Australian directed-energy systems surge into European defence markets

Australia’s defence technology sector is rapidly emerging as a critical supplier of counter-unmanned aerial systems (C-UAS) to European militaries, as highlighted in ABC’s October 27, 2025 report.

Companies such as DroneShield and Electro Optic Systems (EOS) are delivering a range of capabilities, from handheld jammers to high-energy lasers, reflecting a shift in European procurement toward systems that can be fielded immediately in response to evolving drone threats over Ukraine and Poland, Army Recognition writes. 

DroneShield, a Canberra-based firm, exemplifies the new wave of Australian C-UAS exports. According to ABC, the company is experiencing over 400% year-on-year sales growth, with revenues projected at $193 million for 2025.

DroneShield’s portfolio spans from radio-frequency detection devices to the now widely recognised handheld jamming gun, capable of severing drone command links and GPS navigation to force hostile UAVs to land or crash.

A recently announced follow-on contract, valued at approximately $61.6 million, underscores the urgency of European procurement through regional resellers. DroneShield currently maintains a presence in around fifty countries and several hundred systems are in active service in Ukraine. The company plans to expand manufacturing capacity from $500 million to $2.4 billion by 2026 across Australia, Europe, and the United States, signaling a robust and scalable industrial base.

Electro Optic Systems operates at the “hard-kill” end of the spectrum. EOS’s Canberra-assembled Apollo high-energy laser, boasting engagement rates of up to 30 drones per minute at ranges up to six kilometers, addresses swarm threats that can saturate traditional jamming systems.

Feedback from operational deployment in Ukraine is refining target libraries and engagement algorithms, enhancing system lethality and reliability. Parallel to laser development, the Slinger mobile counter-drone turret has been exported under a €53 million contract to a Western European government. These developments illustrate Australia’s capacity to deliver layered C-UAS architectures that integrate sensors, effectors, and command nodes.

The European shift toward Australian systems is influenced by tactical realities on the battlefield. Modern micro- and mini-drones penetrate to company and platoon levels, necessitating integrated countermeasures that protect intelligence, surveillance, reconnaissance (ISR), and command networks.

Army Recognition sources underscore that layered defence—handheld jammers for short-range threats and directed-energy systems for elevated engagement—enables continuous coverage while minimising interference with friendly forces. Combined with common operational and maritime picture integration, these systems preserve maneuver tempo and deny adversary ISR without overloading personnel.

Beyond C-UAS, Australian defence industry involvement extends into guided weapons. Kongsberg, in partnership with local firms, is establishing a Naval Strike Missile (NSM) launcher production line in Newcastle, supplying Poland, Denmark, and Spain under an $80 million contract. Domestic production supports allied interoperability and strengthens supply chain resilience.

By Sabina Mammadli