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16. July 2026

Terra Drone Selected for Japan’s ATLA Interceptor Drone Rapid Acquisition Program: A Major Milestone in Enhancing Japan’s Defense Capabilities
In a significant development, Terra Drone Corporation, a leading drone and Urban Air Mobility technology company headquartered in Japan, has been selected as one of the test articles for demonstration testing under the “Interceptor Drone Rapid Acquisition Program” conducted by Japan’s Acquisition, Technology & Logistics Agency (ATLA). This program aims to acquire more rapidly deployable and operationally effective counter-UAV equipment to address the growing threat posed by long-range one-way attack UAVs.
The selection of Terra Drone’s interceptor drone as a test article follows a competitive review of proposals from 38 companies, with ATLA explicitly requiring Japan-made systems supported by an established domestic production base. This requirement is crucial in addressing the need for sustainable defense capabilities, particularly in the face of potential supply chain disruptions or conflicts.
Background: The Growing Threat of UAVs
Recent conflicts in Ukraine and the Middle East have highlighted the difficulty of relying solely on conventional, high-cost interceptor missiles to respond to threats from long-range one-way attack UAVs. These systems have become increasingly sophisticated, with countries like Russia and China expanding their production and deployment capabilities. The threat posed by unmanned aircraft is also growing rapidly in the security environment surrounding Japan, with China’s intensified UAV activities near Japan and North Korea announcing plans to establish a mass-production system for one-way attack UAVs.
To address this growing threat, ATLA launched the Interceptor Drone Rapid Acquisition Program in June 2026. The program is designed to acquire more rapidly deployable and operationally effective counter-UAV equipment, with a focus on long-range one-way attack UAVs such as the Shahed. Terra Drone’s selection as a test article reflects its capabilities in developing an interceptor drone that can effectively counter this threat.
Terra Drone’s Selection: A Major Milestone
The selection of Terra Drone’s interceptor drone as a test article represents an important milestone in the Company’s entry into the defense sector. With approximately four months since its full-scale entry, this recognition underscores the strengths of the Company’s business foundation and its ability to deliver on its promises.
Terra Drone believes that its selection reflects not only the capabilities of its interceptor drone but also the strength of its business foundation for sustained domestic production and supply. The Company has demonstrated its speed in development and supply alignment with Japan’s urgent need to strengthen its defense capabilities.
Initiatives: Expanding Defense Business
The selection of Terra Drone as a test article is part of the Company’s broader efforts to expand its defense business. In June 2026, Terra Drone Group announced plans to make two Ukrainian interceptor drone companies its consolidated subsidiaries in Ukraine. These group companies have continued to develop and operate interceptor drones under combat conditions, accumulating operational achievements, including successful interceptions of Shahed-type UAVs.
Terra Drone submitted a proposal covering not only the interceptor drone’s functions and performance but also an implementation framework for rapid supply, maintenance, logistics support, and training following delivery. The demonstration will comprehensively evaluate capabilities directly related to operational use, including fundamental performance, shipboard operation, autonomous flight, detection and tracking of long-range one-way attack UAVs, multi-drone operation, and fail-safe behavior in the event of a communications interruption.
The Company is preparing the test article and operational framework for the demonstration scheduled for July 2026. At the same time, Terra Drone will strengthen its production and support capabilities, including maintenance, logistics, and training, to enable a rapid transition to volume procurement and delivery following the demonstration.
Contribution to Japan’s Air Defense Capabilities
Terra Drone believes that its selection as a test article contributes significantly to strengthening Japan’s air defense capabilities. By combining the operational foundation of its group companies with its capabilities as a Japanese company in domestic supply and regulatory compliance, Terra Drone will play a vital role in enhancing Japan’s defense posture.
The Company’s speed in development and supply is aligned with Japan’s urgent need to strengthen its defense capabilities. With the selection of Terra Drone as a test article, Japan can expect a rapid transition to volume procurement and delivery following the demonstration. This will enable the country to bolster its defenses against emerging threats from long-range one-way attack UAVs.
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As the threat posed by long-range one-way attack UAVs continues to grow, Japan can expect a rapid transition to volume procurement and delivery following the demonstration scheduled for July 2026. With Terra Drone at the forefront of this effort, Japan can bolster its defenses against emerging threats and maintain its position as a leader in defense innovation.
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The selection of Terra Drone as a test article for the Interceptor Drone Rapid Acquisition Program represents a significant milestone in enhancing Japan’s defense capabilities. By leveraging its capabilities in developing an interceptor drone, Terra Drone will contribute significantly to strengthening Japan’s air defense posture. The Company’s speed in development and supply is aligned with Japan’s urgent need to strengthen its defenses, making it an ideal partner for this critical program.
With the demonstration scheduled for July 2026, Terra Drone will showcase its capabilities as a critical component of Japan’s counter-UAV strategy. By addressing the growing threat posed by long-range one-way attack UAVs, Japan can bolster its defenses and maintain its position as a leader in defense innovation.