EADS to stop UAV development if no pledges to buy


EADS will stop development on the 3 billion euro (US $3.87 billion) Talarion UAV project unless governments commit to ordering the drone, said Stefan Zoller, who heads the EADS Defence and Security division.

“We will only continue development if there is a commitment for procurement,” he said late on Monday in remarks embargoed for release on Tuesday.

The European group said last month it was prepared to keep spending its own cash to keep the project afloat until the end of the year to give governments in Germany, France and Spain time to review their defence spending, Reuters reports.

Zoller also said EADS’s defence division needed to grow in emerging markets to offset slow growth in Europe. He also said industry consolidation in Europe was resulting in low synergies.