AI Defence Firm Arkeus Leaves Victoria for Queensland

Melbourne defence technology firm Arkeus is set to relocate to Queensland’s Gold Coast, with strong support from the state government.

Arkeus builds technology used by defence forces in Australia and the United States, specialising in using artificial intelligence (AI) to interpret data from custom camera or imaging systems attached to drones.

The tech allows for better identification of threats that may not be easily visible to the human eye.

The move to Queensland is set to boost the company’s production in order to meet Australian and U.S. demand while also expanding into Europe.

Arkeus CEO Simon Olsen talked up the benefits of moving the $100 million (US$71.3 million) company to the Sunshine State.

“Building our manufacturing capability on the Gold Coast is about more than scale, it’s about access to world-class engineering talent and a growing ecosystem of advanced manufacturing and research,” he said in a statement.

“Queensland gives us the ability to attract and retain the people we need to build globally competitive technology here in Australia, and the support from Queensland Investment Corporation (QIC) and the Queensland government has been an important part of this decision.

“Our systems combine advanced sensing with onboard AI to allow autonomous platforms to understand their environment in real time, even in degraded or contested conditions where traditional systems struggle.”

Olsen said demand for the systems offered by Arkeus was growing globally.

The Queensland connection deepened earlier this year when state-backed QIC Ventures led Arkeus’ $25 million Series A funding round, giving the investor a key role in supporting the defence technology company’s next phase of growth.

Queensland Minister for Finance, Trade, Employment and Training Ros Bates said her government intended to lead the nation in defence and advanced manufacturing.

“Queensland is open for business and ready to lead the nation when it comes to defence and advanced manufacturing, and it’s obvious that this message is being heard loud and clear,” she said in a statement provided to The Epoch Times.

“The global landscape is evolving and it’s imperative that we back Australia’s sovereign capability, especially when it comes to defence.”

Arkeus’ relocation comes as Victoria struggles to attract and retain businesses.

In November 2025, Victoria ranked as the least competitive state for doing business, marking its third consecutive year at the bottom of the pile.

The Business Council of Australia’s (BCA) annual 2025 Regulation Rumble report found Victoria had made no progress on improving business outcomes despite repeated calls from industry alongside policy promises.

It also found Victorian businesses grapple with some of the highest payroll taxes nationally, high property taxes and rigorous red tape.