Defense and resilience tech reached an all-time high 10% of all VC funding in Europe

The war of Ukraine served as a awakened call for Europe and defense technology went from a sector that most of the European VC did not touch the top investment of the top investment between Deep Tech.

This shift has been caught in the latest time of the dealerum Reports related to defense, resilience and protection (DSR) in EuropePublished together with the NATO Innovation Fund (NIF), a multi-country € 1 billion initiatives To make direct investment and backing funds to this place.

NIF’s portfolio includes startups like the Portugal-based dual-use drone company Techver, which has been raised A $ 74 million series b In November Overall, DSR Startups earned $ 5.2 billion as Venture Capital last year, it is 24% and about five times more than 2019 than 2023.

Despite the upheaval, $ 5.2 billion is just twice the capital compared to the US Defense Technology Company Anduril Reported in the news Just for yourself. However, it is a maximum of 10% of all VC funds in Europe, in the last two years, a 2.5 times increasing in the last two years.

Its founder and chief executive officer of Eurum Wizzard said in the A. “A few years ago, the hunger for defense, protection and resilience in Europe is unknown. StatementThe “It follows an ongoing trend of capital and innovation to work on Europe’s main strategic needs through deep technology.”

DSR is now accounting for one -third of all the deep technology initiatives in Europe, it is published two overlap. Because DSR is wider than defense technology, this recognition that supply chains, quantum technology and energy can be equally criticized for the sovereignty of the region.

This means that extensive startups now read in the DSR pipeline, especially now that the growing defense budgets create the idea of ​​selling dual-use technology in Europe. Nif itself expects to help that front; It recently appointed John Ridge, the British Army, as its chief accepted officer.

Keeping the refusal and slow adoption on the one hand, the hunger of the VC has long become an obstacle, but it is changing. The emergence of dual-use startups contributed to this evolution: The Generalist made it easy for the VCs to adjust the sector into their mandate, which often prevents them from investing in pure defense technology, giving up weapons.

Pure Defense Technology only accounts for a small subset of the overall fund but it has also increased; Expected AT A DEAL ROMS ARE ARE AL $ 1 Billion Tally According to the report, for 2021, five times the increase after 2020 2018.

This growth is especially attractive in Germany; As the main center of Munich and Berlin, it claims Europe’s top spot in the DSR Fund in 2021, then the United Kingdom and France. AI Defense Tech Rising Star Helsing, which is based on Germany, Raising about $ 487 million Last year in a series C led by the General Catalist.

Nevertheless, these adapts take time. Defense Equity Facility (DF), which was launched in January 2021 by the European Commission and the European Investment Fund (EIF), is set to announce the first investment of the EIF’s EIF (EIF), $ 1 million funds ($ 12 million). Agency) had to do Update the rules In dual-use technology.

Of all the challenges in the front, however, the shortage of founders is not one of them, as is confirmed by the recent defense hacath across Europe. “Despite the recent growth, defense, protection and elasticity technology remains a relatively newborn sector, but the data is an active pipeline in the early stages shows that it wants to change,” Wijangard says.