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ADF boosts local drone capability with $1.5m acquisition

written by Staff reporter | August 21, 2025

AMSL Aero’s Astiia UAS. (Image: Defence)

The Australian Defence Force has strengthened its sovereign uncrewed aerial system capability with the purchase of more than $1.5 million worth of Australian-made drones.

The drones were developed under Defence’s Sovereign Uncrewed Aerial Systems (UAS) Challenge, which tasked local companies with designing and producing cost-effective, general-purpose platforms to support frontline operations.

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In April 2024, three Australian firms – AMSL Aero, Boresight, and Grabba Technologies – showcased their prototypes during a competitive “fly-off” managed by the Advanced Strategic Capabilities Accelerator (ASCA). Each company went on to secure a $2.2 million contract to expand production capacity, refine their designs to production standard and build 100 drones.

Head of ASCA, Major General Hugh Meggitt, said the initiative highlighted the importance of rapid capability development and sovereign industry growth, saying, “The modern battlespace and operating environment exemplify the fundamental necessity of UAS capability.”

With 300 units now delivered to the Australian Army, Defence has moved to acquire additional systems from the three manufacturers, worth more than $1.5 million, with further orders expected.

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Small UAS provide near-real-time situational awareness at low altitude and are seen as a versatile, cost-effective alternative to larger surveillance platforms.

“The Sovereign UAS Challenge demonstrates ASCA’s ability to accelerate priority capability requirements for the ADF,” MAJGEN Meggitt said.

The acquisition forms part of a broader push to expand Australia’s drone capabilities. The federal government has committed $600 million over the next decade to develop and introduce a range of airborne, surface and subsurface drone systems. A further $4–5 billion has also been earmarked in the 2024 Integrated Investment Program for drone and counter-drone technologies.

MAJGEN Meggitt added: “ASCA is enhancing the resilience of our sovereign industrial base. The challenge has ensured AMSL Aero, Boresight and Grabba Technologies now have the production capacity to supply drones at scale, as and when required.”

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