An Israeli drone company, Xtend, has successfully secured a contract to provide 5,000 first-person view (FPV) attack drones to the Israeli Ground Forces. Each drone will be supplied at a price of 3,500 Israeli new shekels, approximately $40, leading to a total procurement amount of around 20 million new shekels, or $5.87 million. This significant deal not only includes the drones but also encompasses operating stations and virtual reality glasses for the operators. There is also an option for an additional 5,000 drones.
Delivery of these drones is anticipated to commence within two and a half months, according to Xtend’s Chief Operating Officer, Hen Haim. The procurement is poised to enhance the operational capabilities of the Israeli Ground Forces, offering tailored solutions to meet the evolving challenges posed by modern warfare.
The drones set to be provided are 10 inches (25 centimeters) in size and have the capability to carry payloads of up to 2.5 kilograms (5.5 pounds). They are expected to be utilized within combat battalions, primarily at the company level, which would integrate them into various tactical operations.
Despite the potential benefits, the contract has drawn criticism regarding its focus on lowering per-unit costs. This approach has led to simpler, less expensive drone designs, raising concerns among competitors who found it economically challenging to compete. Companies such as Robotican, Tehiru, CopterPix, and Elbit Systems were also in contention for the tender.
Furthermore, the decision to incorporate a Chinese-made component—a video transmitter from a Hong Kong-based company—has faced backlash. The requirement for this foreign component was primarily driven by cost considerations, as domestic alternatives proved to be more expensive. Reports indicate that this Chinese equipment will undergo a “sterilization” process aimed at minimizing potential risks related to hacking and surveillance.
The initiative appears to take inspiration from the ongoing war in Ukraine, which has highlighted the importance of advanced drone capabilities. However, some experts believe that the current scale of drone procurement by Israel may not be ambitious enough. In stark contrast, Ukraine aims to produce 4.5 million drones by the year’s end, while Russia anticipates manufacturing between 3 and 4 million.
Xtend is no stranger to government contracts, having previously collaborated with the Israeli Ministry of Defense. The company has also provided its Scorpio attack drones to both the Israeli and U.S. militaries. In a recent development, Xtend secured an $8.8 million contract to provide drone swarms to the U.S. Department of Defense, which will involve the production of 1,000 Scorpio systems.
