Drone defense technology has become one of the most hyped sectors in the defense industry. From AI-powered radars to autonomous interceptors and directed-energy weapons, companies are racing to offer solutions that promise to neutralize unmanned aerial threats.

Investors are pouring billions into these ventures around the world, and defense conferences are saturated with futuristic demos and bold claims. Critics argue that the hype often outpaces the actual capabilities of these systems.

Beneath the marketing gloss, however, lies the sobering truth that drone threats are evolving rapidly, and the need for effective countermeasures is not just real, it’s urgent.

Drones have fundamentally reshaped the battlefield. What began as a tool for surveillance has morphed into a platform for precision strikes, electronic warfare, and coordinated swarm attacks. Their low cost, ease of deployment, and ability to bypass traditional air defenses make them indispensable to both state and non-state actors.

The war between Ukraine and Russia underscores the reality that drones and unmanned aerial systems are no longer fringe tools; they are central to modern conflict and capable of bypassing even sophisticated defense systems.

Chimera UL
Chimera UL (credit: Thirdeye Systems Ltd.)

From Ukraine to Israel

Founded in 2010 and based in Netanya, ThirdEye Systems has built a reputation for pioneering thermal and visual imaging solutions tailored for defense and security. Its AI-powered edge computing platforms enable rapid image processing and situational awareness, making them indispensable in high-stakes environments. With a focus on reliability, mobility, and continuous operation, ThirdEye’s solutions are increasingly sought after by global defense entities.

“In a world where drone technology evolves so quickly, we must always be adapting our solutions,” CEO Lior Segal told The Jerusalem Post.

“A lot of drone companies are flourishing because of their capability to adapt. No one cared about the threat posed by drones until recently, and therefore no one focused on how to counter them, unlike countering missiles and aircraft.”

According to Segal, drone detection companies and their capabilities are always maturing, such as bypassing radar systems and the use of fiber optic cables – as in the Ukraine-Russia War.

“Israel likes to use radar to detect drones, but Ukraine has shown us that radars are very vulnerable and operating them has become very dangerous,” he said, adding that “anything introduced in the war between Ukraine and Russia will migrate here.”

During the war with Hezbollah, the Lebanese terror group showed just how precise their drones could be, with deadly effect. Hezbollah UAVs killed four Israeli soldiers and wounded dozens more at a training base near Binyamina in October 2024. The group also launched drones targeting central Israel, with one even striking Prime Minister Benjamin Netanyahu’s home in Caesarea and another hitting an elderly care facility in Herzliya.

Meanwhile, Houthi militants in Yemen have repeatedly breached Israel’s air defenses, exploiting gaps despite the geographic distance. Like Hezbollah, Houthi drones struck central Israel with deadly consequences. In July 2024, a Houthi drone struck an apartment building in central Tel Aviv, not far from the US Embassy Branch Office, killing one man. The terror group has focused many of its drone strikes against the city of Eilat – most recently last week, when four drones were intercepted. In September, 22 people were injured when a drone struck the promenade. Earlier in the month, a Houthi drone struck the arrivals hall at Ramon International Airport near Eilat, injuring civilians and temporarily shutting down operations.

While Segal said that no First-Person-View (FPV) drones were used by Hezbollah in the way that they are used in Ukraine, one intelligent strike by drone swarms like Operation Spider Web is a lesson learned by our enemies as well.

“It’s a whole new world of opportunities for these groups, and something we might see used against us in the coming years,” he said.

Third Eye invested in the vector of passive and optical detection systems in 2019, and uses technology that takes thermal or VIS bandwidth and runs artificial intelligence (AI) algorithms to detect aerial threats.

The small company’s main market is local, as well as including NATO nations. In January, EDGE Group, the Abu Dhabi-based defense conglomerate, announced a $22 million deal that includes a direct equity investment and the formation of a new joint venture.

“The relevance of technology is always changing, including in defense,” Segal said, adding that the company is working on the R&D to place their technology on maritime platforms – as it is a very relevant market where drone detection and protection is necessary. The company is also looking at a more mobile and compact versions for troop, convoy, and compound protection.

While some drone defense companies may overpromise, the mission they serve is indispensable. Traditional air defense systems, designed to intercept jets and missiles, are ill-equipped to handle small, fast, low-flying drones. Specialized solutions are needed to detect drones that fly below radar coverage or use stealthy materials. Neutralizing these threats requires a mix of kinetic interceptors, jamming systems, and directed-energy weapons.

As drone technology evolves, so must the defenses against it. Drone warfare is not a passing trend; it is a paradigm shift so modular that upgradable systems are key to staying ahead of the threat curve.