India holds the title of the world’s largest importer of arms and reportedly accounted for a significant 9.8% of the total global arms imports between 2019 and 2023. Can homegrown defence tech startups change this dependency?
This overdependence on imports is known to be a strategic gap in the country’s defence procurement, and Indian startups are increasingly stepping up to the occasion to fill this chasm and cut the reliance on foreign imports.
As the country eyes self-reliance in defence capabilities, a new wave of new-age tech companies is emerging to drive innovation in the military using technologies such as artificial intelligence (AI), unmanned systems, and advanced surveillance. And policy push has only catalysed this innovation in the defence tech space.
Initiatives like Defence Ministry’s iDEX (Innovations for Defence Excellence) and Technology Development Fund (TDF) are empowering defence startups by offering grants and collaboration avenues to cater to the military’s evolving needs.
Parallely, policy mandates such as the liberalisation of Foreign Direct Investment (FDI) regime, awarding contracts to local players and rising defence budget have catalysed partnerships between local ventures and international players. As a result, homegrown defence tech startups are indigenously building cutting-edge technologies to cater to the booming local demand.
On the back of these developments, the burgeoning sector is not only reshaping the landscape of Indian innovation but is also attracting significant interest and investment.
Such has been allure of the sector that former defence secretary Ajay Kumar’s INR 250 Cr VC fund, focussed on early stage startups in the defence, aerospace and deeptech sectors, marked its first close within days of launch.
This is also notwithstanding the big-ticket $30 Mn funding raised by defence tech startup Big Bang Boom recently, giving a major impetus to the homegrown defence sector and the resilience of the startup ecosystem.
While there is still a long way to go before indigenous companies make a mark on the global defence arena, we thought it prudent to collate the data on Indian defence tech startups that are laying the groundwork for the long-term advancement of India’s defence capabilities.
Defence Tech Startups Fuelling The ‘Make In India’ Drive In Defence
The list below is not meant to be a ranking of any kind. The Indian defence tech startups have been listed in alphabetical order.
Agnit Semiconductors
- Founded In: 2017
- Founders: Dr. Shubhajit Dasgupta
- Headquarters: Bengaluru, India
Agnit designs and develops next-generation wireless transmitters for defence applications using GaN technology.
Its technology supports radar systems, communication equipment, and electronic warfare applications, enhancing the capabilities of defence electronics.
The company is also targeting to expand to the consumer electronics and electric two-wheeler markets, to deepen its focus on addressing fast-charging needs; with an aim to sell 100,000 chips this year.
The chip maker claims it has raised $4.87 Mn (nearly INR 41 Cr) in total, so far.
AjnaLens
- Founded In: 2014
- Founders: Abhishek Tomar, Abhijit Patil, Abhishek Bajaj
- Headquarters: Mumbai, India
AjnaLens provides mixed reality-based defence solutions, including head-mounted displays for training soldiers and tactical decision-making.
Its solutions enhance situational awareness for troops through augmented and virtual reality, assisting in mission planning, simulation, and real-time information overlays in combat.
AjnaLens is also upgrading India’s existing MANPAD (man-portable air-defence system) by providing operators with an enhanced vision to effectively engage the target, said the startup.
It has also filed for more than 15 national and international patents in augmented reality and allied fields.
Big Bang Boom Solutions
- Founded In: 2018
- Founders: Praveen Dhandapani, Aakash Thakur
- Headquarters: Chennai, India
The company specialises in defence innovations like anti-drone technology, bulletproof jackets, and advanced combat systems.
Its focus is on enhancing soldier safety and developing indigenous tech for the Indian military, catering to asymmetric warfare needs and tactical situational awareness.
The company recently secured $30 Mn (INR 250 Cr) in an undisclosed funding round from a clutch of investors, including Mumbai Angels Network, Vyom Family Office, SBI Startup Branch Chennai and Asquare Investing, among others
Earlier this year, the company bagged an order worth over INR 200 Cr from the Indian Air Force and the Indian Army for its anti-drone technology.
EyeROV
- Founded In: 2016
- Founders: Sijo George, Bibin Thomas
- Headquarters: Kochi, India
EyeROV develops underwater drones (ROVs) used for naval inspections, mine detection, and underwater surveillance.
Its remote-operated vehicles provide real-time underwater intelligence, aiding the operator in maritime operations and underwater inspections. It is currently used by DRDO and Indian coast guards.
The marine robotics deeptech startup recently secured INR 10 Cr (around $1.2 Mn) in a Pre-Series A funding round led by Unicorn India Ventures.
With the fund infusion, the company is mulling for global expansion and building products to augment its current offerings.
Flying Wedge
- Founded In: 2022
- Founders: Piyush Chawla
- Headquarters: Pune, India
The company focuses on developing precision-guided munitions and autonomous weapon systems for defence forces.
Flying Wedge’s tech aims to improve targeting accuracy and reduce collateral damage during military operations, with particular use in air defence and counter-terrorism.
The company became the first private firm in India to secure a DGCA (Directorate General of Civil Aviation) certification for its indigenous unmanned aerial vehicle (UAV) technology.
The company is notable for producing a range of autonomous drones for defence and agriculture sectors. Its UAVs are used for tasks ranging from surveillance of high-profile areas like the Prime Minister’s residence to crop spraying in agriculture.
Garuda Aerospace
- Founded In: 2015
- Founder(s): Agnishwar Jayaprakash
- Headquarters: Chennai, India
Garuda Aerospace specialises in multi-purpose drone solutions, including military applications like aerial surveillance and border security.
Its drones can be used for real-time reconnaissance and logistics support during defence operations.
