The Panther employs a tilt-rotor propulsion system patented by IAI and designed for tactical use, allowing runway-free takeoffs and landings on unprepared locations.

Weighing roughly 65 kilograms (143 lb) the Panther has an operational radius of over 60 kilometres (37 mi) and can loiter for approximately six hours at an altitude of 10,000 feet (3,000 m).

[3][needs update] The Panther was unveiled on October 5, 2010, at the Israeli land forces conference at Latrun and will be on display at the Association of the US Army’s (AUSA) 2010 Annual Meeting and Exposition in Washington DC.

The aircraft integrates an electric and internal combustion engine, increasing weight only to 67 kg (148 lb) while increasing endurance by 33 percent with the same 6 kg (13 lb) payload; the tilting electric motors are optimal for vertical takeoff, landing, and hovering, while the combustion engine would be employed for cruising.

IAI signed a Memorandum of Understanding (MoU) with South Korean company Hankuk Carbon to offer the FE-Panther to fulfill the country's requirements for a VTOL UAS that can operate independently of runways in Korea's mountainous terrain.