AI and drones: the technological breakthrough that is redefining warfare and the market

AI and drones: the technological breakthrough that is redefining warfare and the market

Discover how artificial intelligence is transforming the drone sector compared to traditional autonomous systems, and which companies are leading this revolution.

In summary

The military and commercial drone industry is undergoing rapid change. Embedded artificial intelligence is no longer limited to automating flight paths or maintaining flight stability. It introduces the ability to make real-time decisions in uncertain environments, without a constant connection to an operator. Companies such as Shield AI, with its Hivemind software, have designed systems that enable drones to operate in swarms, map, and attack without GPS or communications. This approach differs radically from traditional autonomous systems that relied on predefined scenarios. Competition is intensifying between American, European, Chinese, Israeli, and Japanese players, each relying on a combination of sensors, onboard processing, and connectivity. The global market for military and commercial drones, valued at over €30 billion in 2025, is expected to double by 2030 thanks to advances in AI and the integration of collaborative drones into concepts such as Manned-Unmanned Teaming (MUM-T).

The shift from simple autonomy to true intelligence

Early military drones, such as the MQ-1 Predator and Heron, were remotely piloted. Their autonomy was limited to maintaining a flight path or assisted landing modes. More recent drones, such as the Bayraktar TB2 or the Wing Loong II, incorporate more advanced automatic functions but remain dependent on the operator for target detection and decision-making.
Embedded AI changes this logic. It allows the drone to recognize objects, adapt its trajectory to unforeseen threats, and collaborate with other platforms. This difference is mainly due to the cognitive capacity integrated into the software, which is capable of learning from experience and processing data in real time, without a constant link to a control center.

AI and drones: the technological breakthrough that is redefining warfare and the market

The breakthrough brought about by Shield AI

The American company Shield AI is a pioneer in this evolution. Its AI engine, Hivemind, functions as a “digital brain” capable of piloting a drone in a GPS-denied environment without communication.

  • The V-BAT drone is thus able to take off, fly, and identify targets in contested environments.
  • The system has been demonstrated in scenarios where multiple drones coordinate their trajectories and share information autonomously.

This approach is very different from traditional systems, which rely on a constant flow of data between the drone and a human operator. Hivemind aims to give the drone tactical reasoning capabilities, a key breakthrough for future operations in areas saturated with electronic warfare.

The United States and the rise of collaborative concepts

In addition to Shield AI, players such as Anduril Industries, Kratos Defense, and General Atomics are working on drones designed to operate in Collaborative Combat Aircraft (CCA) alongside the F-35 and future NGADs.

  • Kratos’ XQ-58 Valkyrie is designed for low-cost penetration missions.
  • Anduril is focusing on modular architectures and AI-based systems for ISR and interception missions.
  • General Atomics is developing advanced variants of the MQ-9 adapted for collaborative combat.

These programs highlight the importance of data fusion and onboard processing to reduce dependence on communication links, which are often vulnerable to electronic warfare. The goal is to make drones capable teammates that can accompany manned fighters on the front lines.

The European approach to the American challenge

In Europe, development is more fragmented.

  • France, via Dassault Aviation, and Germany, with Airbus Defence & Space, are collaborating on the Eurodrone project, which is more of a MALE (Medium Altitude Long Endurance) drone than an AI drone.
  • The Neuron demonstrator, piloted by Dassault, has explored semi-autonomous functions, but without reaching the tactical decision-making level of systems such as Hivemind.
  • Startups such as Dedrone and Skyeton are developing AI solutions for threat detection and navigation, but Europe’s dependence on satellite data chains remains strong.

Europe is therefore lagging behind in the field of embedded AI for combat drones, even though SCAF/FCAS plans to eventually integrate semi-autonomous remote carriers.

China’s rise

China has invested heavily in this field, combining large-scale production with advances in AI.

  • The GJ-11 Sharp Sword, a stealth drone, is said to be capable of performing autonomous penetration missions.
  • Companies such as Zhuhai Ziyan and AVIC are already integrating AI functions for automatic target recognition and swarm flight.
  • China is also developing AI-optimized loitering munitions capable of identifying and attacking targets with limited human supervision.

The challenge posed by China is one of scalability: a massive number of AI drones could overwhelm enemy defenses, combining quantity and quality.

Israeli expertise and tactical integration

Israel has been a pioneer in the military use of drones with the Searcher and Heron. Today, companies such as Elbit Systems and IAI are integrating AI to improve automatic target recognition and complex mission management.

  • The Harpy drone is a semi-autonomous loitering munition specialized in radar destruction.
  • Advanced algorithms now enable swarm coordination in saturated environments.

Israel stands out for its ability to quickly transform these advances into operational doctrine, as demonstrated in recent conflicts where AI drones were used for real-time target acquisition.

Japan’s emergence and the robotics angle

Japan is focusing on collaborative drones and technologies derived from advanced robotics.

  • The GCAP program plans to use escort drones for the future F-X fighter, integrating AI navigation and combat modules.
  • Manufacturers such as Mitsubishi Heavy Industries and Subaru are working on smaller platforms for support and reconnaissance.

Japan’s advantage lies in the miniaturization of components, which is an asset for the development of compact, stealth drones capable of operating in urban or coastal areas.

Key technical differences from conventional autonomous systems

The distinction between a conventional autonomous drone and an AI-equipped drone lies in three areas:

  1. Perception and analysis: AI drones combine multiple sensors (radar, IR, LIDAR) and neural networks to identify and classify threats in real time.
  2. Decision-making and adaptation: AI algorithms adjust trajectories, prioritize targets, and manage swarms without constant human instruction.
  3. Resilience to disruption: the ability to operate without GPS and with limited communications is a decisive advantage in contested areas.

Traditional autonomous systems relied more on programmed rules and were vulnerable to jamming or unforeseen events.

AI and drones: the technological breakthrough that is redefining warfare and the market

A rapidly growing market

According to recent estimates, the global market for military drones was worth around $30 billion in 2025 and could reach $60-70 billion by 2030.

  • The share linked to embedded AI is growing rapidly, driven by demand for drones capable of penetrating heavily defended environments.
  • Massive investments by private funds, particularly in the United States and China, are accelerating the pace of innovation.
  • Alliances between AI companies and aircraft manufacturers are multiplying synergies, such as the one between Kratos and Airbus to adapt the Valkyrie to the European market.

This dynamic shows that AI is no longer a distant prospect but an element already present in modern conflicts.

What lies ahead

The widespread use of AI in drones raises technological and strategic issues.

  • Human-machine collaboration (MUM-T) will be at the heart of the next generations of aircraft and drones.
  • The evolution towards autonomous swarms capable of saturating defenses or providing reconnaissance over large areas is already underway.
  • The challenge of ethics and human control remains significant, as certain capabilities suggest strikes with a reduced degree of supervision.

The future of AI drones is therefore both promising and controversial. Companies and governments that master embedded AI and its tactical integration will have a decisive advantage in the coming decades.

War Wings Daily is an independant magazine.