Insider Brief
- Remote Robotic Systems and Orqa signed an exclusive partnership to expand development and production of Orqa drone systems and components in Canada, including AI integration into jointly developed platforms.
- The companies said the agreement includes an initial CAN$20 million investment to expand RRS production facilities and is expected to be worth about CAN$150 million over five years.
- The partnership is aimed at producing systems for Canada and export markets, with RRS facilities set to become Orqa’s second North American manufacturing hub and a launch point for defense and commercial exports into the region.
Remote Robotic Systems and Orqa have signed an exclusive partnership to expand development and production of Orqa drone systems and components in Canada, including integrating AI into the joint platforms.
The companies said the agreement includes an initial investment of CAN$20 million to expand RRS production facilities. They said the deal is expected to be worth about CAN$150 million over five years and could create up to 100 technology jobs in Ottawa and Toronto by the fourth quarter of 2027.
The partnership is aimed at producing systems for Canada and export markets and the companies said they expect to scale production to 1,000 systems a month by mid-2027, with a longer-term target of 10,000 systems a month over the course of the agreement.
Orqa, based in Croatia, makes drone systems and components for defense and commercial customers. The company said the agreement is the first deployment of its Defense Transformation Platform, which is designed to help countries build their own drone ecosystems.
RRS, based in Canada, supplies drones to the Canadian armed forces, public safety agencies and industrial customers. The company has manufacturing operations in Ottawa and Mississauga.
The companies said the agreement centers on four areas:
- Technology transfer and production licensing: Orqa will transfer relevant technology and grant production licenses to RRS so the systems can be manufactured in Canada.
- Force and capability development: The companies will jointly develop systems for Canada’s armed forces, first responders and allied NATO partners.
- AI implementation: Orqa and RRS will work on research, development and integration of RRS’s sovereign AI capabilities into jointly developed platforms.
- Manufacturing and export hub: RRS facilities will become Orqa’s second North American manufacturing hub and a launch point for defense and commercial exports into the region.
The agreement was signed by Orqa co-founder and CCO Ivan Jelusic and RRS CEO Kevin Toderel. Canadian Prime Minister Mark Carney and Croatian Prime Minister Andrej Plenković were present for the signing, according to the companies. The companies indicated the deal makes Canada the first non-European country to participate in the EU’s Security Action For Europe initiative.
“This MoU will formalize the strategic framework for cooperation between RRS and Orqa to co-develop, manufacture, and commercialize advanced defence technologies,” Orqa CCO Ivan Jelusic noted in the announcement. “The specific focus is on uncrewed systems, counter-drone capabilities, and AI integration. RRS is the leading supplier of these systems to the armed forces and first responders in Canada, making them our ideal partner. We are committed to helping our allies create sovereign defence capabilities and this partnership is another step forward towards that goal.”
RRS will also serve as Orqa’s second North American manufacturing hub and a launch point for exports into broader defense and commercial markets on the continent, the companies said.
“Orqa is the global leader in sUAS systems,” added RSS CEO Kevin Toderel. “We are proud to be able to build these systems in Canada and work with Orqa to increase capabilities and act as a supply chain and software development partner, bringing Canadian IP to the world. Our aim is to build Canadian capability and capacity for sUAS systems, ensuring Canada has ready access to this essential strategic resource now and in the future.”
Image credit: Orqa