Ondas commits one billion dollars to Israeli defense sector
The US-based autonomous systems firm has acquired 27 companies in 18 months to build a vertically integrated defense capability, focusing on rapid manufacturing of affordable drones.
By Vanessa Lopez ·
Ondas Autonomous Systems has invested one billion dollars in Israel over the past year, Dr. Judith Hocherman-Frommer, the company's chief technology officer and chief engineer, announced at the UVID DroneTech 2026 conference in Tel Aviv. The US-based firm has significantly expanded its footprint in the region by acquiring 27 defense technology companies within the last 18 months. While the majority of these acquisitions are Israeli, the portfolio also includes firms from the United States and Europe.
Hocherman-Frommer described investment in Israel as mission critical for the company. She explained that Ondas does not merely acquire businesses but actively invests in each entity to maximize its capabilities. This strategy aims to create opportunities for collaboration among the acquired companies, allowing them to solve operational challenges in real time.
The aggressive acquisition strategy is part of a broader effort to establish a vertically integrated defense technology company. Ondas seeks to span the entire lifecycle of autonomous systems, from development and manufacturing to deployment. The current portfolio includes autonomous drones, counter-UAS systems, robotic ground platforms, unmanned aircraft, and systems designed for intelligence, surveillance, and reconnaissance missions.
The company operates under the motto, Bots before boots, which reflects a philosophy where autonomous systems lead and clear the way ahead of human warfighters. According to the CTO, modern threats are evolving at an unprecedented pace, changing within months rather than years. This rapid evolution requires fast, practical responses and strong integration between Israel's operational innovation and global manufacturing infrastructures.
Hocherman-Frommer noted that the modern battlefield is characterized by a democratization of low-cost threats and asymmetric warfare. These conditions create a constant learning race that demands flexibility and rapid adaptation. However, these realities often collide with multi-year development cycles and legacy architectures currently in use on the ground.
In response to these challenges, the defense industry must shift its operating model. The CTO argued that responses to rapidly evolving threats can no longer rely on development programs that take years to complete or on expensive, standalone missiles designed to counter swarms of low-cost drones. Instead, there must be a move toward simpler and faster systems that can be manufactured in large quantities at affordable costs while maintaining high quality.
The company is also advancing toward greater autonomy, where systems operate independently while human operators provide high-level oversight. Hocherman-Frommer stressed that speed has become the new strategic advantage in this environment.
These statements came just days after Ondas announced it had received a purchase order under its Digital Bat program. This next-generation tactical attack drone is designed to meet potential demand for tens of thousands of affordable autonomous strike systems. The company stated that this order marks a transition from the development phase toward serial production and large-scale manufacturing.
To support this growth, Ondas plans to leverage its pending acquisition of ARAN Defense, an Israeli engineering and manufacturing company. The acquisition is expected to add engineering, industrialization, systems integration, supply-chain management, and manufacturing capabilities to Ondas' portfolio. The Digital Bat program will be led by Airobotics, Ondas' Israeli autonomous systems subsidiary, which will handle development, autonomy software, mission systems, and integration.
Oshri Lugassy, co-CEO of Ondas Autonomous Systems, stated that manufacturing thousands of affordable autonomous systems requires more than just advanced drone technology. It requires the ability to transition rapidly from engineering into efficient, repeatable production while maintaining the reliability demanded by defense customers. He added that the integration with ARAN Defense will provide the necessary industrial infrastructure to support production at this scale.
