Trump administration in talks to fund US drone companies: report

Published May 28, 2026 Updated May 28, 2026 07:36am

The Trump administration is in talks to provide funding to some drone companies, including Unusual Machines and Sequoia Capital-backed Neros, the Wall Street Journal reports, citing people familiar with the matter, according to Reuters.

Drone dominance was described as a “presidential priority” in President Trump’s $1.5 trillion defense budget request for fiscal year 2027.

Months-long discussions between private sector firms and the Pentagon have included the Office of Strategic Capital, a Biden-era lending unit focused on companies critical to national security supply chains, the Journal reported.

Unusual Machines is a drone components maker that counts Donald Trump Jr. as an adviser, while Neros is a startup specialising in autonomous drones.

Performance Drone Works, which won a contract to supply the US Army with reconnaissance drones, is also under consideration for possible funding, the report added.

Some proposals being discussed include funding via a mix of debt and equity that could give the government ownership stakes, the report said.