrity, and reliability are in alignment with regulatory standards.

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