IAI Chairman Outlines AI-Driven Future of Defense and Space Systems

Chairman of Israel Aerospace Industries (IAI), Boaz Levy, presented the company’s vision for the future of engineering, artificial intelligence, and defense innovation at the 65th Annual Conference of Aeronautical and Space Sciences (IACAS 2026). In his speech, e addressed operational lessons learned from recent conflicts, the company’s expanding global activity, and the integration of AI technologies into development and production processes.

According to Levy, IAI systems played a central role in Operation Roaring Lion and highlighted the direction in which the modern battlefield is evolving. He noted that the integration of drones, radar systems, refueling aircraft, intelligence systems, satellites, and defensive and offensive capabilities has created a combined operational framework enabling coordinated, multidimensional action. He said the operational experience accumulated through these systems strengthens the company’s international standing and increases global demand for its products.

A major part of the speech focused on the future of the engineering profession. Levy said that in an era of rapid technological acceleration and artificial intelligence, the role of the engineer is undergoing a fundamental transformation. According to him, the industry now requires fewer engineers working purely in theoretical frameworks and more hands-on engineers who are familiar with production floors, understand the needs of soldiers, and can translate complex ideas into practical solutions. He emphasized the importance of multidisciplinary engineers capable of working across software, hardware, algorithms, and mechanics.

Addressing artificial intelligence, Levy stressed that IAI views AI as a core working tool rather than a replacement for human personnel. He said AI systems significantly shorten development timelines, enable complex simulations, and allow products to reach higher levels of maturity at earlier stages. However, he clarified that decision-making, judgment, and creativity remain the responsibility of humans. “We use AI tools, but it is people who initiate the ideas and lead them,” he said.

Levy also referred to the company’s financial performance, noting that increased profitability enables greater investment in research and development, manufacturing infrastructure, and human capital. He said the company is advancing toward a “smart factory” model through robotics, automated production lines, and quality control systems based on computer vision and machine learning, aimed at increasing production rates and meeting growing demand for defense systems.

In the space domain, Levy highlighted the company’s activities around the “Ofek 19” and “Dror 1” satellites, stating that the next generation of satellites developed by IAI will be smaller, more flexible, and more cost-efficient, while enabling continuous and dynamic coverage of areas of interest worldwide. He concluded that the company’s key challenge in the coming years will be maintaining Israel’s technological edge while integrating the AI revolution, alongside continued development of the skilled workforce on which the defense industry depends.