The mathematics of modern warfare economics have been turned completely upside down, and it’s largely due to drones that cost less than most people’s monthly rent.
A new report from Dedrone by Axon reveals the stark economic reality facing military forces worldwide: a $500 DIY drone can now destroy an $82.5 million F-35 fighter jet. This isn’t theoretical — it’s happening on battlefields right now. And, it’s fundamentally reshaping how nations think about defense spending and military strategy.
Dedrone by Axon is an airspace security company that largely focuses on protecting skies against unauthorized drones entering that airspace. Its clients include commercial, government, and military customers. And in September 2025, the company shared some key insights into its operational datasets from 2024 and 2025 across Europe, the Middle East, and Asia in a report titled The State of Airspace Defense Today and What’s Next.
When David beats Goliath nearly every time these days
The traditional model of air superiority was built on expensive platforms operated by highly trained personnel. Fighter jets, bombers and advanced aircraft dominated the skies because they were sophisticated, durable and backed by massive defense budgets. Losing one was financially devastating, which made them precious assets requiring careful deployment.
That calculus has completely collapsed. Ukraine’s recent “Spider’s Web” operation demonstrated this new reality. Using 117 explosive drones concealed in cargo trucks, Ukrainian forces inflicted an estimated $7 billion in damage on Russian nuclear-capable bombers across five regions. The total operational cost according to Dedrone by Axon’s report? Roughly $234,000.
For every dollar spent on the attack, defenders lost approximately $30,000 in assets. This isn’t just an unfavorable exchange rate — it’s economically unsustainable for any military force.
Cheap drones are capable of more
According to Dedrone’s 2025 data from across Europe, the Middle East, and Asia, this economic imbalance is getting worse, not better. When a $2,000 commercial DJI drone can trigger the deployment of million-dollar interceptor systems, defenders face an impossible choice: either deploy disproportionately expensive countermeasures or risk catastrophic damage from seemingly insignificant threats.
“We’re witnessing the collapse of the old air defence economics,” said Ash Alexander-Cooper OBE, VP EMEA and APAC at Dedrone by Axon, in a prepared statement. “The asymmetry is unsustainable unless we fundamentally rethink how we detect, classify and defeat these threats.”
The report shows that DIY drone detections have increased by 4.3x in 2025 compared to 2024, meaning more operators are building custom platforms for even less money. These aren’t sophisticated military systems — they’re often assembled from off-the-shelf components that can be purchased online and assembled in a garage.
The mass production advantage
What makes this warfare economics shift even more challenging is the scalability factor. While traditional military aircraft require years of development, specialized manufacturing facilities and extensive supply chains, drones can be mass-produced quickly and cheaply.
The components are commercially available, the assembly process is straightforward, and the barrier to entry is minimal. For the cost of a single advanced fighter jet, an adversary could potentially field thousands of drones, each capable of causing significant damage or forcing expensive defensive responses.
Rethinking defense economics
The implications extend far beyond military strategy. NATO allies have already committed to raising defense spending to 5% of GDP. That’s more than double the previous target, and it’s largely in response to these evolving threats. The EU’s €800 billion ‘ReArm’ initiative specifically lists drone and counter-UAS systems as a “pressing capability priority.”
And part of that money is going to counter drone systems (like Dedrone) — ideally those that are affordable like the drones themselves.
For defense contractors and military planners, the message is clear: the future belongs to whoever can solve the economic equation. The side that can defend against cheap drones without bankrupting itself will control tomorrow’s battlefields.
The era of the $82 million fighter jet isn’t over, but its reign as the ultimate arbiter of air power has ended. In the new calculus of warfare, a $500 drone might be owning the playing field.
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