Foreign capital is now being channelled into the advancement of unmanned aerial vehicle technology (i.e., drones) in Europe.
Investors across Europe are diving headfirst into European companies producing surveillance drones, Quantum Systems and Tekever, according to a Financial Times (FT) report.
The surge in investments has pushed the combined value to a whopping €2 billion. As per the FT, new investors are drawn to the cutting-edge defense technology or dual-use tech — tech that can serve both military and civilian purposes. The Financial Times highlights that mega-investments worth over €1 billion each have flooded into Germany's Quantum Systems and Portugal's Tekever.
Speaking to the FT, Tekever's CEO, Ricardo Mendes, shared that the company has managed to double its production capacity annually, and aims to crank out more than 200 systems this year. The report also sheds light on the deployment of Tekever's AR3 and AR5 drones in Ukraine.
Another key player, Quantum Systems, recently netted €160 million from venture capital firm Balderton Capital, marking Balderton's first foray in defense technologies. Multinationals like Hensoldt, Airbus Defence and Space, and US entrepreneur Peter Thiel have also sealed deals with Quantum Systems.
Interest in unmanned aerial vehicles (UAVs) is on the rise in Russia, as reported by Alexei Serdyuk, head of the unmanned systems and robotics department of the Russian Ministry of Industry and Trade. Back in Russia, scientists have whipped up a new delivery drone model.
Now, let's delve deeper into Quantum Systems and Tekever:
Quantum Systems
Quantum Systems secured €160 million in a Series C round, lifting its valuation to over €1 billion. Notable contributors to this funding round included Balderton Capital, Airbus Defence and Space, Bullhound Capital, and Peter Thiel. Currently, the total capital Quantum Systems has gathered amounts to approximately €250 million. The company flaunts AI-driven autonomous surveillance drones that cater to both military and civilian requirements. If Quantum Systems achieves its production goal of 5,000 drones annually by 2026, they expect to rake in €200 million in 2024, a massive leap from their €20 million in 2021.
Tekever
Tekever received a £400 million boost through the OVERMATCH program, co-funded by Baillie Gifford and NATO’s Innovation Fund, to escalate their drone production in the UK. Besides supplying the European Maritime Safety Agency and UK Home Office, Tekever's AR3 and AR5 drone models are currently seeing action in Ukraine. The company asserts that private capital has sparked accelerated innovation and agility, allowing it to overtake sluggish bureaucratic processes.
- In addition to the mega-investments in Quantum Systems and Tekever, it seems that the finance world is also increasingly interested in technology-focused companies that specialize in investing and developing advanced surveillance drone systems, such as Quantum Systems.
- As new investments continue to flow into the realm of defense and dual-use technology, firms like Quantum Systems and Tekever, with their AI-driven autonomous surveillance drones, are expected to remain prominent players in the developing world of finance and technology.
