The source told the outlet that the deal would provide the Army with dozens of LOCUST systems, which use artificial intelligence to track and identify small and medium-sized drones before human operators engage them with a high-energy laser. AeroVironment's LOCUST system was originally developed by BlueHalo, which the defense firm acquired for about $4.1 billion in 2025. The latest LOCUST X3 uses a scalable 20-to-35-plus-kilowatt laser, AI-enabled detection and tracking software, and precision beam control to defeat Group 1-3 drones. At roughly $5 per shot, compared with a $100,000 rocket or a million-dollar interceptor missile, lasers offer one of the most cost-effective ways to defeat Group 1-3 drones. Drone Groupings (via Piper Sandler)The report sent AeroVironment's stock soaring nearly 8% during the final hour of Friday's US cash session.