Drones Down Under: Australian Companies Set Sights on Uncrewed Aerial Vehicle Market.

• Author: Magnuson, Stew

GEELONG, Australia--Four years ago at Avalon --The Australian Air Show--Boeing's local affiliate unveiled a mockup of an unmanned jet fighter with the goal that it would be developed and manufactured locally.

The Ghost Bat, as it would eventually be called, was hailed as not only Australia's first indigenously produced aircraft since World War II, but a symbol of the nation's desire to not simply be an importer of high-tech military platforms, but to be a producer and eventually an exporter.

Four years later, BAE Systems Australia in similar fashion kicked off the air show by revealing a mockup of a large, vertical take-off and landing uncrewed system it called STRIX, which will be domestically designed and manufactured in partnership with Perth-based contractor Innovaero.

The two projects are emblematic of the nation's desire to create sovereign capabilities in a variety of defense sectors including ground vehicles, space and drones. There are even those who believe the nation should be considered part of the U.S. industrial base.

Pat Conroy, Australia's minister for defense industry, came to the show to mark the achievements of the Ghost Bat, which was on static display.

"Australia has underperformed on defense exports. Governments of all persuasions have also said they want to do more, but it's challenging. It's absolutely challenging," he told reporters.

The government and the Royal Australian Air Force has committed 600 million Australian dollars--about $405 million--to develop 10 Ghost Bats, which are envisioned as a so-called "loyal wingman" that can accompany piloted aircraft into battle to serve as decoys, bomb carriers or scouts. "These unmanned aircraft are a really exciting opportunity and are part of the future of our air capability," Conroy said. There are now 55 local companies and 400 workers supporting the program, he added.

U.S. Air Force Secretary Frank Kendall said while visiting Australia last August that the service was interested in the Ghost Bat as part of its Next-Generation Air Dominance system of aircraft that will be a mix of manned and unmanned jets. The secretary said it could be part of a risk reduction for the secretive program or, with modifications, fly with next-generation fighter jets, as first reported by Breaking Defense.

Conroy said: "When I was in the United States in October last year, I can say the United States is really interested in the potential for this. They're running their own program, but...