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Albanese government backs in deals to protect Australian troops from drone ‘swarms’

Australian soldiers will gain access to revolutionary anti-drone weapons designed to intercept and protect them from “swarms” in a massive $7bn deal.

The Albanese government will splash $30m on two major drone contracts aimed at combating drone “swarms” Australian troops may encounter overseas, as the wars in Iran and Ukraine continue to up-end conflict strategies.

The deals come as the Labor government doubles its investment in counter-drone technologies following the 2026 National Defence Strategy released last week, with up to $7bn allocated under the Integrated Investment Program (IIP) over the next decade.

On Tuesday, the government agreed to invest $21.3m in AIM Defence and $10.4m in SYPAQ Systems.

The Albanese government will invest $10.4m in SYPAQ Systems. Picture: NewsWire/ David Crosling

It has doubled its investment in counter-drone technologies. Picture: NewsWire/ David Crosling

The funds will go towards AIM’s high-powered counter-drone laser system, known as Fractl, which will be used to counter individual drones or swarms.

The system is capable of tracking objects as small as a 10C piece travelling at more than 100km, and is powerful enough to burn through steel.

Funds will also go toward SYPAQ’s Corvo Strike, an interceptor done designed to track, target, and destroy larger drones commonly deployed on the battlefield.

In a statement, the government said that while Australia’s geography had driven focus on larger drones, it was also accelerating deployment of countermeasures targeting medium‑sized drones and swarms of small drones “that our personnel could encounter in complex operational environments abroad or while protecting people and infrastructure domestically”.

Defence Industry Minister Pat Conroy the wars in Ukraine and the Middle East showed “how unscrewed aerial systems are increasingly being employed in conflict”.

“The development of sovereign counter-drone solutions is essential to ensure the Australian Defence Force can detect, assess and respond to these threats,” he said.

Head Advanced Strategic Capabilities Accelerator Major General Hugh Meggitt said Mission Syracuse, a Defence initiative focusing on rapidly developing advanced technology options to intercept unscrewed aerial systems, will “exploit Australian industry’s world leading expertise in kinetic and directed energy to find, fix, track, target and engage Uncrewed Aerial Vehicles”.

Defence Industry Minister Pat Conroy at the SYPAQ drone facility. Picture: NewsWire/ David Crosling

“It will significantly enhance the ADF’s ability to counter the threat posed by UAVs employed by malicious actors; domestically and abroad,” he said.

Defence Minister Richard Marles last week an