Palladyne AI Executes $4.2 Million U.S. Air Force Contract to Advance Swarming Capabilities for Integrated Cross-Domain Operations

Palladyne AI Corp. (NASDAQ: PDYN and PDYNW) ("Palladyne AI"), a developer of artificial intelligence software for robotic platforms in the defense and commercial sectors, today announced that it has executed the previously announced contract awarded by the Air Force Research Laboratory (AFRL) to solve one of the most persistent challenges in modern defense operations—how to make different autonomous systems work together as one coordinated team. The "Hierarchical Adaptive Networked Game-Theoretic Integration of Multiple Echelons (HANGTIME)" contract will address this need.

Today, drones, ships, and satellites often operate largely independently, limiting how quickly warfighters can see and respond to threats. HANGTIME will utilize Palladyne AI's patented SwarmOS™ software platform—the defense variant of the Palladyne™ Pilot embodied AI software—as the baseline technology to bridge that gap, connecting disparate systems so they can share intelligence, adapt to changing conditions, and act in sync across domains, including space, air, maritime, and land.

By integrating satellites for the first time, this project also extends Palladyne AI's technology from the ground to orbit, enabling faster, more informed decision-making and coordinated mission execution, turning tactical commanders into strategic commanders by giving them more cross-domain intelligence, surveillance, and reconnaissance (ISR) capabilities than ever before.

"Our collaboration with AFRL showcases what's next for autonomous operations," said Ben Wolff, President and CEO, Palladyne AI. "This isn't about replacing humans—it's about giving them sharper, faster insight. By connecting satellite, aerial, and ground systems using the patented SwarmOS embodied AI platform as a foundational technology, we're helping the warfighter make better decisions in real time and stay one step ahead on the battlefield."

"The HANGTIME project is a breakthrough that unites high-altitude assets and situational unmanned systems into one coordinated sensor network—delivering a major advantage for the defense industry," said Dr. Denis Garagic, Chief Technology Officer, Palladyne AI. "For the first time, a single AI framework can coordinate assets across multiple domains, including satellites. That means these systems can now think and act together as a team, sharing what they see and learning as conditions change."

"The HANGTIME effort represents a critical step in multi-domain autonomy for coordinated execution in challenging environments," said Caleb Williams, Program Manager, AFRL/RIEA.

For more information on Palladyne AI and its patented collaborative autonomy software, including SwarmOS, please visit www.palladyneai.com. For more information about AFRL, please visit www.afrl.af.mil.

About Palladyne AI

Palladyne AI is a U.S.-based technology company developing patented embodied artificial intelligence, collaborative autonomy solutions, advanced avionics, autonomous systems, advanced UAV engineering services, and precision-manufactured components for defense and industrial markets. Palladyne AI delivers secure, American-developed and operated platforms designed to meet the stringent requirements of U.S. government and public-sector customers, including data sovereignty, security, and compliance.

Palladyne AI's embodied AI is designed to operate in complex, contested, and high-risk environments, enabling distributed tasking, human-on-the-loop decision-making, degraded-communications resilience, and multi-domain coordination. Its platform-agnostic autonomy stack combines real-time sensor fusion, adaptive AI models, and edge-native orchestration—without vendor lock-in—to support autonomous and collaborative systems across air, ground, maritime, and industrial domains where performance, resilience, and trust are paramount. For more information about Palladyne AI, including GuideTech and Palladyne Defense, please visit www.palladyneai.com.