Bangalore-based startup NewSpace Research and Technology has raised $21 million in a round led by Pavestone Technology Fund. This startup mainly concentrated on drone technology. It is one of the largest possible venture capital funding in the defence sector.
The startup NewSpace Research and Technology work exclusively on Swarm drones. Currently working on a very progressive project developing a frontline pseudo satellite for surveillance and communication in collaboration with Hindustan Aeronautics Limited (HUL). The Startups main focus is on developing next-gen Aerospace solutions using virtual reality, augmented reality, machine learning, and collective robotics
They have completed over 10 NextGen projects till now and last year defence minister has given the startup at least two contracts, the start-up’s aim is to become a unicorn company within the next five years.
Sridhar Rampalli, Managing Partner of Pavestone Technology Fund said “We believe that the opportunity is large and the company is working on two, three products for the future. If done well, it could quickly be a unicorn in the next five or six years.”
In recent years multiple big corporations, as well as several startups, have begun their operations by diversifying themselves into the defence manufacturing businesses, yet venture capital funds have not yet found their way into granting funds in large numbers, as investors are operating gradually.
Besides the Government defence project, the startup wants to focus on more civil logistic operations for drones and at present, the product has just opened up in the market, the products are been delivered.
Currently raised funds will be suspended within the next 18 months as the company starts to deliver the armed forces products and later future rounds are planned accordingly.
On 10th Feb, NewSpace signed a contract with the defence ministry for design and development which will be capable enough to conduct surveillance operations and support communication by staying express for months at stretch called a HAPS (High Attitude Pseudo-Satellite). The program will be mentored by the ministry’s Innovations for Defence Excellence (iDEX) with Hindustan Aeronautics Limited as the lead prototype development partner
The Army Design Bureau performed a key position in evaluating the assessment and acquisition of the NewSpace drones. More investment for comparable drones will in all likelihood be pushed with the aid of using instructions found out from running those systems, which themselves encompass computerized and supported algorithms. While the drone`s hardware is crucial, the software program is prime to its cap potential to be reduced in size and carefully examined with the aid of using the military, as fine-tuning the drone’s code could be key. key to evolving the cooperative conduct of drones in exclusive contexts, from an excessive level. The Army has placed an order for swarm drone system in September, which will be capable enough for surveillance and attack missions, worth Rs. 200 crores to the company processed under the emergency purchases route, the systems have to be delivered within a year time.