Elsight adds factories in the US and Germany for Halo

Elsight (ASX: ELS) is opening new production in the US and Germany as governments look for supply chains built closer to home. The company announces the plan from Allen, Texas, after its flagship Halo product joined the Blue UAS list of the DCMA.

Halo combines cellular, satellite and radio links into a single encrypted connection and picks the best route at any moment, so air, land and maritime vehicles can operate BVLOS. Elsight counts more than 500,000 operating hours with over 100 customers, among them users in intense combat conditions. Halo comes as an OEM module under 100 g or as a rugged boxed unit and works with any carrier; the company puts its reliability at 99%.

In Europe, a Bavaria-based operator will run several certified factories with an output of nearly 10 million units a year. In the United States, a California partner contributes two high-performance surface-mount lines and through-hole assembly done by machine and by hand.

Chief executive Yoav Amitai says producing in the US, Europe and Asia-Pacific protects supply from geopolitical shocks, logistics bottlenecks, reliance on a single source and sudden jumps in demand, and gives customers shorter lead times and redundancy.

Why it matters

Elsight points to lower geopolitical risk, less dependence on outside suppliers and local jobs as forces reshaping supply chains, especially in defence, where US and European budgets are climbing steeply. NATO-aligned forces and US agencies are taking up its technology, and several programmes are due to graduate from pilot and evaluation to production-level buying.

Blue UAS clearance allows fast military procurement, and Halo’s NDAA compliance reassures buyers who want domestic or allied sourcing.

The factories also back a range that now covers link, positioning, video and autonomy products. Elsight describes this as a shift from a one-product firm to a multi-capability supplier, serving autonomous-systems makers, defence organisations and public safety agencies across air, land and sea.