KULR Technology Group Inc. (NYSE American: KULR) announced it received initial purchase orders totaling nearly $1 million from a U.S. defense technology company that manufactures unmanned aerial systems specializing in first-person view drones for military use.

The company expects total purchase orders from this customer to exceed $5 million, with all related orders expected to be fulfilled and shipped before the end of 2026, according to a press release statement.

The order covers KULR ONE Air batteries, the company's battery platform designed for the unmanned aerial systems market. The batteries are engineered for unmanned aerial vehicle and urban air mobility applications, combining lightweight architecture with safety and reliability standards.

The customer was also involved in Drone Dominance, the Department of War's $1.1 billion initiative to equip warfighters with thousands of low-cost, expendable, one-way attack drones.

Fortune Business Insights projected the global drone defense systems market will grow from $120.5 billion in 2026 to $6.86 trillion by 2034, representing a compound annual growth rate of 65.7%.

"This order marks an exciting milestone in KULR's expansion into the US domestic drone and UAV market," said Michael Mo, chief executive officer of KULR. "With our expanding customer pipeline and a global market projected to grow at more than 65% annually through 2034, I believe KULR ONE Air is entering one of the most compelling growth markets in our industry."

KULR ONE Air was introduced last year as a family of lithium-ion battery systems engineered for unmanned aerial systems. The company describes itself as an energy-systems platform company that enables deployment of lithium battery systems for space and defense programs, hyperscale AI data centers, and telecom infrastructure.