Drone startups eye greater heights in new year

DRONE STARTUPS ARE heading into 2026 with expectations of sustained revenue growth, larger contracts and deeper integration into defence, security and civilian operations, building on a year that marked a clear shift from pilots to deployment.

- S SHANTHI

Industry executives say the coming year will be defined less by experimentation and more by scale, performance and repeat orders, as government agencies and enterprises increasingly favour proven, indigenous systems.

The confidence around 2026 stems from developments in 2025, when drones moved into mission-critical roles, particularly in defence and national security. Faster regulatory clearances, clearer operating rules and a stronger policy push for domestic manufacturing helped reduce uncertainty across the value chain. This translated into funding as well. According to Tracxn data, drone startups raised $179.35 million in 2025, compared with $135.51 million in 2024.