ParaZero Secures First Order from Israeli Defense Entity for DefendAir Counter-UAS Systems

Rhea-AI Summary

ParaZero (Nasdaq: PRZO) announced on January 2, 2026 that it received its first purchase order from a main Israeli defense entity for its DefendAir Counter-Unmanned Aerial Systems (CUAS).

The order covers delivery of DefendAir units plus integration and training support to enable rapid operational readiness. DefendAir is described as a multi-layered, soft-kill CUAS using patented net-launching technology and the company reports 100% interception success in multiple field trials. The procurement responds to heightened drone threats identified in recent conflicts and is positioned to protect troops, infrastructure, and urban environments.

Key Figures

Interception success rate 100% DefendAir performance in multiple field trials

Market Reality Check

$0.8150 Last Close

Volume Volume 795,965 vs 20-day average 630,010 (relative volume 1.26x). normal

Technical Price 0.815 is trading below the 200-day MA at 1.26 ahead of this news.

Peers on Argus 4 Up

Several aerospace/defense peers on the momentum scanner moved up (e.g., SIDU and XTIA), while PRZO traded down 6.2%, pointing to a stock-specific reaction rather than a broad sector move.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 22	Product demonstration	Positive	+2.6%	Live DefendAir demo in Europe for ~40 senior NATO officers.
Dec 12	Product demonstration	Positive	+2.4%	DefendAir demo for leadership from all 16 German federal states.
Dec 10	Product positioning	Positive	-0.7%	Positioning DefendAir as response to rising hostile drone incidents in Europe.
Dec 05	Distribution agreement	Positive	-3.9%	Exclusive Western European distributor appointed for NATO defense markets.
Nov 17	Purchase order	Positive	+6.5%	Significant DefendAir purchase order from major Dutch defense distributor.

Pattern Detected

DefendAir-related announcements have often been positive but show mixed immediate price reactions, with both aligned gains and occasional selloffs on good news.

Recent Company History

Over the last few months, ParaZero has focused on expanding its DefendAir C‑UAS footprint, including a significant Dutch distributor order on Nov 17, 2025, a Western European NATO distribution deal on Dec 5, 2025, and multiple high-profile demonstrations for NATO and German police leadership in December 2025. These events highlighted high interception success and growing European interest. Today’s Israeli defense entity order extends that trajectory from demonstrations and distribution agreements toward direct procurement by a national defense customer.

Market Pulse Summary

The stock is surging +33.1% following this news. A strong positive reaction aligns with a series of recent DefendAir milestones, including European orders and demonstrations that previously produced mixed but sometimes constructive moves (e.g., +6.45% on a Dutch order). Today’s order from an Israeli defense entity reinforces real procurement traction after months of positioning. Investors would still need to weigh execution risks, contract concentration, and how quickly similar orders might scale relative to PRZO’s small market cap of $15,292,359 before extrapolating the move.

Key Terms

unmanned aerial systems (uas) technical

"solutions for the global manned and unmanned aerial systems (UAS) industry"

Unmanned aerial systems (UAS) are drones plus the ground controllers, communications links, sensors and software that let them fly and perform tasks without a pilot onboard — think of a radio‑controlled aircraft teamed with a mobile command center. They matter to investors because UAS open new markets and revenue streams across delivery, agriculture, mapping, inspection and defense, while their value and risks hinge on regulation, safety, and technological reliability.

non-kinetic technical

"enables safe, non-kinetic interception of hostile drones"

Non-kinetic describes actions or effects that cause harm or change without using physical force, movement, or explosions — for example, cyberattacks, electronic interference, sanctions, or legal and regulatory pressure. Investors should care because non-kinetic events can disrupt operations, data, or markets without visible damage, creating sudden financial, reputational, or compliance risks that may not be covered by traditional insurance and can require different technical or legal responses, much like a blackout can halt a business without any structural damage.

AI-generated analysis. Not financial advice.

Kfar Saba, Israel, Jan. 02, 2026 (GLOBE NEWSWIRE) -- ParaZero Technologies Ltd. (Nasdaq: PRZO) (the “company” or “ParaZero”), an aerospace defense company pioneering smart, autonomous solutions for the global manned and unmanned aerial systems (UAS) industry, announced today it has received its first purchase order from a main Israeli defense entity for the Company’s advanced DefendAir Counter-Unmanned Aerial Systems (CUAS).

