I read on this forum a few confused posts about using AVR Dragon as an external programmer with Arduino IDE and thought my experience may be useful to someone.
AVR Dragon can be used as an external programmer with Arduino IDE, e.g. to burn sketches to Arduino-compatible hardware without the bootloader. For example, I use it to upload my sketch to an ATMega8L controlling an audio amplifier based on TI’s TAS5086 PWM processor. I use it under Mac OS X; I have heard, but not tested, that the same thing under Windows may be tricky because of USB driver incompatibility.