New Delhi: Anadrone Systems and Kratos Defense & Security Solutions announced a strategic partnership on Monday to jointly develop and market unmanned and autonomous defence technologies for Indian armed forces and national security agencies.
The agreement was signed at Eurosatory 2026 in Paris.
The tie-up brings together Kratos’s internationally proven portfolio of tactical drones, aerial target platforms, and autonomous systems, including the XQ-58A Valkyrie, one of the most recognized unmanned combat aircraft in service, with Anadrone’s established footprint in India covering indigenous design, manufacturing, systems integration, and operational support.
The areas of cooperation identified include aerial target systems used for training and threat simulation, tactical unmanned aircraft, and future autonomous mission systems.
Both firms say the collaboration will support progressive localization of technology, aligned with the Indian government's Atmanirbhar Bharat (self-reliant India) policy framework for defence manufacturing.
A market in rapid expansion
India’s military drone market was valued at roughly $598 million in 2025 and is forecast to reach $1.9 billion by 2034, growing at a compound annual rate of nearly 14 per cent, according to estimates by market research firm IMARC Group. A broader measure of India’s overall drone market – civil and defence combined – was valued at $1.2 billion in 2025 and is projected to reach $3.2 billion by 2030.
The Defence Acquisition Council approved the procurement of 87 medium-altitude long-endurance (MALE) unmanned aerial vehicles in August 2025, a programme worth roughly Rs 30,000 crore, with stringent requirements for indigenous content, including locally made aerostructures, propulsion systems, and navigation equipment.
The Production-Linked Incentive (PLI) scheme for drones and the Drone Shakti initiative have further encouraged private sector participation in defence UAV manufacturing.
As of early 2026, more than 38,500 drones had been registered in India, with over 240 approved pilot training organizations, a sharp increase from just a few years ago.
Anant Bhalotia, the managing director and chief executive of Anadrone, said the agreement was aimed at combining global capability with local execution. "India's defence ecosystem is witnessing a fundamental shift towards indigenous development of advanced technologies," he said. "Drawing on over two decades of experience in the sector, we see significant opportunities to contribute to India's defence modernization priorities while strengthening indigenous capability."
