Netherlands to Spend $352M on Drones, AI in 2025

The Netherlands will invest €310 million ($352 million) this year to expand its use of drones and artificial intelligence (AI) across its defense operations, according to State Secretary of Defense Gijs Tuinman.

“This year I want to invest 310 million euros in unmanned systems and scaling up other innovations. AI is a growing part of that. In fact, I think AI will become the backbone of our innovations,” Tuinman announced during the Dutch AI Congress in Utrecht.

Tuinman issued a call to action to the domestic AI sector, urging tech companies to accelerate cooperation with the Dutch Ministry of Defense, particularly in developing synthetic data systems. “AI is already changing warfare forever,” he said, speaking before an audience of over 800 business professionals and AI experts at the event themed “Getting started with AI.”

The investment is part of a broader strategy by the Dutch government, which has earmarked over €1 billion to expand its defense industry. The goal is to rapidly integrate AI into core military processes, from intelligence analysis to maintenance scheduling and operational planning.

Last week, Tuinman visited the United States, where he reviewed AI applications in defense at tech firms such as Anduril and Palantir. These companies specialize in software that enhances traditional weapons systems, including cruise missiles, using AI to reduce costs and improve performance.

“AI is a game changer. It has consequences for our entire way of working,” Tuinman said, noting how AI is now central to managing data and decision-making on and off the battlefield.

Tuinman highlighted existing partnerships with Dutch firms like Lobster Robotics, which is developing an underwater robot with optical sensors for infrastructure inspection, and Avalor AI, a collaborator in drone software development. The Ministry of Defense has also created “DefGPT,” a secure, in-house AI platform modeled on ChatGPT, but fully isolated from the public internet.

Despite these advancements, Tuinman emphasized the need for more participants from the private sector. He urged the AI industry to propose new solutions that could be delivered within six months.

He added that defense and tech companies must share development teams and workflows more closely to speed up deployment. A major need, he said, is for a synthetic data factory—an internal capability to generate training data without relying on limited real-world datasets.