Anduril Industries to Open UK Drone Factory as Part of European Expansion

One of the United States’ most prominent defence start-ups, Anduril Industries, has unveiled plans to establish a state-of-the-art drone factory in the United Kingdom. This facility is expected to serve as the firm’s European headquarters, marking a significant expansion of its operations beyond its home market.

The company, which specialises in developing autonomous systems and advanced military weaponry, currently operates a $1 billion “hyperscale” production facility in Ohio, known as Arsenal-1. The UK site will likely mirror this setup, enabling research, development, and production all under one roof. Possible locations being considered include the northwest of England and the Oxford-Cambridge arc.

The Ministry of Defence has already established a working relationship with Anduril. Recently, the UK arm of the company secured a £30 million contract to provide the Ukrainian government with two types of loitering munitions, the Altius 600m and Altius 700m drones. These drones can hover over an area, identify targets, and then collide with them to deliver precision strikes.

Founded by Palmer Luckey, the inventor of the Oculus Rift virtual reality headset, Anduril Industries has gained attention for its innovative approach to defence technology. Last year, the company raised $1.5 billion in funding, achieving a valuation of $14 billion. Reports suggest that a fresh funding round, led by Peter Thiel’s Founders Fund, could double its valuation to $28 billion, representing the company’s largest investment to date.

Anduril’s potential UK factory would be a milestone for the nation’s manufacturing and defence sectors. With cutting-edge artificial intelligence technologies at its core, the factory could help boost British defence capabilities while creating jobs and furthering technological advancements.

Although specific details remain under wraps due to commercial sensitivities, an Anduril UK spokesman emphasised the company’s commitment to growing its presence and enhancing sovereign capabilities in the region. It represents a significant step in strengthening the strategic partnership between Anduril and the UK, underpinned by a shared objective to leverage AI-driven solutions in defence.