Pentagon seeks more than $70 billion for drone and counter-drone systems

The Pentagon’s proposed fiscal 2027 budget includes more than $70 billion for military drones and counter-drone technologies, in what officials describe as the largest U.S. investment in counter-uas capabilities to date.

During a briefing on Tuesday, Jules Hurst III et Steven Whitney outlined the Department of Defense’s request for $1.5 trillion in total funding. The proposal includes $1.15 trillion through the standard appropriations process and an additional $350 billion through reconciliation.

Officials said $53.6 billion is earmarked for autonomy, drone platforms and contested logistics, while $21 billion is allocated for munitions, counter-drone systems and advanced capabilities such as collaborative combat aircraft. The figures represent a significant increase from fiscal 2026, when the Pentagon sought $13.4 billion for autonomous systems and $3.1 billion for counter-drone technologies.

“Drone warfare is rapidly reshaping the modern battlefield, and this budget is the largest investment in drone warfare and counter-drone technology in U.S. history,” Hurst said. “Manned-unmanned teaming is the future of combat, and this budget makes it a reality.”

Drone threats drive record investment

The increased funding comes as no surprise to those who have followed the progression of unmanned threats in modern conflict. Low-cost drones have become widely available, with asymmetric tactics now posing one of the greatest threats to military personnel, bases and critical infrastructure. Drone swarms and similar tactics have also been observed in conflicts in Ukraine, across the Middle East and other regions.

Whitney highlighted the pace of technological change, noting that drone and counter-drone capabilities are evolving far faster than traditional defense acquisition cycles.

“We look at that as a capability that’s necessary, that we’ve seen in the battlefields,” Whitney said. “If you look at what’s going on in Ukraine and their ability to have drone-on-drone type warfare – and the ability to do so at cost and scale – it’s really something that we need to figure out how to take advantage of to protect our force.”

Focus on the Defense Autonomous Warfare Group

Budget documents also point to a sharp increase in funding for the Defense Autonomous Warfare Group, rising from $225.9 million in fiscal 2026 to a proposed $54.6 billion in fiscal 2027. The organization was established in 2025 as a successor to earlier initiatives focused on scaling attritable drone deployments.

“I think of the DAWG as a pathfinder. They’re out there finding the best technology for us and working on integration. They’re with these companies live, right now, testing different systems and orchestration tools for autonomy, and they’re giving them live feedback,” Hurst said.

Whitney said the group’s work aligns with research and development funding structures, prioritizing rapid iteration over long-term procurement.

“You’re talking about innovation in terms of weeks and the ability to spin and develop new capabilities – that’s really what we are. It’s not that you’re buying one set baseline and you’re going to procure it forever,” he said.

The overall defense budget proposal reflects a planned increase of 22.6 percent and includes additional funding priorities such as missile defense, artificial intelligence and industrial base support. Officials noted that the drone and counter-drone allocation is focused on deploying existing technologies, with separate efforts aimed at strengthening the defense industrial base.

“That $70 billion is all going into existing systems and technologies. The industrial base support is entirely separate. Obviously, when you buy vast quantities of something, you stimulate the industrial base, but that is a focused effort on actually fueling technology and applying existing technology in a way that’s useful to the warfighter,” Hurst said.