Israel Ranks Second Worldwide in Size of Drone Companies

In yet another testament to its defense and tech leadership, Israel has ranked second only to the United States in the global drone industry, with eight Israeli companies making the top 100 in a newly published list by The Defense Post.

Despite its small geographic size and population, Israel continues to punch far above its weight in unmanned aerial vehicle (UAV) innovation. Among the top firms, Elbit Systems ranked fifth globally outranking major global defense giants including the UK’s BAE Systems, Italy’s Leonardo, the US’s Lockheed Martin, and Germany’s Rheinmetall.

The rankings were based on a combination of annual revenue, R&D investment, innovation outlook, and company growth trajectory. Notably, to ensure transparency and a level playing field, state-owned entities such as Israel Aerospace Industries and Rafael were excluded from consideration.

Elbit Systems earned its high position in large part due to its cutting-edge UAVs, particularly the Hermes 450 and Hermes 900, which played critical roles in Operation Rising Lion, Israel’s air campaign against Iran. These drones not only dominated Iranian airspace, but also demonstrated Israel’s growing mastery in long-range, high-endurance missions.

The Hermes 900, for example, can fly over 1,000 kilometers, while its civilian variant the Starliner can remain airborne for up to 36 hours and carry significant surveillance payloads, making it a favorite for both defense and civil applications.

Other Israeli UAV innovators making the global list include:

• Aeronautics (#26): Specializing in tactical UAV systems.

• Percepto (#29): A leader in autonomous drone inspection solutions.

• UVision (#38): Known for loitering munitions and operationally flexible drone systems.

• Xtend (#41): Produces AI-enhanced tactical drones and recently secured an $8.8 million deal with the U.S. Department of Defense.

• Urban Aeronautics (#67): Focuses on advanced vertical takeoff and landing drones.

• CopterFix Pro (#68) and Colugo Systems (#96): Both offer advanced UAV platforms tailored for real-time operations and reconnaissance.

With eight companies in the top 100, Israel’s commercial UAV sector has become a global force, second only to the vast aerospace industry of the United States.

Israel’s dominance in this field reflects a broader national ethos: turning necessity into innovation and defense into opportunity. As drone technology becomes increasingly essential for both military and civilian applications, Israel is set to remain at the forefront soaring higher, faster, and smarter than ever before.

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