Among various polymorphic phases of gallium oxide (Ga2O3), α-phase Ga2O3 has clear advantages such as its heteroepitaxial growth as well as wide bandgap, which is promising for use in power devices. In this work, we demonstrate α-Ga2O3 MOSFETs with hybrid Schottky drain (HSD) contact, comprising both Ohmic and Schottky electrode regions. In comparison with conventional Ohmic drain (OD) contact, a lower on-resistance (Ron) of 2.1 kΩ mm is achieved for variable channel lengths. Physics-based TCAD simulation is performed to validate the turn-on characteristics of the Schottky electrode region and the improved Ron. Electric-field analysis in the off-state is conducted for both the OD and HSD devices. Furthermore, a record breakdown voltage (BV) of 2.8 kV is achieved, which is superior to the 1.7 kV of the compared OD device. Our results show that the proposed HSD contact with a further optimized design can be a promising drain electrode scheme for α-Ga2O3 power MOSFETs.