The SDR & SMEs
In its Strategic Defence Review, published earlier this year, the government held out the prospect of a cornucopia of investment in the innovative technology found in the defence sector, as an engine for the growth of the UK economy. The SDR recognises the changing character of conflict, and the necessity for new thinking and working with the UK’s defence manufacturing sector to achieve the transformation necessary. It also mentions the increasingly important place in this new era for SMEs. This commentary will spotlight three SMEs that are doing interesting things with drones and satellites, two rapidly growing sectors.
Drone Evolution
Based in South Wales, Drone Evolution has been in business for seven years. Its initial work was based on tethered drones that can provide either a video capability for overwatch, or provision of a communications relay. A tethered drone avoids the need for airspace regulatory clearance as it does not manoeuver. Its initial Sentinel drone could lift a 3.5 kg payload.
Drone Evolution’s products and services play into the defence, security and civilian markets and are equally suited to performing missions such as surveillance, intelligence collection or delivering humanitarian aid.
As it developed its capability, Drone Evolution undertook service work providing inspection capabilities for utilities and, in Wales, inspection of former coal tips. The service work enabled the company to fund the development of a drone that it could offer to MOD to transport supplies and equipment to forward locations up to a range of 20 kilometers with a payload of up to 5 kg.
The advent of the war in Ukraine has spurred development of drone technology, and Drone Evolution has been looking at how it can supply the MOD with a First Person View (FPV) capability, based on what it has learnt from the conflict. They have been part of the UK led International Drone coalition, and have been working with the UK’s Land Command to develop tactics and procedures for the army.
The challenge has been to ensure that its supply chain is UK based. Previously drone components were based on commercial sources from China. The other challenge has been the ability to operate drones in UK airspace. The Civil Aviation Authority (CAA) bases its regulations on manned aviation. There is a need for both the CAA and its military equivalent the MAA to harmonise regulations so that Drone Evolution and other operators can fly over military testing ranges to enable troops to get used to this new kind of warfare.
The strategic motivation and commitment to help UK Defence, is drawn from the UK Strategic Defence Review 2025. At the supplier level, Drone Evolution are leading the charge to supply Drones and the associated enabling technologies to improve the effectiveness of the UK and international forces-allowing them to rapidly field capabilities that are matched to the evolving threats we face.
Backed-up by ‘ready-to-go’ manufacturing and UK friendly suppliers, Drone Evolution are uniquely positioned to quickly supply the large quantities of drones to support the stockpiling of these sometimes ‘attritable’ capabilities-this again supports the 20/40/40 vision articulated in SDR 25
Eycore
Dr. Arun Arumugan is the UK based Business Development director of Eycore Sp. z o.o. a Polish deep-tech space company specializing in advanced Synthetic Aperture Radar (SAR) technologies for Earth observation. Founded in 2021 and headquartered in Warsaw, it has additional offices in Gdańsk, Kraków and Bristol.
Eycore’s focus is on development and production of Synthetic Aperture Radar (SAR) payloads and satellites. Eycore’s radar expertise is underpinned by decades of experience, inherited from its founder Dr Maciej Klemm, who previously cofounded Advanced Protection Systems (APS); a leading Polish defence tech company specialising in anti-drone and ground-based radar technologies.
Eycore develops military-grade, jam-resistant Synthetic Aperture Radar (SAR) payloads and satellites designed for seamless integration across various platforms. The company’s modular SAR sensors support commercial and defense applications, offering flexible solutions for clients seeking sovereign space capabilities.
The benefit of using X band is that its shorter wavelength gives better resolution. The company produces all of the critical elements of the satellite payload in Poland, which can be integrated into a framework or ‘bus’ which is then mounted on top of the launch vehicle. Eycore plans to operate its satellites in Low Earth Orbit (LEO) at a height of 550 kms. LEO satellites orbit the earth 15 times in 24 hours. To enable real time observation in critical situations will need linking between satellites, which can be launched as constellations.
Eycore also operates in the civil sector. During the recent 3rd ESA Security Conference held in Warsaw in June, the winning consortium was announced for the implementation of Poland’s National Earth Observation Program CAMILA (Country Awareness Mission in Land Analysis), which included Eycore.
In July, Eycore announced a partnership with Kongsberg NanoAvionics (NanoAvionics), to place Eycore’s inaugural SAR demonstrator into orbit. The flight will test Eycore’s X-band radar on NanoAvionics’ flight-proven MP42 microsatellite bus, laying the groundwork for an all-European, military-grade SAR solution that provides governments with rapid, sovereign access to sub-meter, day-night, all-weather imagery. The launch aboard a SpaceX Falcon 9 Transporter rideshare mission is scheduled for the first quarter of 2026.
Methera
Based at the Harwell science park in Oxfordshire, Methera has grown from a team of 3 people to a staff of 15. It is addressing opportunities in the provision of space based broadband capability and space domain awareness. Chris McIntosh has been CEO for 6 years, after a background in military communications.
The satellite broadband market is experiencing rapid growth, driven by proven demand and the widespread adoption of systems like Starlink. However, low-orbit constraints and capacity limitations leave gaps in service, creating a clear opportunity for Methera to provide cost-effective broadband in oversubscribed regions.
The global satellite communications market was circa £98bn in 2024 and is expected to reach £260bn by 2034 (Precedence Research); space is becoming an essential component of national infrastructure. At the same time, satellites face increasing threats from man-made hazards such as rising space debris, anti-satellite operations, and growing space traffic, which pose significant navigation and operational challenges. This growing need for real-time information and intelligence is accelerating at an unprecedented pace.
Methera is developing a dynamic broadband and sensor system that will deliver space domain awareness (SDA) and high-capacity density communications; forming the bedrock for a number of emerging capabilities for government, military and commercial customers. The system will meet the rising demand for space data, information, intelligence and insights whilst significantly enhancing broadband connectivity in unserved and underserved areas.
In the commercial sphere Methera is in conversation with telecoms providers who wish to provide 5G broadband in developing economies where geographic challenges mean that satellite based broadband is easier to provide than normal fibre optic cable. There are opportunities to assist developing countries to provide services to dispersed communities by the provision of satellite broadband, via the UK government’s development budget.
There is an opportunity to surge broadband capacity when the occasion demands, such as the recent Paris Olympic Games. Methera’s offering is based around satellites orbiting at 20,000 kms, the same altitude as GPS satellites. Communication is based on the Ka band (27 – 40 GHz) which enables the footprint of the beam to be focussed on a relatively small area.
In the military domain, this capability can be used by PJHQ to provide additional broadband communications for deployed forces.
Comment
These companies and others like them have quickly responded to changes brought about by the outbreak of war in Ukraine. They have shown the agility needed in business to adapt and thrive. It now remains for the MOD to assume a similar appetite for innovation and risk.
The Defence Industrial Strategy is due to be released in September. To continue to innovate industry needs contracts. It is to be hoped that the DIS will go beyond the headline matter of warships and fast jets, and bring something that SMEs can get to grips with.
The big ticket platforms can only work if they have sensors and effectors that achieve the capability needed by the UK and its allies. The export market must not be overlooked. SMEs have the capability and the ability to scale up as needed. But they need contracts.
NPW 14 08 25
Nick Watts
07714 246478