This landmark order marks ParaZero’s first direct contract with this leading defense entity for its DefendAir anti-drone technology. The systems will support the defense entity’s extensive procurement initiatives amid heightened drone threats identified in recent conflicts, addressing the escalating drone threat as one of the primary risks to ground forces and critical operations.

DefendAir is a multi-layered, soft-kill CUAS solution featuring patented net-launching technology that enables safe, non-kinetic interception of hostile drones with minimal collateral damage. DefendAir has demonstrated 100% interception success in multiple field trials and is designed to protect troops, infrastructure, and urban environments from evolving unmanned aerial threats.

“We are honored to receive this first order from a leading Israeli defense entity, a testament to the reliability and effectiveness of our DefendAir systems in real-world defense scenarios,” said Ariel Alon, CEO of ParaZero. “Following the lessons of recent conflicts, where drones have emerged as a significant battlefield challenge, this procurement underscores the urgent need for advanced, scalable counter-drone capabilities. We are proud to contribute to enhancing the protection of Israeli forces and look forward to supporting broader deployment of our technology.”

The order includes delivery of DefendAir units along with integration and training support to ensure rapid operational readiness.

About ParaZero Technologies

ParaZero Technologies Ltd. (Nasdaq: PRZO) is an aerospace defense company pioneering smart, autonomous solutions for the global manned and unmanned aerial systems (UAS) industry. Founded in 2014 by aviation professionals and drone industry veterans, ParaZero is a recognized leader in advanced drone technologies, supporting commercial, industrial, and governmental operations worldwide. The company’s product portfolio includes SafeAir, an autonomous parachute recovery system designed for aerial safety and regulatory compliance; DefendAir, a counter-UAS net-launching platform for protection against hostile drones in both battlefield and urban environments; and DropAir, a precision aerial delivery system. ParaZero’s mission is to redefine the boundaries of aerial operations with intelligent, mission-ready systems that enhance safety, scalability, and security. For more information, visit https://parazero.com.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act and other securities laws. Words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions or variations of such words are intended to identify forward-looking statements. For example, ParaZero is using forward-looking statements when it discusses broader deployment of its technology. Forward-looking statements are not historical facts, and are based upon management’s current expectations, beliefs and projections, many of which, by their nature, are inherently uncertain. Such expectations, beliefs and projections are expressed in good faith. However, there can be no assurance that management’s expectations, beliefs and projections will be achieved, and actual results may differ materially from what is expressed in or indicated by the forward-looking statements. Forward-looking statements are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in the forward-looking statements. For a more detailed description of the risks and uncertainties affecting the Company, reference is made to the Company’s reports filed from time to time with the Securities and Exchange Commission (“SEC”), including, but not limited to, the risks detailed in the Company’s Annual Report on Form 20-F filed with the SEC on March 21, 2025. Forward-looking statements speak only as of the date the statements are made. The Company assumes no obligation to update forward-looking statements to reflect actual results, subsequent events or circumstances, changes in assumptions or changes in other factors affecting forward-looking information except to the extent required by applicable securities laws. If the Company does update one or more forward-looking statements, no inference should be drawn that the Company will make additional updates with respect thereto or with respect to other forward-looking statements. References and links to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release. ParaZero is not responsible for the content of third-party websites.

Investor Relations Contact:

Michal Efraty
Investor Relations
michal@efraty.com

FAQ

What did ParaZero (PRZO) announce on January 2, 2026?

ParaZero announced it received its first purchase order from a main Israeli defense entity for its DefendAir CUAS, including delivery, integration, and training support.

What is DefendAir and how does it stop drones for PRZO?

DefendAir is a multi-layered, soft-kill CUAS that uses patented net-launching technology for non-kinetic interception with minimal collateral damage.

Does ParaZero claim operational effectiveness for DefendAir (PRZO)?

The company reports 100% interception success in multiple field trials according to the announcement.

Will the PRZO order include training and integration?

Yes, the order includes delivery of units plus integration and training support to ensure rapid operational readiness.

Why is the Israeli defense purchase order material for PRZO investors?

The order represents ParaZero's first direct contract with a main Israeli defense entity and signals government-level procurement interest in its CUAS technology.