Combat Drone Market Report 2026

The combat drone market size has grown strongly in recent years. It will grow from $9.61 billion in 2025 to $10.49 billion in 2026 at a compound annual growth rate (CAGR) of 9.1%. The growth in the historic period can be attributed to increased adoption of uavs for intelligence and surveillance operations, early integration of sensor and payload technologies to expand mission capabilities, rising defense budgets supporting procurement of combat drones, initial deployment of armed drones in counterterrorism and border security missions, advancements in remote piloting and communication systems enabling broader operational use.

The combat drone market size is expected to see strong growth in the next few years. It will grow to $15.03 billion in 2030 at a compound annual growth rate (CAGR) of 9.4%. The growth in the forecast period can be attributed to growing demand for autonomous and ai-enabled combat drone systems, modernization programs in armed forces driving large-scale fleet upgrades, expansion of long-range and high-endurance drone capabilities, increasing integration of precision-guided weapon systems on UAVs, rising multi-domain warfare strategies boosting adoption of advanced combat drones. Major trends in the forecast period include increased demand for long-endurance combat drones, advancements in stealth and low-observable ucav designs, integration of multi-role payloads for precision targeting, rapid adoption of swarm-capable combat uavs, expansion of beyond-visual-line-of-sight (bvlos) strike operations.

The expanding defense sector is projected to drive growth in the combat drone market in the coming years. The defense sector encompasses the development, manufacturing, procurement, and maintenance of military equipment, technologies, and systems aimed at national defense and security. An increasing focus on investment in this sector is expected to advance and proliferate combat drone technology, fostering innovation, boosting market demand, and enhancing the capabilities of unmanned systems in military operations. For example, a report from USAFacts, a U.S.-based non-profit organization, indicated that in 2023, U.S. military spending was approximately $820.3 billion, representing about 13.3% of the federal budget. Additionally, in March 2023, the Department of Defense (DoD) requested $842 billion for 2024, marking a 2.6% increase. Consequently, rising defense expenditures are propelling growth in the combat drone market.

Key players in the combat drone market are focusing on autonomous unmanned aircraft systems to address the growing demand for combat drones. Autonomous uncrewed aircraft systems, or drones, represent advanced technologies utilized in various applications such as surveillance, security, and force protection. For example, in September 2023, Anduril Industries, a US-based defense technology company, introduced the Ghost-X system, an enhanced version of its Ghost autonomous uncrewed aircraft system. The Ghost-X system boasts capabilities for carrying heavier payloads and extended flight durations. With an upgraded propulsion system enabling the accommodation of two batteries, the Ghost-X system can extend its flight time to 75 minutes while doubling its payload capacity to 9 kilograms (20 pounds). Moreover, it offers an optional long-range communications kit and can be configured to accommodate a variety of sensors and payloads, including electro-optical gimbals and a vision-based navigation module facilitating satellite-independent flight capabilities.

In July 2023, Anduril, a US-based defense technology company, successfully acquired Blue Force Technologies for an undisclosed amount. This strategic acquisition is geared towards expanding Anduril's suite of autonomous capabilities, with a specific focus on Group 5 autonomous aircraft. Blue Force Technologies, based in the US, is an aerospace design and manufacturing company that specializes in drones. The acquisition aligns with Anduril's mission to enhance its autonomous technologies, particularly in the domain of unmanned aerial systems, to address various defense and security challenges.

Major companies operating in the combat drone market are Raytheon Technologies Corporation, Lockheed Martin Corporation, China Aerospace Science and Technology Corporation, General Dynamics Corporation, Northrop Grumman Corporation, BAE Systems plc, Boeing Defense Space & Security, Textron Inc., Leonardo S.p.A., Rheinmetall AG, Elbit Systems Ltd., Saab AB, General Atomics Aeronautical Systems, Aerojet Rocketdyne, Turkish Aerospace Industries, Baykar Defense, Kratos Defense & Security Solutions, Denel Dynamics, AeroVironment Inc., Israel Aerospace Industries Ltd., Aurora Flight Sciences, Chengdu Aircraft Industry Group, BlueBird Aero Systems, Icarus Aerospace Industries.

North America was the largest region in the combat drone market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the combat drone market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs are reshaping the combat drone market by increasing the cost of components such as sensors, propulsion systems, electronic warfare payloads, and composite structures, which disrupts production timelines and raises procurement expenses for defense agencies. These impacts are most visible across medium- and long-range drone platforms, hybrid VTOL systems, and fixed-wing strike UAVs, especially in regions dependent on imported electronics like Asia-Pacific and Europe. While tariffs create challenges, they also drive positive effects by encouraging domestic manufacturing, boosting local supply chains, and accelerating technological self-reliance in major defense markets.

The combat drone market research report is one of a series of new reports that provides combat drone market statistics, including combat drone industry global market size, regional shares, competitors with combat drone market share, detailed combat drone market segments, market trends, and opportunities, and any further data you may need to thrive in the combat drone industry. This combat drone market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

A combat drone, also referred to as an unmanned combat aerial vehicle (UCAV) or armed drone, is an unmanned aerial vehicle (UAV) specifically designed and equipped for military operations. These drones can be remotely controlled or operate autonomously, undertaking various combat missions such as reconnaissance, surveillance, targeting, and airstrikes. Equipped with sensors, cameras, weapons systems, and communication devices, they execute missions while minimizing risks to human personnel.

The primary types of combat drones include fixed-wing, rotary wing, and hybrid configurations. Fixed-wing drones feature rigid wings and rely on aerodynamic lift for flight. They can be launched via various methods such as air-launched effects, vertical take-off, automatic take-off and landing, catapult launchers, and hand-launched platforms. These drones span across different sizes including small, nano, micro, mini, tactical, close-range, short-range, medium-range, long-range, and strategic, with applications encompassing lethal, stealth, loitering munitions, reversible, expendable, and target-focused operations.

The countries covered in the combat drone market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The combat drone market consists of revenues earned by entities by providing services such as reconnaissance and surveillance, target acquisition, and aerial strikes. The market value includes the value of related goods sold by the service provider or included within the service offering. The combat drone market also includes sales of unmanned aerial vehicles, sensors, and payloads, weapons systems. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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