Could the U.S. Government Jump-Start Drone Delivery Worldwide?

State Department’s $150 million pay-for-performance agreement with Zipline is the ‘first-of-its-kind.’

Jack Daleo

Tuesday, November 25, 2025 at 12:30 PM ET

Verified

Edited By:

Travis Tingle

Zipline drones deliver blood, vaccines, and other medical supplies in Africa using a parachute system. [Credit: Zipline]

Key Takeaways:

The U.S. State Department plans to commit up to $150 million to American drone delivery company Zipline for a global expansion of its medical and urban delivery network in Africa.
This funding is contingent upon Zipline securing long-term commitments and up to $400 million in utilization fees from African countries to maintain and invest in the infrastructure.
The initiative aims to reach up to 130 million people and triple the number of facilities Zipline serves, while also championing American businesses and setting a precedent for similar future deals.

See a mistake? Contact us.

The U.S. State Department could commit up to $150 million in taxpayer money toward an American drone delivery provider’s ambitions to expand globally.

In what drone delivery company Zipline called a “first-of-its-kind” agreement, the State Department will fund the firm’s construction of new hubs in Africa—provided it can secure commitments from African countries to expand its services and maintain a long-term presence. The agreement has a three-year time frame, Zipline told FLYING.