Boeing Defense, Space and Security (BDS) is the defense and government services division of The Boeing Company, operating from St. Louis, Missouri — the historic home of McDonnell Douglas, which Boeing absorbed in 1997. BDS is one of the three largest US defense contractors by revenue, competing directly with Lockheed Martin and Northrop Grumman across virtually every major Pentagon program category.
Boeing's most consequential current autonomous weapons program is the MQ-25 Stingray — the US Navy's first operational carrier-based unmanned aircraft, designed for autonomous aerial refueling of carrier air wing fighters. The MQ-25 represents a fundamental capability expansion: it extends the combat range of F/A-18s, F-35Cs, and E-2Ds by hundreds of miles without adding human pilots. First operational deployments began in 2024.
Equally significant is the MQ-28 Ghost Bat, developed for the Royal Australian Air Force (RAAF) as a loyal wingman drone. The MQ-28 features a modular nose section allowing rapid payload swaps — from sensors to weapons — and is designed to operate in autonomous swarms alongside crewed F/A-18s and F-35s. Boeing developed this program largely at its own expense before securing Australian government funding, signaling high confidence in the loyal wingman market.
Boeing's legacy platforms are also undergoing AI integration. The AH-64E Apache helicopter features next-generation AI-assisted target acquisition, autonomous data link management, and machine-learning-enhanced FLIR. The F-15EX Eagle II incorporates AI-driven electronic warfare and mission data management. Boeing's scale — manufacturing, sustainment, and upgrade networks — gives it unmatched leverage to embed AI across an enormous installed base.
Boeing trades on the NYSE as BA. The defense division (BDS) represents approximately one-third of total Boeing revenue and provides a stable counterbalance to commercial aviation cycles. Boeing's autonomous systems programs — particularly MQ-25 and MQ-28 — represent significant growth vectors. The company has faced well-documented commercial aviation challenges, but BDS maintains strong government contract relationships and a multi-decade defense backlog. Investors seeking defense AI exposure via Boeing should track BDS segment margins separately from the commercial division.