Global Defense Spending Soars to $3 Trillion Amid Geopolitical Tensions
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 27 2026
0mins
Source: stocktwits
- Defense Spending Surge: Oppenheimer estimates that global defense expenditures have reached approximately $3 trillion, reflecting a 50% increase over the past five years, with projections suggesting this figure could double within the next decade due to escalating geopolitical tensions driving military budgets.
- Drone Market Potential: The firm forecasts that the total addressable market for drones could expand from $45 billion today to $400 billion globally, encompassing hardware, services, AI, and related software, indicating the rapid growth potential of drones in modern warfare and commercial markets.
- Ondas Holdings Standout: Analyst Timothy Horan highlighted Ondas Holdings Inc. (ONDS) as a preferred investment within the rapidly expanding lower-skies segment, focusing on AI-enabled aerial security and infrastructure monitoring, with its stock gaining over 925% in the past 12 months.
- Complementary Satellite Operators: Horan also pointed to satellite operators BlackSky Technology Inc. (BKSY) and Iridium Communications Inc. (IRDM) as complementary plays, emphasizing their roles in providing real-time imagery and secure connectivity for unmanned systems, further driving growth in the drone market.
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Analyst Views on ONDS
Wall Street analysts forecast ONDS stock price to rise
8 Analyst Rating
8 Buy
0 Hold
0 Sell
Strong Buy
Current: 7.920
Low
13.00
Averages
17.50
High
25.00
Current: 7.920
Low
13.00
Averages
17.50
High
25.00
About ONDS
Ondas Inc. is a provider of autonomous systems, robotics, and mission-critical connectivity solutions for defense, security, and industrial markets. Through its business units, Ondas Autonomous Systems (OAS), Ondas Capital and Ondas Networks, it develops and deploys integrated technologies that deliver advanced sensing, mobility, and communications capabilities. OAS delivers a portfolio of artificial-intelligence (AI)-powered defense and security platforms to protect sensitive sites, populations, and critical infrastructure. OAS also provides an integrated suite of autonomous aerial, ground, and counter-UAS solutions through its operating companies. It also provides Airborne Missile Protection Systems (AMPS) and airborne intelligence, surveillance and reconnaissance (ISR) solutions for the military, government and others. It also specializes in the procurement, integration, and lifecycle support of heavy engineering equipment for military and national infrastructure programs.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Surge in Demand for Autonomous Military Technologies
- Market Demand Surge: The unmanned military technology market is projected to grow from $35 billion in 2025 to between $65 billion and $85 billion by 2032-2035, indicating a strong global demand for autonomous combat systems that drives accelerated investments from related companies.
- Technological Advancements: Autonomous unmanned systems leverage artificial intelligence and advanced sensors to execute missions independently, enhancing operational efficiency and safety while reducing reliance on human personnel, aligning with modern warfare requirements.
- Acquisition Strategy: VisionWave Holdings plans to acquire a 51% controlling interest in Meteor Aerospace for approximately $20.4 million, which is expected to bolster its technological capabilities in unmanned systems and electronic warfare, further solidifying its market position.
- Industry Collaboration: Ondas Inc. collaborates with Lockheed Martin to integrate its counter-drone technology into a next-generation solution, enhancing the ability to respond to drone threats, reflecting the industry's emphasis on technological integration.
See More
Revolutionary Imaging Systems Transform Drone Industry
- Market Growth Potential: The global UAV market is projected to grow from $26.1 billion in 2025 to $40.6 billion by 2030, reflecting a robust CAGR of 9.2%, indicating strong demand for drone imaging solutions that drive investments and technological advancements in the sector.
- Technological Advancements Drive Applications: Progress in AI enables drones to process images in real-time and avoid obstacles, enhancing data collection accuracy and flight durations, thereby facilitating widespread applications in agriculture, infrastructure monitoring, and more.
- ZenaTech Product Launch: ZenaTech's introduction of the IQ Nano drone platform with a new AI-enabled LED camera system aims to optimize inventory management and security monitoring in low-light environments, expected to significantly enhance operational efficiency in both commercial and defense sectors.
- Industry Collaboration and Innovation: EHang's collaboration with partners in Hong Kong to advance low-altitude economy pilot projects signifies the potential of drone technology in urban management and emergency response, further driving innovation and growth in the industry.
See More
Revolutionary Imaging Systems Transforming Drone Industry
- Market Growth Potential: The global UAV market is projected to grow from $26.1 billion in 2025 to $40.6 billion by 2030, reflecting a robust annual growth rate of 9.2%, indicating strong demand and acceptance of drones across various sectors.
