Drone Delivery Canada Corp. (TSXV: FLT) (OTCQX: TAKOF) (Frankfurt: A3DP5Y) signed a CAD$200,000 contract with two government agencies to run its drone delivery platform using its Canary remote piloted aircraft.
The company announced on Thursday that the contract with the Department of National Defense (DND) and the Canadian Armed Forces Innovation for Defense Excellence and Security (IDEaS) will run for six months, and if successful would lead to a 12-month contract with a $1 million value.
The Canary is an advanced unmanned aircraft system with exceptional payload capacity, long-range capabilities and adaptability for adverse weather conditions, positioning it as an excellent choice for the DND/CAF in various defense logistics applications.
The contract puts the Canary drone through operational assessments in both controlled test environments and real-world scenarios to showcase its capability in providing timely delivery of medical equipment and essential supplies in challenging conditions. Within the framework of the IDEaS program, DDC’s Canary drone has been chosen to potentially assist the DND/CAF in the transportation of medical supplies and other necessary items during high-stakes military missions.
“This selection is a testament to our innovative technology and its potential to have a positive impact on the defence sector,” said Steve Magirias, CEO of Drone Delivery Canada.
“We are confident that the Canary drone can play a vital role in advancing the DND/CAF’s mission-critical operations, providing them with enhanced logistical capabilities and a competitive advantage.”
This partnership between DDC and the DND/CAF holds the promise of influencing defense sector logistics. By incorporating drone delivery solutions, it stands to amplify the efficiency, velocity and security of crucial operations while diminishing the dependence on conventional transportation approaches. The Canary’s proficiency in ferrying vital medical supplies to remote, hard-to-reach and high-risk areas will yield substantial advantages for the CAF.
Drone Delivery Canada shares rose 3.4 per cent to $0.30 on Tuesday on the TSX Venture Exchange.
DDC Canary. Image via Drone Delivery Canada Corp.
Read more: Volatus Aerospace drones cleared to help fight wildfires in Alberta
Global drone market worth USD$19B in 2022
In 2022, the global commercial drone market was valued at approximately USD$19.89 billion according to market analysis firm Grand View Research. The market is also projected to grow at an compound annual growth rate (CAGR) of 13.9 per cent from 2023 to 2030.
This growth is primarily driven by the increasing adoption of drones for various enterprise applications across a wide range of industries.
Numerous drone manufacturers are actively engaged in continuous testing, innovation and the improvement of drone solutions tailored for diverse markets.
Shenzhen DJI Sciences and Technologies Ltd., or DJI as it’s commonly known, is a Chinese technology company headquartered in Shenzhen, China. It’s backed by the Chinese state and produces a wide range of consumer and professional drones.
Autel Robotics was founded in 2014 by Maxwell Lee, a Chinese-American entrepreneur and Li Hongjing, a former executive at DJI. The company is headquartered in Shenzhen, China, and has offices in the United States, Italy, Germany and Singapore.
On the American side, 3DR is an American company headquartered in Berkeley, California. They specialize in developing enterprise drone software tailored for industries such as construction, engineering, mining firms and government agencies.
Before the year 2016, the company primarily focused on designing and marketing unmanned aerial vehicles (UAVs) for both commercial and recreational purposes. These offerings included consumer drones, ready-to-fly quadcopters used for tasks like aerial photography and mapping, as well as fixed-wing UAVs built upon the Ardupilot platform.
However, as of September 2016, 3DR and the primary open-source Ardupilot development community parted ways due to disagreements related to the licensing of the open-source code upon which 3DR’s products were based.
Follow Joseph Morton on Twitter
joseph@mugglehead.com
