France's drone sector has experienced a major revival in recent years, and both new startups and established defense companies are racing to secure positions in the rapidly growing market.
One of the most notable examples is Harmattan AI, a defense startup founded only in 2024. In a remarkably short period, it became France's first defense-sector "unicorn" and is now scaling up plans for one of the country's largest drone production facilities. The company is also developing artificial intelligence systems for the Rafale fighter aircraft.
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The boom is not limited to startups such as Harmattan AI or Alta Ares, which already has a presence in Ukraine. Major defense companies and even automotive manufacturers are entering the drone market. Renault, in partnership with Thales, is moving forward with production of the Toutatis loitering munition, despite reports that not all employees welcomed the company's shift toward defense manufacturing.
At the same time, French analysts are increasingly discussing the risks facing the industry. In a recent report by L'Express, drone engineer and industry expert Claude Chenouil of France's defense and security industry association argued that the process of determining which companies ultimately survive will be "Darwinian" in nature.
According to Chenouil, the end of the war in Ukraine could lead to a sharp decline in defense orders while also unleashing powerful competition from Ukrainian manufacturers. He warned that Ukrainian companies would need to secure export contracts in order to survive and would become "formidable competitors thanks to highly effective, combat-proven products."
From Defense Express' perspective, Ukrainian drone manufacturers could significantly expand their presence in Western markets once full-scale export opportunities are opened. A first step in that direction has already occurred, with Ukrainian company F-Drones recently receiving the country's first official authorization to export drones.
Chenouil believes French manufacturers face several strategic options. They could ignore the Ukrainian market entirely, or they could pursue cooperation with Ukrainian firms, although that would also mean "leaving the field open to competitors." He also noted that Ukrainian companies may themselves be interested in sourcing certain components from France in order to reduce dependence on russian supply chains.
The L'Express report highlights another important aspect of France's approach: the country is purchasing drones in relatively small batches rather than building massive stockpiles. French policymakers are reportedly considering an industrial model in which the government would pay companies annually to maintain production facilities that could be rapidly activated during a crisis, while also funding ongoing research and development.
The logic behind this approach is straightforward. Drone technology evolves so quickly during wartime that a system considered effective today may become obsolete tomorrow. As a result, there is little sense in manufacturing and storing hundreds of thousands of drones years in advance. Maintaining the ability to launch production quickly and scale it rapidly during a conflict may prove far more valuable.
Previously, Defense Express reported that Finland had decided to acquire RBS 70 systems to strengthen its ability to intercept russian Shahed drones and cruise missiles.
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