AeroVironment has received a $117.3 million production contract from the U.S. Army for its P550 electric vertical takeoff and landing unmanned aircraft system. The order supports the Army’s Long Range Reconnaissance and Battalion Reconnaissance programs.
The contract covers 82 P550 systems and represents the platform’s initial full-rate procurement. AeroVironment will provide the aircraft as the Army expands its use of autonomous systems for reconnaissance and distributed operations.
The award was issued under a Basic Ordering Agreement through a competitive Call for Solutions process. The competition was conducted through the Army’s Unmanned Aircraft Systems Marketplace, a digital procurement platform designed to accelerate the evaluation and acquisition of vetted drone technologies.
The P550 is an autonomous Group 2 unmanned aircraft system designed to take off and land vertically. Its electric propulsion allows it to operate without a runway, making the aircraft suitable for units working from dispersed or temporary positions.
AeroVironment said the P550 can operate for up to five hours using battery power. It can carry multiple sensors and other payloads weighing as much as 15 pounds.
The aircraft’s modular architecture enables operators to configure it for intelligence, surveillance and reconnaissance, precision strike, electronic warfare and communications relay missions. It can support operations across air, ground and maritime environments.
Operators can exchange the P550’s batteries and payloads in the field without tools. AeroVironment said the system can be reconfigured in less than five minutes, allowing units to adapt the aircraft as mission requirements change.
The platform uses a modular open systems approach that supports the integration of third-party sensors, communications links and mission-planning software. This structure is intended to give the Army flexibility to introduce new capabilities without replacing the underlying aircraft.
AeroVironment said the P550’s AI-supported autonomy can reduce operator workload while helping the aircraft navigate and perform tasks in contested environments. Integrated targeting and strike capabilities are also designed to improve situational awareness and force protection.
The contract advances the Army’s broader effort to deploy scalable drone systems across maneuver formations. The P550 is intended to give units longer-range intelligence and multi-mission capabilities while supporting operations from distributed locations.
AeroVironment develops autonomous systems, loitering munitions, counter-drone technology, directed-energy systems and electronic warfare capabilities. Its platforms support military operations across air, land, sea, space and cyber domains.
KEY QUOTES:
“In today’s battlespace, adaptability is no longer an advantage, it’s a requirement. The P550 gives maneuver forces the ability to rapidly reconfigure, extend their reach, and deliver effects across domains, all while operating in contested environments where speed and autonomy are decisive.”
Wahid Nawabi, Chairman, President and CEO of AeroVironment
“What operators consistently tell us is that they need systems that can adapt at the speed of the mission, not hours or days later. AV’s P550 delivers that advantage, enabling units to reconfigure in minutes. It reduces the burden on operators while expanding what a single platform can achieve.”
Trace Stevenson, President of Autonomous Systems at AeroVironment

