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Israel’s defense-technology sector has entered a period of accelerated consolidation, with eight companies acquired over the past three months by major international defense and technology groups. The deals, together worth more than $1.6 billion, highlight sustained global demand for Israeli innovations in communications, autonomy, sensing, and counter-UAS systems.
As mentioned here, Axon announced its $625M acquisition of Carbyne, but that’s not all – Kratos Defense & Security Solutions announced a $356.3 million cash acquisition of Orbit Technologies, an Israeli supplier of satellite communication systems for air, sea, land, and undersea platforms. Orbit’s equipment supports unmanned systems, air forces, and space operators worldwide. The acquisition—pending security and regulatory approvals—will strengthen Kratos’ communications infrastructure for space and C5ISR operations while continuing Orbit’s legacy of high-reliability hardware for mobile missions.
Ondas Holdings also confirmed its $225 million purchase of Sentrycs, a leader in counter-drone technology. Sentrycs’ Cyber-over-RF platform allows authorities to detect, identify, and seize control of hostile drones without jamming or kinetic interception. Deployed in 25 countries, its systems combine passive RF analytics, AI-driven protocol recognition, and modular architecture for integration with wider security networks. Ondas plans to merge Sentrycs’ technology with its Iron Drone interceptor, creating a unified detect-to-defeat counter-UAS ecosystem.
Ondas continued its expansion by acquiring four additional Israeli firms:
- 4M Defense develops AI-driven demining and land intelligence systems. Its Terrestrial Intelligence Platform (TIP) integrates satellite imagery, drone data, and historical threat mapping to locate and classify buried hazards such as landmines, unexploded ordnance, and improvised explosive devices, which inflict more than 60 countries around the world. The system accelerates clearance operations and improves safety in post-conflict zones by providing detailed subsurface mapping and analytics.
- Insight Intelligent Sensors designs AI-powered electro-optical systems capable of real-time anomaly detection across air, ground, and environmental domains. Its Smart Imaging Module (SIM) performs ultra-high-resolution edge processing to detect and track small drones, vehicles, and even early wildfire indicators. The technology adds a critical perception layer for autonomous systems operating in complex or GPS-denied environments.
- S.P.O. Smart Precision Optics is a leading manufacturer of military-grade optical components and coatings. Its production capabilities span the full lifecycle—from optical design and CNC processing to polishing, metrology, and coating—enabling delivery of complete assemblies for missile defense, armored systems, and high-energy weapon platforms. The acquisition provides Ondas with in-house precision optics manufacturing, a key enabler for next-generation sensors and imaging systems.
- Apeiro Motion specializes in autonomous ground robotics and mission-critical automation. Its product portfolio includes quadrupedal robots, unmanned ground vehicles, robotic arms, and proprietary fiber-optic communication spools that enable secure, radio-independent links for drones, UAVs, and guided systems. Integrating Apeiro’s robotics and fiber technologies will allow Ondas to extend its autonomous capabilities across air, ground, and multi-domain operations.
And finally, Kela Technologies made its first acquisition, buying Pelanor, a company specializing in cloud activity monitoring and cost optimization. The exact price has not been disclosed but is estimated to be a $20–30 million deal. It combines Kela’s defense system management algorithms with Pelanor’s cloud-efficiency tools; its platform leverages AI to trace the causes of fluctuations in cloud spending, automatically identify irregularities, and optimize resource usage across different customers, products, and projects. This bridges civilian and defense computing domains.
Together, these eight transactions reflect a clear trend: leading defense and security organizations are seeking mature Israeli technologies that enhance autonomy, sensing, and multi-domain coordination. For Israel’s defense-tech ecosystem, this wave of exits underscores its evolution from niche innovation to a central pillar of international defense modernization.