- Aerial Imaging Sector Expansion: The aerial imaging market, heavily reliant on drone-based solutions, is expected to increase from $3.9 billion in 2025 to $8.2 billion by 2030, achieving a CAGR of over 16%, highlighting the surging demand for high-quality aerial data.
- Technological Innovation Driving Applications: ZenaTech's new AI-enabled LED camera system enhances the IQ Nano drone's capabilities in low-light conditions, improving efficiency in inventory management and security monitoring, thereby solidifying its market position in both commercial and defense sectors.
- Government Investment Accelerating Development: Significant government investments in infrastructure monitoring and smart city initiatives are rapidly advancing drone technology, which is expected to play a larger role in providing high-resolution aerial insights across various applications.
See More
Ondas Partners with Lockheed Martin to Enhance Counter-Drone Technology
- Strategic Partnership: Ondas's subsidiary Sentrycs has partnered with Lockheed Martin to integrate its Cyber-over-RF counter-drone technology into the Sanctum C-UAS platform, aimed at enhancing defenses against drone threats, particularly drone swarms.
- Real-Time Threat Response: Sentrycs's technology enables the Sanctum platform to detect, track, and take control of unauthorized drones without disrupting nearby communications, thereby providing operators with more options to identify and neutralize aerial threats in real-time.
- Market Demand: This collaboration addresses the growing demand for flexible, layered counter-drone systems, as the evolution of unmanned aerial threats makes the protection of military forces and critical assets increasingly vital.
- Market Reaction: Ondas's stock is trading approximately 3.70% lower at around $8.56 in premarket hours, while Lockheed Martin's stock is slightly up at about $494.90, indicating mixed initial market reactions to the partnership.
See More
Global Governments Boost Investment in AI-Driven Drones
- Market Outlook: The global military drone market is projected to exceed $25 billion by 2026, while the broader defense drone industry is expected to surpass $55 billion by 2032, indicating a strong demand for advanced unmanned technologies.
- Technology Showcase: VisionWave unveiled its TALON™ and D-FLY™ drone platforms at Eurosatory 2026, demonstrating its integrated capabilities in modern military and homeland security, marking a significant advancement in the development of autonomous defense solutions.
- Strategic Investment: Unusual Machines' $30 million investment in Powerus strengthens their collaboration in the U.S.-based drone component supply chain, reflecting a commitment to domestic defense autonomy technologies.
- Order Growth: Ondas Inc. secured over $40 million in new orders in June, bringing its second-quarter total to over $150 million, highlighting the sustained demand for autonomous defense technologies from governments.
See More
Ondas Secures Over $150 Million in Q2 Orders Amid Rising Defense Demand
- Significant Order Growth: Ondas secured over $40 million in orders in June, pushing total Q2 order activity past $150 million, indicating strong demand for its autonomous defense systems, particularly in international markets.
- Successful Technology Trial: Ondas' unit Rotron completed a successful flight trial of its SkyLance system under the UK Ministry of Defence's Project Brakestop, showcasing the system's potential for precision strikes and long-range attack capabilities, thereby enhancing the company's competitive edge.
- Accelerating Market Demand: As drone threats escalate, global governments are urgently prioritizing Counter-UAS systems, with Ondas' CEO noting a new wave of demand forming around Loitering Munition Systems and long-range precision engagement, signaling future growth opportunities.
- Improving Investor Sentiment: Despite ONDS stock declining over 19% year-to-date, retail sentiment on Stocktwits has shifted from 'bearish' to 'neutral', reflecting a growing recognition of the company's prospects in the market.
See More
Surge in Demand for Autonomous Military Technologies
- Market Demand Surge: The unmanned military technology market is projected to grow from $35 billion in 2025 to between $65 billion and $85 billion by 2032-2035, indicating a strong global demand for autonomous combat systems that drives accelerated investments from related companies.
- Technological Advancements: Autonomous unmanned systems leverage artificial intelligence and advanced sensors to execute missions independently, enhancing operational efficiency and safety while reducing reliance on human personnel, aligning with modern warfare requirements.
- Acquisition Strategy: VisionWave Holdings plans to acquire a 51% controlling interest in Meteor Aerospace for approximately $20.4 million, which is expected to bolster its technological capabilities in unmanned systems and electronic warfare, further solidifying its market position.
- Industry Collaboration: Ondas Inc. collaborates with Lockheed Martin to integrate its counter-drone technology into a next-generation solution, enhancing the ability to respond to drone threats, reflecting the industry's emphasis on technological integration.
See More
Revolutionary Imaging Systems Transform Drone Industry
- Market Growth Potential: The global UAV market is projected to grow from $26.1 billion in 2025 to $40.6 billion by 2030, reflecting a robust CAGR of 9.2%, indicating strong demand for drone imaging solutions that drive investments and technological advancements in the sector.
