New funding helps U.S. efforts to scale home drone manufacturing and strengthen vital power provide chains
The USA is racing to supply extra U.S.-manufactured drones and scale back its reliance on overseas suppliers. A significant a part of that effort is securing the power methods that energy unmanned platforms. Packet Digital’s new win marks a powerful step towards that aim.
Packet Digital introduced that it has been awarded as much as $50 million via the Division of Protection’s Speed up the Procurement and Fielding of Progressive Applied sciences (APFIT) program. The funding will assist the event and manufacturing of superior lithium-ion battery cells for unmanned aerial methods (UAS), together with platforms utilized by the U.S. Navy, Military, Air Drive, and Particular Operations Command.
This funding comes because the U.S. works to construct a safe, dependable home provide chain for battery cells — expertise that’s important for any scaled drone manufacturing effort.
Closing a Vital Power Provide Hole
The U.S. protection ecosystem doesn’t but have a secure home supply for high-energy lithium-ion cells. That hole limits the nation’s capability to scale drone manufacturing and weakens long-term provide chain safety. Packet Digital’s APFIT award goals to alter that.
Manufacturing is deliberate to start in 2026 on the firm’s Badland Batteries facility in Fargo, North Dakota. The transfer will give the protection trade a U.S.-made possibility for high-performance cells with “unmatched power density and energy efficiency.”


Terri Zimmerman, CEO of Packet Digital, mentioned the corporate’s expertise is designed to satisfy mission wants throughout domains.
“Our superior high-power, high-energy density lithium-ion cell expertise is a mission-critical enabler for extended-range UAS operations, space-based platforms, and submersible property,” she mentioned. “This functionality instantly enhances warfighter readiness by bettering endurance, agility and power resilience in contested environments.”
She additionally famous the dimensions of the problem dealing with immediately’s protection provide chain.
“The U.S. presently lacks the manufacturing base for high-energy battery cells on the scale required for protection platforms,” Zimmerman added. “We’re working day by day to shut that hole and guarantee our warfighters have the instruments they want.”
Supporting the Push for U.S.-Made Drones
The APFIT award additionally aligns with the Division of Protection’s broader push to speed up home manufacturing of vital drone elements. Over the past two years, federal companies and Congress have elevated assist for U.S. producers constructing flight-critical methods, airframes, sensors, and now batteries.
Power storage is likely one of the most pressing bottlenecks. Drones can not scale to satisfy protection demand with out dependable entry to high-performance batteries that meet navy necessities for security, endurance, and energy output. A home supply additionally helps scale back dependence on overseas suppliers and shortens logistics chains.
Strengthening this a part of the provision chain helps U.S. efforts to compete globally as drone manufacturing ramps up.
Constructing Towards Full-Scale Manufacturing
Packet Digital’s growth is predicted to ship a safe supply of superior power storage for protection platforms. The corporate says the APFIT award “underscores a shared dedication to equipping America’s warfighters with probably the most dependable power storage expertise accessible.”
A stronger battery provide chain helps drone packages throughout the companies and helps preserve the operational edge the U.S. seeks as innovation accelerates worldwide.
Packet Digital, based in 2003, develops batteries, chargers, battery administration methods, and energy administration instruments utilized in aerospace, protection, and telecommunications. The corporate is headquartered in Fargo, North Dakota.
Learn extra:


Miriam McNabb is the Editor-in-Chief of DRONELIFE and CEO of JobForDrones, an expert drone companies market, and a fascinated observer of the rising drone trade and the regulatory setting for drones. Miriam has penned over 3,000 articles centered on the business drone area and is a global speaker and acknowledged determine within the trade. Miriam has a level from the College of Chicago and over 20 years of expertise in excessive tech gross sales and advertising for brand new applied sciences.
For drone trade consulting or writing, Electronic mail Miriam.
TWITTER:@spaldingbarker
Subscribe to DroneLife right here.

