Sat Nov 29 05:50:43 UTC 2025: News Article:

Anduril Drones Face Setbacks Despite Booming Valuation and Ukraine Deployment

Eglin Air Force Base, FL – A recent U.S. Air Force test saw two Altius drones, manufactured by defense tech giant Anduril Industries, fail dramatically. The first drone nosedived from 8,000 feet, while the second spiraled out of control, according to an Air Force test summary obtained by The Hindu.

These failures, along with reported issues with Anduril’s Ghost drone program in Ukraine, raise questions about the company’s claims of battlefield readiness, despite significant investment and deployment to conflict zones. Anduril, valued at $30.5 billion after a threefold increase since late 2022, has positioned itself as a key player in the modern warfare landscape, with drones like the Altius marketed for surveillance and strike capabilities. Founder Palmer Luckey claimed the drones have taken out hundreds of millions of dollars worth of Russian targets, and the company has supplied drones to Ukraine and Taiwan.

However, a Ukrainian Deputy Prime Minister stated in November 2024 that 96% of the one million drones deployed that year were domestically produced. Early models of the Ghost drone also reportedly struggled against Russian electronic warfare, frustrating Ukrainian soldiers.

Anduril acknowledges testing setbacks as “isolated examples” and part of an iterative development process. A spokesperson stated that the Altius has flown over 2,000 hours in tests and deployments. The company also posted a blog detailing testing issues related to the Altius and Ghost drones, as well as command and control software.

The Pentagon announced a $50 million purchase of Altius drones for “testing, training and supportability” on the same day as one of the Air Force tests. The Ukrainian Armed Forces declined to comment, citing laws covering state secrets.

The situation highlights the broader challenge facing the U.S. defense industry: adapting to modern warfare where affordable, mass-produced drones are increasingly vital. The war in Ukraine has served as a testing ground for Anduril, as the company seeks to expand its business with the Pentagon and allies.

Despite the setbacks, Anduril maintains its commitment to rapid innovation, stating its intention to “move fast, build what works and get it into the hands of the people who need it.”

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