An agreement for the joint venture known as LBA Systems between Baykar, Türkiye's leading manufacturer of unmanned aerial vehicles (UAV), and Italy’s Leonardo, one of Europe's largest defense companies, was signed on Monday at the 55th Paris Air Show, according to Anadolu Agency.

Roberto Cingolani, the CEO of Leonardo, and Selcuk Bayraktar, the chairman of Baykar, signed the landmark agreement.

Cingolani said Baykar and Leonardo had signed a joint venture for "next generation unmanned systems," whose production they plan to start in a short period of time, and voiced satisfaction with the signing.

Stating that he believes there is a gap in NATO and Europe in terms of UAVs (drones), Cingolani said the two companies have started working on the integration of payload systems, and that they aim to realize a successful landing on an aircraft carrier in the Italian Navy by the end of the year.

Noting that under the initiative, they will carry out production in four locations in Italy, including Ronchi dei Legionari, and that there will be a certification process for new machines, Cingolani said the planned date for the certificates is 2026.

Cingolani said that under the initiative, they aim to sell especially in the European market, which faces a significant shortage.

Asked what did Leonardo see to initiate such an initiative with Baykar, Cingolani said: "We visited Baykar for the first time and the very impressive thing was how the plan for production was amazing. We saw hundreds, maybe thousands of young people. The average age was around 29 and massive production capability, almost self-sufficient in terms of basic components, electronic sensing.”

Emphasizing that he was very impressed by the Baykar facilities, Cingolani said: “This was not just a facility or a building, it was a city.”

"Baykar is one of the world’s top sellers. So there must be a reason for that, right? And they grew up so fast that clearly the indicators – technical, commercial, and also the spirit of the company – were unique."

Cingolani said that they discussed technological complementarity with the company based on the positive impression they got from Baykar's facilities, and then decided to embark on joint ventures.

Saying he believes NATO's eastern wing needs to be strengthened, Cingolani added: “I think one priority is that Europe and other countries like Türkiye should create alliances, stronger business models, developing new technologies. Otherwise, the NATO alliance will be a table with a big leg and a small leg, and then …. it’s not safe, so we have to be moralized."

Noting that they have taken important steps with Baykar in the field of technology rather than politics, Cingolani said when asked about combining Turkish technology and weapons with Leonardo: "When you get married like in this joint venture, the portfolio is open to the other, why not? It will depend on specific requirements, market requirements, cost, and also practical ability. There is no limitation whatsoever. We don't put any limit (on) future facilities, not only in a managed system, but also in other possible systems. Of course, we're thinking long term, so there could be even other fields in the future."

On their decision to work with Leonardo, Bayraktar said their Italian partners have technologically excellent radar and payload systems.

Stating that they signed a “great complementary partnership” with Leonardo, Bayraktar said the two companies had signed a cooperation agreement.

Stating that they have very good cooperation with Leonardo and that they want to improve it, Bayraktar said: "It's always better to build partnerships and allies and commonality and make sure the interests are aligned and the goals are aligned. So we already had collaboration with Leonardo, and we were happy with it."

Stating that cooperation is important not only for Europe and NATO but also for global security, Bayraktar said: “We believe it's going to work, we'll make sure it's going to work. We'll do our best, our teams will do our best. So that works for the best of the world."

Stating that the teams are doing research on areas of mutual cooperation and that there may be new collaborations in the future in many areas including space, Bayraktar noted that technology is changing rapidly in the field of aviation and that they are following developments.

With the joint venture, Baykar and Leonardo aim to jointly evaluate opportunities in European and international markets.

The two companies have also agreed to explore new areas that will take their cooperation even further, ranging from commercial partnerships involving the parties' existing platforms to joint projects to be developed within multi-dimensional digital ecosystems.

Leonardo facilities involved in the project will include Ronchi dei Legionari, the center of excellence for the unmanned systems sector; Turin, where engineering and certification activities will be carried out; Tiburtina, Rome, where integrated multidimensional technologies will be developed; and Grottaglie, for the production of advanced composite materials.

The two companies had signed a memorandum of understanding on the joint venture this March in Rome.