AI, autonomy and ISR: Why V-BAT drone deal with US firm Shield AI is a big win for Indian Army

Visitors look at Shield AI’s V-BAT unmanned aerial vehicle on display during the Taipei Aerospace and Defence Technology Exhibition in Taipei, Taiwan, September 18, 2025. REUTERS/Ann Wang

India is acquiring Shield AI’s V-BAT drones and Hivemind autonomy software to boost border security, enable runway-free operations, and enhance resilience against electronic warfare, while also supporting domestic manufacturing and technological independence.

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India’s decision to induct the V-BAT unmanned aerial system from US defence technology firm Shield AI comes at a moment of heightened and complex security challenges across its borders. From sustained military pressure along the Line of Actual Control with China to persistent threats from Pakistan-backed terror networks and the growing use of drones for surveillance and infiltration, the Indian Army is operating in increasingly contested environments.

Modern conflicts have shown that dominance now depends not just on manpower or firepower, but on intelligence, autonomy and resilience in electronic warfare conditions. Against this backdrop, the V-BAT deal stands out as more than a routine procurement. It signals a shift toward AI-driven, runway-independent systems designed to operate where traditional platforms struggle, while also strengthening India’s push for domestic defence manufacturing and technological sovereignty.

What India is getting under the deal

Under the agreement, the Indian Army will receive Shield AI’s V-BAT vertical take-off and landing unmanned aircraft, along with licences for the company’s Hivemind autonomy software. The software will be fully integrated into the aircraft, allowing it to function as an autonomous system rather than a remotely piloted drone alone.

V-BAT is classified as a Group 3 unmanned aerial vehicle. It features a ducted-fan design, a heavy-fuel engine, and endurance exceeding 12 hours. Crucially for India, it does not require runways or launch infrastructure, enabling operations from remote forward areas, rooftops, ships and rugged terrain.

The platform is designed to function in electronic warfare environments where GPS signals and communications are disrupted, a scenario Indian forces increasingly anticipate along contested borders.

Why autonomy matters for India’s security environment

A key element of the deal is access to Shield AI’s Hivemind autonomy software development kit. Hivemind allows systems to sense, decide and act independently, enabling drones to adapt to changing battlefield conditions, avoid threats and complete missions even when cut off from human operators.

This is especially relevant for India, given concerns over jamming, cyber interference and signal disruption by adversaries. The ability to conduct beyond-visual-range operations and continue missions under degraded communications significantly enhances survivability and effectiveness.

“India’s selection of V-BAT and Hivemind reflects a clear understanding of the kind of resilient, expeditionary autonomy modern militaries now require,” Sarjan Shah, Shield AI’s managing director for India, said in a statement.

He added that the system’s ability to operate without runways and deliver long-endurance intelligence makes it suitable “from the Himalayas to coastal regions”.

Lessons from Ukraine and the Middle East

Shield AI’s systems have been battle-tested in some of the most demanding conflict zones in the world. The company’s Nova system was used by Israeli forces in 2023 to explore Hamas tunnel networks. V-BAT drones have also seen extensive use in Ukraine, where they were deployed in heavily jammed airspace.

After initial challenges caused by Russian electronic warfare, Shield AI integrated Hivemind into the platform. According to the company, the upgraded drones were later used to identify air defence systems, military headquarters and drone control sites.

In 2025 alone, the company says V-BATs executed more than 35 missions in Ukraine and identified over 200 Russian targets. This real-world experience directly informs why the platform appeals to India’s military planners.

Manufacturing in India and strategic value

The deal also aligns with India’s broader goal of reducing reliance on imports. Shield AI has partnered with JSW Defence, which began constructing a manufacturing facility at EMC Maheshwaram in Hyderabad in December 2025.

The $90 million investment will support large-scale domestic production of V-BATs for the Indian Armed Forces and serve as a global manufacturing hub. The Hivemind SDK will also be made available to selected Indian partners, enabling local development of autonomous military solutions tailored to India’s needs.

For India, this combination of combat-proven technology, AI-driven autonomy and domestic manufacturing strengthens both immediate operational capability and long-term strategic independence. In a security environment defined by contested borders and rapid technological change, the V-BAT deal offers the Indian Army a meaningful edge at the tactical and strategic level.