The North Vietnamese forces had succeeded in engaging the U.S. forces in very tight quarters, where supporting U.S. firepower could not be used without endangering American lives. The cavalrymen returned fire, but the North Vietnamese were fighting from prepared fighting positions and many of the American leaders had been felled in the initial stages of the ambush. As night fell, the cavalrymen waited for the North Vietnamese to attack but illumination flares provided by air force aircraft made the enemy cautious. By morning, they had withdrawn.
Senior U.S. military leaders declared the Battle of the Ia Drang Valley an American victory. That had clearly been the case with the fight at Landing Zone X-Ray, where the three-day battle resulted in 834 North Vietnamese soldiers confirmed killed with another 1,000 North Vietnamese casualties likely. However, the battle at Landing Zone Albany was another story. Although there were over 400 enemy soldiers lying on the battlefield after the fighting was over, the battle had been an extremely costly one for the 1st Cavalry troopers. Of the 500 men in the original column moving to Landing Zone Albany, 150 had been killed and only 84 were able to return to immediate duty. 93 percent of Company C sustained some sort of wound or injury–half of them died.
The Battle of the Ia Drang Valley was important because it was the first significant contact between U.S. troops and North Vietnamese forces. The action demonstrated that the North Vietnamese were prepared to stand and fight major battles, and senior American leaders concluded that U.S. forces could wreak significant damage on the North Vietnamese in such battles. The North Vietnamese also learned a valuable lesson during the battle: they saw that they could negate the effects of superior American firepower by engaging American troops in physically close combat, so that U.S. artillery and air fire could not be used without endangering American lives. This became standard North Vietnamese practice for the rest of the war.