Wrap Technologies demonstrated the first documented air‑to‑air interdiction using its BolaWrap entanglement system on November 5, 2025. In partnership with Vector, the test employed the Vector Hammer drone platform to neutralize a moving aerial target mid‑flight without explosives or electronic warfare.
The demonstration used Wrap’s MERLIN‑Interdictor payload and a 150‑meter Kevlar tether with an anchor cassette, marking the first time two aerial systems engaged each other with a non‑lethal entanglement. The test took place in Salt Lake City, Utah, and validates Wrap’s platform‑agnostic approach to counter‑UAS defense.
This milestone expands Wrap’s product portfolio beyond its original ground‑based restraint device, positioning the company as a platform‑agnostic, non‑lethal defense solution for military, homeland security, and critical infrastructure markets. It also supports Wrap’s broader strategy to become an end‑to‑end public safety and defense solutions provider.
Wrap’s financial performance in 2025 shows a trajectory of cost discipline and revenue growth. Q2 2025 revenue reached $1 million, up from $765,000 in Q1 2025 and $593,000 in Q3 2024, while operating expenses fell 26% from the prior quarter. The company also secured a $4.5 million private placement to fund counter‑drone programs and recently acquired W1 Global to enhance managed safety services.
Management emphasized the strategic significance of the demonstration. Vector CEO Andy Yakulis said the test “redefines how we think about CUAS‑as‑a‑service,” while Wrap’s spokesperson noted the result “is a new paradigm in defense,” highlighting the potential for safe, scalable, and sustainable aerial interdiction without collateral damage.
The demonstration is expected to accelerate Wrap’s pursuit of defense contracts and broaden its commercial UAV market presence. By proving the MERLIN‑Interdictor’s versatility, Wrap can target high‑growth counter‑UAS segments projected to reach $10.58 billion by 2030, while its Wrap Federal launch focuses on U.S. federal government clients.
Despite the technological breakthrough, Wrap continues to navigate financial headwinds, including negative profitability margins and declining revenue growth in earlier periods. The company’s focus on cost reductions, subscription models, and strategic acquisitions signals a commitment to improving cash flow and achieving sustainable profitability.
Overall, the first air‑to‑air interdiction demonstrates Wrap Technologies’ ability to translate its core entanglement technology into a scalable defense solution, reinforcing its position as a leader in non‑lethal counter‑UAS technology and setting the stage for future commercial and government contracts.
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