- Technological Advancements Drive Applications: Progress in AI enables drones to process images in real-time and avoid obstacles, enhancing data collection accuracy and flight durations, thereby facilitating widespread applications in agriculture, infrastructure monitoring, and more.
- ZenaTech Product Launch: ZenaTech's introduction of the IQ Nano drone platform with a new AI-enabled LED camera system aims to optimize inventory management and security monitoring in low-light environments, expected to significantly enhance operational efficiency in both commercial and defense sectors.
- Industry Collaboration and Innovation: EHang's collaboration with partners in Hong Kong to advance low-altitude economy pilot projects signifies the potential of drone technology in urban management and emergency response, further driving innovation and growth in the industry.
See More
Revolutionary Imaging Systems Transforming Drone Industry
- Market Growth Potential: The global UAV market is projected to grow from $26.1 billion in 2025 to $40.6 billion by 2030, reflecting a robust annual growth rate of 9.2%, indicating strong demand and acceptance of drones across various sectors.
- Aerial Imaging Sector Expansion: The aerial imaging market, heavily reliant on drone-based solutions, is expected to increase from $3.9 billion in 2025 to $8.2 billion by 2030, achieving a CAGR of over 16%, highlighting the surging demand for high-quality aerial data.
- Technological Innovation Driving Applications: ZenaTech's new AI-enabled LED camera system enhances the IQ Nano drone's capabilities in low-light conditions, improving efficiency in inventory management and security monitoring, thereby solidifying its market position in both commercial and defense sectors.
- Government Investment Accelerating Development: Significant government investments in infrastructure monitoring and smart city initiatives are rapidly advancing drone technology, which is expected to play a larger role in providing high-resolution aerial insights across various applications.
See More
Ondas Partners with Lockheed Martin to Enhance Counter-Drone Technology
- Strategic Partnership: Ondas's subsidiary Sentrycs has partnered with Lockheed Martin to integrate its Cyber-over-RF counter-drone technology into the Sanctum C-UAS platform, aimed at enhancing defenses against drone threats, particularly drone swarms.
- Real-Time Threat Response: Sentrycs's technology enables the Sanctum platform to detect, track, and take control of unauthorized drones without disrupting nearby communications, thereby providing operators with more options to identify and neutralize aerial threats in real-time.
- Market Demand: This collaboration addresses the growing demand for flexible, layered counter-drone systems, as the evolution of unmanned aerial threats makes the protection of military forces and critical assets increasingly vital.
- Market Reaction: Ondas's stock is trading approximately 3.70% lower at around $8.56 in premarket hours, while Lockheed Martin's stock is slightly up at about $494.90, indicating mixed initial market reactions to the partnership.
See More
Global Governments Boost Investment in AI-Driven Drones
- Market Outlook: The global military drone market is projected to exceed $25 billion by 2026, while the broader defense drone industry is expected to surpass $55 billion by 2032, indicating a strong demand for advanced unmanned technologies.
- Technology Showcase: VisionWave unveiled its TALON™ and D-FLY™ drone platforms at Eurosatory 2026, demonstrating its integrated capabilities in modern military and homeland security, marking a significant advancement in the development of autonomous defense solutions.
- Strategic Investment: Unusual Machines' $30 million investment in Powerus strengthens their collaboration in the U.S.-based drone component supply chain, reflecting a commitment to domestic defense autonomy technologies.
- Order Growth: Ondas Inc. secured over $40 million in new orders in June, bringing its second-quarter total to over $150 million, highlighting the sustained demand for autonomous defense technologies from governments.
See More
Ondas Secures Over $150 Million in Q2 Orders Amid Rising Defense Demand
- Significant Order Growth: Ondas secured over $40 million in orders in June, pushing total Q2 order activity past $150 million, indicating strong demand for its autonomous defense systems, particularly in international markets.
- Successful Technology Trial: Ondas' unit Rotron completed a successful flight trial of its SkyLance system under the UK Ministry of Defence's Project Brakestop, showcasing the system's potential for precision strikes and long-range attack capabilities, thereby enhancing the company's competitive edge.
- Accelerating Market Demand: As drone threats escalate, global governments are urgently prioritizing Counter-UAS systems, with Ondas' CEO noting a new wave of demand forming around Loitering Munition Systems and long-range precision engagement, signaling future growth opportunities.
- Improving Investor Sentiment: Despite ONDS stock declining over 19% year-to-date, retail sentiment on Stocktwits has shifted from 'bearish' to 'neutral', reflecting a growing recognition of the company's prospects in the market.
See More
