At a time drones playing an increasingly decisive role in recent conflicts across the globe, India’s indigenous defence manufacturing and AI-driven warfare capabilities have received a desirable push as Israel-origin autonomous systems firm XTEND inked an $11 million contract with Indian defence technology company Rayonix Tech to manufacture and distribute advanced UAV systems in the country.
The move comes amid rising demand within India’s armed forces for AI-enabled autonomous systems, especially as the country accelerates investments in next-generation military technologies.
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The deal positions Rayonix as the exclusive manufacturing and distribution partner in India for select XTEND platforms, with a focus on building localised production, testing and deployment capabilities.
The agreement is subject to various commercial milestones and regulatory clearances. Nonetheless, the deal marks a clear step towards expanding India’s domestic defence technology ecosystem under the self-reliance
At the core of this defence partnership is XTEND’s proprietary XOS autonomy platform, which will power UAV systems manufactured in India. The software-defined system enables AI-driven navigation, mission planning and real-time operational control, allowing for human-guided autonomy across multiple battlefield scenarios.
Such capabilities are increasingly critical in modern non-contact warfare, particularly in surveillance, reconnaissance, and high-risk operations where minimising human exposure is a priority. The ability to develop and deploy such systems domestically is a strategic necessity for India, which faces persistent security threats along its borders with Pakistan and China
For India, the partnership reflects a broader shift towards the manufacturing of high-end defence systems, where foreign technology is integrated with local production and capability-building.
The agreement also includes a technology transfer and operational enablement component, aimed at strengthening domestic capabilities and expertise in advanced robotics and autonomous systems.
“India represents one of the fastest growing defence technology markets globally, with increasing demand for sovereign manufacturing and AI-enabled autonomous systems,” said Aviv Shapira, CEO and co-founder of XTEND, adding, “Through this partnership, we are demonstrating our ability to enable sovereign manufacturing ecosystems while preserving the integrity of our software-first autonomy architecture.”
“This partnership represents an important step toward bringing XTEND’s battle-proven autonomous capabilities to India,” said Amit Pande, managing director of Rayonix Tech Private Limited, according to an official release.
“Through localised manufacturing, Rayonix looks forward to enabling these technologies in India while contributing to the country’s broader Make in India vision for advanced defence capabilities.”
