Pentagon Lifts Drone Restrictions, Boosting U.S. Drone Industry and Public Safety Applications

AXON
September 17, 2025
The Pentagon announced a significant policy shift, with Defense Secretary Pete Hegseth ordering the removal of policies that hindered the development and deployment of drones. This directive, outlined in a memo titled "Unleashing U.S. Military Drone Dominance," aims to accelerate the growth of the U.S. drone manufacturing base. The move builds upon previous executive orders by President Trump designed to ease restrictions on U.S.-made drones. The Department of Defense plans to approve hundreds of American-made drone products for military purchase, reinforcing Hegseth's Army Transformation Initiative. This initiative focuses on divesting from legacy platforms and introducing more unmanned aircraft systems and counter-UAS capabilities. The policy change is expected to provide a substantial lift to defense-technology companies specializing in drones and unmanned aerial vehicles. Analysts from Morgan Stanley noted that the adoption of drones in public safety is poised for significant growth, representing a substantial market opportunity. Axon Enterprise previously estimated the total addressable market for drones in the public safety sector at approximately $20 billion. The easing of regulatory hurdles, which have been a critical limiter of adoption in law enforcement and commercial use cases, is expected to catalyze broader adoption across various sectors. The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.