Italy’s government has approved a joint venture between Turkish drone maker Baykar and Rome-based aerospace and defence group Leonardo to develop and manufacture next-generation unmanned aerial vehicles (UAVs) in Italy.
The council of ministers cleared the deal under the country’s “Golden Power” rules, approving the establishment of an equal venture, subject to regulatory approvals, the Italian daily Il Messaggero reported.
Golden Power allows the Italian government to review and impose conditions on investments in key sectors such as defence and national security, the state-run Anadolu news agency reported.
According to the newspaper, the venture will give Leonardo access to a drone market it estimates will be worth €100 billion ($116 billion) over the next decade.
The partnership will provide Baykar, one of the world’s top drone exporters, access to European defence markets through the Italian plant.
In June 2025 Baykar and Leonardo agreed to establish LBA Systems, an equally owned joint venture headquartered in Italy.
The joint venture will work on the Bayraktar TB3 and Akinci platforms, Selçuk Bayraktar, Baykar’s chair and chief technology officer, has said.
The Bayraktar TB3 is a carrier-capable armed drone for surveillance and strike missions, while the Akinci is a larger, more advanced combat drone capable of carrying heavier weapons and conducting long-range operations.
Baykar holds 60 percent of the global UAV export market.


