A droid foundry was situated on Kudo III for the Confederacy of Independent Systems. Because the droid factory lacked automation when the Clone Wars began, the Kudon people were required to manually operate the non-automatic foundry. Following General Anakin Skywalker's encounter with Separatist droids within the Corvair sector, Republic Intelligence uncovered the existence of the foundry. Admiral Wullf Yularen devised a plan to attack the foundry, even though it risked a high number of Kudon deaths.