Inserts:

00:03 Report / Alexa Meyer

00:55 Matthias Lehna / Director Business Development & Government Relations bei
Quantum Systems

01:34 Sebastian Clauß / Vice President Software Stark Defence

02:37 Kateryna Mykhalko / Managing Director New Age Defence

  

Script:

Drones competing at the ILA Berlin Air Show: An analog to the broader competition amongst drone-makers on global markets, which the US currently dominates. That's something Europeans want to change - thanks to the EU's new security and defense policy. 

Days before this air show, many European companies were exhibiting drones at the German-Ukrainian New Age Defense Conference..including Quantum Systems. The Munich-based startup developed an unmanned vehicle, which can deliver a reconnaissance drone to crisis and war zones - and dispatch from there on a mission - with the help of AI. 

Quantum has been collaborating with Ukraine on drone development. Now the company plans to ramp up its marketing efforts across Europe's defense sector.

(( +++ SOT Matthias Lehna, Director Business Development & Government Relations bei Quantum Systems 15 Sek.))

A lot is happening in Europe because Europe is realizing that it needs to adapt, change, and rethink its defense strategy...(...) As a drone company, we also have to respond to the changing nature of warfare itself. ((had to shorten because of the time for this clip))

Other German startups - like the (Munich-based) Helsing and Berlin's Stark Defense - are also playing a big role in the Ukraine War and other crisis zones. Stark Defense's One-Way drone has a range of 130 kilometers and can deliver warheads with pinpoint accuracy. 

(( +++ SOT Sebastian Clauß, Vice President Software, Stark Defence +++ ))
"At Stark, we place a strong emphasis on modular, quickly producible, and cost-effective systems, which can be developed quickly and also adapted to operational needs. We rely heavily on AI systems for this, and we do a lot of software development. And we're working with the Germany army and other partners to expand our specific military capabilities." 

Europe's drone industry is booming. Worth 17 Bbillion euros last year. 
The market extends far beyond military applications, spanning from farming to factory inspections. The European drone market is expected to grow by more than 8 percent annually, reaching 35 Billion euros by 20-33, according to forecasts by Grand View Research.

Defence is a growing part of that story, with the EU's increasing investment in military drones. It's still not enough, some analysts say. 

(( +++ SOT Kateryna Mykhalko, Managing Director von New Age Defence    in English)) 
(("When we are talking about EU strategy, not so much resources are allocated to the drone industry. Sometimes it`s only two percent of the overall government budget, sometimes it`s 10 percent in the best scenario.  It´s not enough for the production of the European Union. Cause we are still spending 98 percent of all resources in old school systems."))
  
Even so, many companies believe Europe is catching up.

(( +++ SOT Sebastian Clauß, Vice President Software, Stark Defence+++ ))
It's difficult to get a clear picture of the Chinese market from a technological standpoint because it remains relatively closed. But compared with US companies in particular, I believe European firms have made significant progress in recent years.      
      
At the Berlin Airshow at least, it's European companies that are leading in the drone race.

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