Leonardo DRS Expands UK Presence with New Radio Production Subsidiary

"Establishing DRS UK and launching a full local tactical radar capability, strengthens our ability to support customers and partners with the proximity, responsiveness and manufacturing capacity needed to meet evolving operational requirements," said Leonardo DRS CEO John Baylouny. "This investment enables closer collaboration with UK industry partners and integrators to deliver counter-UAS, air defence and force protection capabilities that help protect the warfighter."

DRS UK: a new production site and local presence

Leonardo DRS announced Monday that it has created a UK-based subsidiary, DRS UK, and will begin local production of tactical radios at a newly purpose-built site. The company's news release said the facility "expands DRS’s manufacturing footprint and creates a dedicated local presence to support UK defence customers, industry partners and system integrators," but provided no further details about the site or planned output.

Capabilities the new subsidiary will support

The company statement specified that DRS UK will help meet UK requirements for counter-drone capabilities, air defence and active protection systems. It also described the new entity as a "strategic hub" for Leonardo DRS’s tactical radio business across Europe, indicating an intent to anchor both production and regional coordination in the United Kingdom.

Where DRS UK sits inside the corporate structure

The announcement framed DRS UK as a European subsidiary of Leonardo DRS, which the release described as the American arm of the Italian defence firm Leonardo. That positioning places the new unit inside a chain that, according to the company, links American-developed capabilities and manufacturing to European markets through a locally based organization.

Market approach: selling, licensing or both

The company's CEO, John Baylouny, explained the commercial thinking behind expansion into Europe in an interview earlier this year. Baylouny told Breaking Defense in June that European customers — like those in the United States — are seeking to acquire capabilities rapidly and have become "somewhat agnostic on which country is providing the capability." He added that Europe has technology gaps "that can be filled with product solutions from the US or otherwise, and they can be licensed to give them an indigenous capability." Baylouny summarized Leonardo DRS’s approach as "selling products or solutions, or licensing, or a combination of the two."

What this means for UK defence customers, industry partners, and system integrators

• UK defence customers: The company framed the local production site as enhancing "proximity, responsiveness and manufacturing capacity," signalling an expectation that having production in-country will allow faster delivery and closer support for UK operational requirements.
• Industry partners: Baylouny emphasized closer collaboration with "UK industry partners and integrators" to deliver counter‑UAS, air defence and force protection capabilities, suggesting joint development, integration work, or supply relationships are anticipated under the new arrangement.
• System integrators: By presenting DRS UK as a "strategic hub" for tactical radios across Europe, the company is positioning the subsidiary as a local point of contact for integration of tactical radio systems into broader defence platforms and services.

Leonardo DRS framed the launch of DRS UK as both a manufacturing expansion and a strategic move to deliver specific capabilities — tactical radios, counter‑drone systems, air defence and active protection — with closer physical and commercial ties to UK customers and partners. The announcement leaves open operational details such as production capacity, exact location, staffing, and timelines; meanwhile, the company’s stated market strategy combines direct sales with licensing as routes to meet European demand.

Source: Breaking Defense — Leonardo DRS announces new UK-based subsidiary