ZenaTech, Inc. (NASDAQ: ZENA) announced that its subsidiary ZenaDrone has begun flight testing of custom-designed printed circuit boards (PCBs) at its UAE manufacturing and testing facility, integrating the boards into its ZenaDrone 1000 and IQ Nano drone platforms.

The PCBs are designed and manufactured at ZenaTech's Taiwan-based Spider Vision Sensors subsidiary, then shipped to the UAE for integration and flight validation. The Taiwan facility spans 16,000 square feet and also produces cameras, sensors, and motors.

ZenaTech said the move is part of a vertical integration strategy aimed at reducing reliance on third-party suppliers, improving supply chain resilience, and shortening design-to-deployment timelines. The company stated that successful validation would allow the components to be deployed across its broader drone lineup, including the ZenaDrone 1000, IQ series, and Counter UAS products.

The company is pursuing Blue UAS certification, which it described as a prerequisite for direct U.S. Department of Defense and federal agency procurement. ZenaDrone currently has four drones in the certification process. Taiwan is not designated a "covered foreign country" under the U.S. National Defense Authorization Act (NDAA), making components manufactured there eligible for use in NDAA-compliant drone systems.

"Designing and manufacturing our own boards through Spider Vision Sensors, rather than depending on third-party or foreign suppliers, gives us control over cost, quality, and our timeline to Blue UAS certification," said Shaun Passley, Ph.D., ZenaTech CEO.

The announcement references the American Security Drone Act and Federal Communications Commission restrictions that bar Chinese-made drones and components from federal use. ZenaTech said it believes its non-Chinese supply chain positions ZenaDrone to compete for resulting procurement opportunities, though no contracts have been announced.

ZenaTech is listed on the Nasdaq, Frankfurt Stock Exchange (FSE: 49Q), and the Mexican Stock Exchange (BMV: ZENA). The company said further updates would follow as flight validation progresses.