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The future of modern warfare is being built in Ukraine at this moment. New equipment is being developed and deployed in Ukraine at a significantly lower cost and in a remarkably shorter time compared to almost anywhere else in the world, Bloomberg reports.
Currently, Ukraine depends on US intelligence and allied air defense systems to intercept Russian missiles. However, Kyiv is increasingly producing its own weapons. According to President Volodymyr Zelenskyy, today Kyiv receives about 40% of its weapons from Ukrainian sources.
Ground drones and unmanned aerial vehicles, which have been used on a large scale for the first time in the war with Russia, have sparked a revolution on the battlefield.
Russian forces under Russian President Vladimir Putin’s command have deployed nearly 695,000 soldiers along the front and continue to bombard civilian populations with missiles and drones. The main weapon against the invaders has become the adaptability of Ukraine’s defense industry.
A striking example is the modular robotic platform TerMIT, which serves both for transportation and clearing pathways. It is equipped with Starlink satellite internet and is already in use by more than 20 military units.
TenCore, a company that started in February 2024 with five employees, now has 175 workers and projects $80 million in revenue for 2025, due to producing over 2,000 units of equipment. Investors sought to buy the company, but TenCore refused. Also, over 70% of Russian equipment has been destroyed by Ukrainian drones, making the country one of the most powerful drone armies in the world.
Russia, in response, is ramping up drone production and using technologies that make them harder to jam. While Moscow scales up production, Ukraine bets on innovation and creativity — and this could change the course of the war. Whichever model prevails will decide the outcome of the war.
The biggest obstacle for Ukraine’s defense industry is funding. Despite a defense budget of $12 billion, Ukraine’s production potential is three times greater than it is today. Kyiv seeks to attract more investment from its Western allies, including from the European new project SAFE, which envisions $150 billion for defense tech funding.
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