Student Aerospace Startup Scales Drone Production
Founded in 2024, the Michigan-based company now produces thousands of drones monthly for U.S. Army military training exercises.
Updated on Oct. 28, 2026 in Space

Live Poll
Do government-funded university research programs effectively prepare students for the realities of running a business?
Gavin Gardner, a former student researcher who earned two NASA University Student Research Challenge awards, launched AG3 Labs in 2024. The firm now serves U.S. Army contracts by manufacturing thousands of drones each month to support counter-drone system testing.
Why it matters
The company fills a critical gap by providing low-cost, expendable aerial platforms specifically designed for military entities to test and refine counter-drone technologies. This shift from academic research to high-volume manufacturing highlights the increasing demand for accessible training equipment in modern defense.
The firm now maintains a production capacity of thousands of drones each month using expanded operational capabilities. The enterprise was established to address the specific requirement for low-cost systems needed for counter-drone system testing.
The players
Gavin Gardner
He is the founder of AG3 Labs who transitioned from university drone research to commercial military manufacturing.
AG3 Labs
This Michigan-based aerospace company specializes in producing large volumes of low-cost drones for U.S. Army training and testing.
NASA
This federal agency supported the initial research through the University Student Research Challenge program.
U.S. Army
This branch of the military utilizes AG3 Labs' drones for testing counter-drone defense systems.
The details
Gavin Gardner began his work in Michigan with an aerial cargo drone concept that won a NASA University Student Research Challenge grant in 2021. Following a second NASA award in 2023 for a laser-powered drone system, he transitioned his focus to the startup sector after graduating with a master's degree in spring 2025.
Timeline
In 2021, Gardner joined the NASA grant-funded AIDED drone project.
Gardner's team received a second NASA USRC award in 2023.
Gardner co-founded the company AG3 Labs in 2024.
Gardner graduated with a master's degree in spring 2025.
The Big Picture
This story follows a pattern set by the NASA University Student Research Challenge, which provides a pipeline for academic research to move into the commercial aerospace market. The success of AG3 Labs demonstrates how the program acts as a catalyst for student-led aerospace innovation.
The scaling of this manufacturing process could lower the cost barrier for military defense testing, potentially leading to more advanced and reliable counter-drone protections. This growth also signals a broader shift toward integrating university-developed aerospace technology into domestic supply chains.
The takeaway
The transformation of academic research into industrial-scale production illustrates the potential for government-funded student projects to solve practical defense logistics. Entrepreneurs can find success by identifying specific niches within government testing requirements and scaling production to meet those defined needs.
Further reading
For more information on the evolving aerospace industry, explore the Space news section.
Source note: This article includes information reported by NASA.
Live Poll
Do government-funded university research programs effectively prepare students for the realities of running a business?









