Ukraine’s military technology sector is one of the fastest-evolving fields in global defense innovation. Shaped by frontline experience, technical ingenuity, and a unique ecosystem of cooperation between the military and tech communities, Ukrainian MilTech offers investors a rare opportunity to enter an emerging market at a formative stage.

But where innovation is born, protection must follow. One of the key questions for investors: How secure is your intellectual property?

This guide explains why Ukrainian MilTech is worth your attention — and how to navigate the evolving IP landscape, even as it undergoes ongoing reform.

1. Why Ukrainian MilTech is Worth Your Attention

NowCombat-proven innovation in real time: from FPV drones to AI-powered targeting algorithms, electronic warfare systems- technologies are developed, tested, and deployed directly on the battlefield.

Accelerated development cycles: solutions are created by military personnel, IT engineers, and volunteers — people with both practical experience and technical expertise.

Bottom-up innovation: startups, military units, NGOs, and the state actively collaborate. Defense incubators are beginning to structure and scale this process.

2. Challenges and Opportunities in Intellectual Property (IP)

Despite its clear potential, IP protection in Ukrainian MilTech is still taking shape. Key risks include:

Unclear ownership structure: many innovations are created by informal collaborations with no formal contracts, thus determining who created a technology, under what status, and under which conditions is becoming critically important

Lack of documentation: NDAs, MoUs, and and patent records are often overlooked.

Legal gray areas: Who owns the rights — the soldier, the state, or the private developer?

However, since 2022, Ukraine has launched significant IP reforms — and the process continues.

3. What the State Has Already Done

Ukraine is steadily building a full-scale IP framework for the defense sector:

• A dedicated IP department has been established within the Ministry of Defense
• Draft legislation on service-related inventions is in progress
• A "one-stop shop" for IP registration is being launched

• Patent systems are being digitized in cooperation with National IP Office (NIPO).

  4. Investor Checklist: Protecting Your Interests

  Even now, investors can mitigate IP risks by taking the following steps:

• Conduct a tech origin audit: Who created an IP object ? When? Using which resources? Has anything been published, disclosed, or registered?

• Formalize all agreements: licenses, revenue-sharing deals, and IP assignments must be documented clearly..

• Hire local defense-focused IP lawyers: such professionals are rare but invaluable — involve them from the start.

• Keep detailed records: emails, sketches, voice notes and draft documents — anything can serve as evidence of authorship.

• Consider IP insurance: though new to Ukraine, some international providers are already offering coverage.

5. Dual-Use = Dual Opportunity

Many MilTech solutions have civilian applications — logistics, security, communications, data analytics. This opens up new markets but adds legal complexity:

• Separate IP rights may be needed for military and civilian use
• Export controls must be considered (both in Ukraine and partner countries)

• Commercialization strategies must align with all stakeholders

6. Case Study: Combat Situational Awareness System

A powerful example: a situational awareness dashboard co-developed by military units and an IT company. Despite proven success on the battlefield, scaling was stalled due to the lack of a formal IP agreement.

This scenario is common. Even with good intentions and mutual trust, the absence of legal structure can trap innovations in "prototype limbo."

7. A Strategic Opportunity for Investors

MilTech in Ukraine is no longer a niche — it’s a market of the future and a cornerstone of tomorrow’s security architecture. Investors who bring not just capital, but also legal culture and IP protection strategies can:

• Set standards
• Build trust

• Influence policy

  This is more than an investment — it's an opportunity to co-create a next-generation defense industry

Conclusion

Ukrainian MilTech is a market for the bold , forward-thinking investors. While institutions evolve, those who “play the long game” — by securing rights, formalizing agreements, strengthening the system — will lead.

Those who see intellectual property not as a risk, but as an opportunity, will gain more than financial return — they’ll gain access to the technologies shaping the world’s future security.

The signal is clear: MilTech in Ukraine is taking off. The question is no longer if to get involved—but how.

# This guide is part of the “Why Ukraine” series by MORIS law firm. Upcoming editions will explore case studies, legal tools, and strategic frameworks for investors in Ukraine’s key economic sectors.