A new Joint Venture between Leonardo and Baykar, based in Italy, will exploit the industrial synergies and complementarities of both companies in the unmanned sector and pursue opportunities in both the European and international markets.
Leonardo and Baykar Technologies signed a Memorandum of Understanding (MoU) on Mar. 6, 2025, during a ceremony in Rome attended by Baykar Chairman Selçuk Bayraktar, Leonardo’s CEO and General Manager Roberto Cingolani and Italy’s Defense Minister Guido Crosetto. The MoU follows the recent announcement, in December 2024, of Baykar’s acquisition of the Italian manufacturer Piaggio Aerospace.
With the MoU, based on the industrial synergies and complementarities of Leonardo and Baykar in the unmanned sector, a new Joint Venture will be created and based in Italy. This will include the design, development, production, and maintenance of unmanned aerial systems.
Leonardo ile İnsansız Teknolojiler Alanında Ortaklık Anlaşması İmzaladık. 🇹🇷🇮🇹
İnsansız hava sistemlerinde küresel gücümüzü artırmak için Leonardo ile Ortak Girişim kuruyor, geleceğin havacılığına yön vermeye devam ediyoruz. ✈️
Firmato un accordo di partnership con Leonardo nel… pic.twitter.com/KkevqDzUZ2
— BAYKAR (@BaykarTech) March 6, 2025
The new Joint Venture
This partnership will leverage Baykar’s industry-leading unmanned platforms, which have demonstrated operational effectiveness across various global markets, and Leonardo’s expertise in mission systems, payload design, and related aerospace certification in Europe. Interestingly, the collaboration will also extend into the field of space technologies.
The European market for the next ten years, covering unmanned fighters, armed surveillance drones, and deep strike drones, is projected to reach $ 100 billion, said the two companies. Thanks to the new joint venture, Leonardo and Baykar will jointly pursue opportunities in both the European and international markets, also capitalizing on additional synergies in the space sector.
Both companies are currently engaged in the development and production of UAVs, electronic systems, payloads, C4I (Command, Control, Communications, Computers, and Intelligence), Artificial Intelligence, integrated mission systems, space equipment, and services. Baykar has quickly become one of the world’s leading UCAV exporters, demonstrating the progress made by the Turkish defense industry in recent years, while Leonardo is one of the largest defense companies globally and is currently involved in many high-profile defense programs.
“With Baykar – says Roberto Cingolani, CEO and General Manager of Leonardo – we are creating a new reference player in unmanned technologies, which will play an increasingly central role in the future of Defense. Today, we are signing a new international alliance that marks a significant leap forward in unmanned systems, opening up new market opportunities, particularly in Europe. The defense industry is facing unprecedented challenges, such as unmanned systems, artificial intelligence, sixth-generation fighters, cybersecurity, and space. In this context, we are convinced that technological cooperation is both necessary and urgent to accelerate progress and ensure global security.”
Cingolani’s mention of the sixth-generation fighters is notable, as during the press conference he said that the Kizilelma UCAV could be used as a “loyal wingman” for sixth-generation platforms. Bayraktar further added that a “big part of the discussion” was about supplying “loyal wingman” drones for the Global Combat Aircraft Programme (GCAP).
Interesting tidbit out of @Leonardo_IT/@BaykarTech press conference on new JV for unmanned tech. While Leonardo CEO notes that #GCAP has no ‘loyal wingman’ yet agreed, Baykar CEO says, “Of course, [supplying loyal wingman drones] for GCAP was a big part of our discussions.” pic.twitter.com/b9NHupL7we
— Gareth Jennings (@GarethJennings3) March 6, 2025
Right now, however, it seems that the focus of the collaboration will be the Bayraktar Akinci UCAV. Baykar’s CEO says Akinki was chosen as the platform already includes some unspecified Leonardo technologies, and this segment is perceived to be the biggest gap in the European market.
Baykar’s #Akinci MALE UAS is the focus platform for the new @Leonardo_live and @BaykarTech JV, @haluk says, as the platform already features some Leonardo technologies, and this market is perceived to be the biggest gap in the European market. pic.twitter.com/DqFjAEBoVB
— Tony Osborne (@Rotorfocus) March 6, 2025
Selçuk Bayraktar, Chairman and CTO of Baykar, stated: “As the global leader in armed UAV development, production, and export in the world, Baykar has always focused on pushing the boundaries of innovation in unmanned aviation. Leonardo’s globally renowned capability in C4I systems and its advanced AI technology backbone make this collaboration even more impactful. This strategic partnership with Leonardo marks a significant milestone in expanding our technological footprint and strengthening our presence in the world. Baykar will combine ethical AI-driven technologies together with Leonardo’s immense capability in the AI technologies to develop next-generation solutions that will define the future of unmanned aerial systems. Together, this synergy will bring ultimate AI-driven air supremacy for the future.”
In the press release, it was already announced that the two companies will work together in three existing Leonardo sites. These will be those in Ronchi dei Legionari (Friuli), a specialist center in the unmanned sector; Torino (Piedmont) and Roma Tiburtina, respectively for production aspects and the development of integrated multi-domain technologies; and Nerviano (Lombardy) for the joint solutions offered for the space sector.
Piaggio’s acquisition
In December 2024, Baykar won the competition to acquire the Italian manufacturer Piaggio Aerospace, which has faced several years of financial struggle. In fact, after declining sales following the late 2000s recession forced the company into administration in 2018, it was eventually put up for sale in 2020.
Three offers were received in the tender process to purchase the company, with Baykar’s bid having been chosen after an evaluation process. Baykar’s CEO hinted that Piaggio as an individual brand will continue into the future as Baykar looks to preserve the company’s historical identity.
Some of Piaggio’s best-known products are the P-180 Avanti and the improved Avanti II, which have proven themselves as a popular option for executive transport in both the civilian and the military/government market. Piaggio describes the Avanti as the fastest turboprop aircraft in the world.
The distinctive appearance of the aircraft is an additional driving factor in its popularity. Seen almost as an analogue to extensively styled supercars, the Avanti has frequently been referred to under the moniker ‘Ferrari of the Skies’.
The P-180 served also as the base to develop the unmanned P.1HH Hammerhead, a MALE UAV, like Baykar’s TB2, but much larger and with an increased payload, higher service ceiling, and faster operating speed. It has been assumed that Baykar may use their expertise in the field to improve upon the P.1HH and the announced P.2HH designs further, and this might also happen as part of the joint venture.