Australia plans to increase its investment in drone technology by up to A$5 billion (approximately US$3.6 billion) in response to evolving warfare dynamics observed in recent conflicts, Defence Minister Richard Marles announced. The move reflects the growing importance of autonomous systems in modern military operations, particularly as demonstrated in the Middle East and Ukraine.

Australia’s unique geographic challenges—including an extensive coastline combined with a relatively small population—have historically driven the development of large-scale autonomous platforms such as the Ghost Shark submarine and the Ghost Bat fighter jet drone. However, the widespread use of smaller, mass-produced drones, especially those deployed by Iran in Middle Eastern conflicts and seen on the Ukrainian battlefield, has highlighted the need for a broader spectrum of unmanned capabilities, Marles explained in a radio interview.

The planned expenditure, ranging between A$12 billion and A$15 billion over the next decade, will focus heavily on autonomous technologies, encompassing both drone systems and counter-drone measures. “Autonomous systems now are really central to how contest happens, how war happens,” Marles said, emphasizing the strategic necessity of such technologies in safeguarding Australia’s northern approaches amid regional security challenges, including the expanding naval presence of China.

Smaller drones, valued for their capacity to be produced and deployed in large numbers, are a key component of this strategy. “What you get at the smaller end is mass—lots of units—and that’s what we are seeing play out in Ukraine,” Marles noted, underscoring the tactical advantage of deploying numerous unmanned systems in concert.

Australia’s heightened focus on missile strike capabilities and autonomous platforms aligns with its role as a close ally of the United States, actively reshaping its defense posture. This shift also resonates beyond the region; Germany recently signaled interest in the Ghost Bat, an Australian-developed drone designed to operate alongside manned fighter jets and capable of returning to base after missions, as part of its air force modernization efforts.

The Australian government is set to release an updated national defense strategy that will outline these initiatives in greater detail, reflecting an intensified commitment to integrating autonomous systems across the full spectrum of military operations amid changing global security dynamics.