It has recently launched its global expansion, starting with Sri Lanka. The company plans to expand into a minimum of 50 countries over the next few years, allocating approximately $10 Mn for international growth.
In February 2023, Garuda Aerospace raised $22 Mn in Series A funding, led by venture capital firm SphitiCap. More recently, in October 2023, the company secured an additional INR 25 Cr ($3 Mn) in a bridge funding round led by Venture Catalysts and WeFounderCircle.
ideaForge
- Founded In: 2007
- Founders: Ankit Mehta, Ashish Bhat, Rahul Singh, Vipul Joshi
- Headquarters: Mumbai, India
IdeaForge
is a pioneer in UAV (Unmanned Aerial Vehicle) technology, focusing on designing high-performance drones for surveillance, reconnaissance, and intelligence missions.
The company collaborates with armed forces and paramilitary, providing tactical drones equipped with advanced payloads for border surveillance and counter-insurgency operations.
The company posted a net loss of INR 13.7 Cr in the quarter ending September 2024 (Q2) as against a net profit of INR 89.20 Lakh in the year ago period. This was also an 87% decline from INR 10.3 Cr posted in PAT in Q4 FY24.
During the quarter under review, ideaForge’s operating revenue increased by around 56.52% year-over-year to INR 37.1 Cr, up from INR 23.7 Cr in Q2 FY24. However, this marks a decline of approximately 57% on a quarter-on-quarter basis from INR 86.2 Cr.
NewSpace
- Founded In: 2015
- Founder(s): Sameer Joshi
- Headquarters: Bengaluru, India
As a specialist in aerial systems, NewSpace offers solutions like UAV swarms and advanced aerial drones for defence purposes.
NewSpace’s core technology focuses on enhancing situational awareness and providing operational versatility for tactical missions and battlefield intelligence.
The drone manufacturer raised $52 Mn (INR 430.9 Cr) in a bridge round earlier this year.
Its website says the startup’s next-generation aerospace technology includes unmanned air systems, collective robotics, GPS-denied operations, augmented reality, virtual reality, machine learning and artificial intelligence.
The company has global ambitions and has already demonstrated swarm drone operations in Japan as a first response capability for disaster management and is looking to expand its portfolio in Japan, Middle East and the US.
Optimized Electrotech
- Founded In: 2017
- Founder(s): Ashish Khare
- Headquarters: Ahmedabad, India
Optimized Electrotech develops electro-optic solutions for surveillance, reconnaissance, and target acquisition.
These imaging systems can be used by the armed forces for border monitoring and strategic intelligence, supporting missions with advanced night vision and thermal imaging capabilities.
The startup claims it infuses AI into surveillance, and that its indigenously designed-and-developed surveillance platforms allow governments, defence services, paramilitary forces, and mining corporations to respond to threats such as unauthorised drone attacks.
The company recently received a grant of INR 25 Cr from the Indian government after it emerged as one of the winners of the ADITI 1.0 iDEX-DIO Challenge.
Sagar Defence Engineering
- Founded In: 2015
- Founders(s): Nikunj Parashar
- Headquarters: Mumbai, India
Sagar Defence Engineering develops unmanned surface and underwater vehicles for naval defence applications.
The startup’s platforms are used for autonomous patrolling, mine detection, and anti-submarine warfare. The company collaborates with the Indian Navy to bolster maritime security.
Additionally, Sagar Defence has partnered with India’s DRDO (Defence Research and Development Organisation) to develop the country’s first underwater-launched Unmanned Aerial Vehicles (UAVs).
This technology would allow for UAVs to be launched from submerged platforms, contributing to both defence and naval reconnaissance missions.
Tardid Technologies
- Founded In: 2016
- Founder(s): Arvind Tiwary
- Headquarters: Bengaluru, India
Tardid uses AI and machine learning for predictive maintenance in defence applications, particularly for naval vessels and military machinery.
The technology helps prevent equipment failure by predicting faults, thus enhancing mission readiness and reducing maintenance costs.
Last year, the company announced the development of the Brainbox Smart Ship Operations (SSO) unmanned surface vehicle (USV) for the Indian Navy.
This USV has capabilities for coastal surveillance, featuring advanced sensors and AI to autonomously navigate and perform missions without human intervention.
It can handle rough sea conditions and offers 360-degree visibility. The first units are scheduled for delivery to the Indian Navy this year.
Vinveli
- Founded In: 2016
- Founder(s): Aadharsh Krishnaswamy
- Headquarters: Austin, Texas, USA, with operations in India
Vinveli focuses on UAVs, defence drones, and anti-drone solutions, offering advanced aerial systems for military reconnaissance and logistics.
The company also manufactures various firearms in India in partnership with Czech Republic-based armament CZ.
The company is also involved in the production of counter-unmanned systems, working with global partners like CERBAIR to offer anti-drone solutions.
Additionally, Vinveli’s DroneCloud technology is a logistics solution using autonomous drone swarms that can operate in various environments.
In 2021, Vinveli signed an MoU with the Tamil Nadu government to manufacture advanced defence equipment as part of the Tamil Nadu Defence Industrial Corridor.
Xera Robotics
- Founded In: 2019
- Founder(s): Vivek Natarajan
- Headquarters: Chennai, India
Xera Robotics focuses on developing autonomous underwater and land robots for various tasks.
The startup’s flagship product is the DeepDive ROV which provides modularly developed advanced underwater robots. It also offers electric propulsion systems for boat owners.
Xera’s land robot helps in enhancing situational awareness, improve operational efficiency, and offer tactical advantages in various terrains.
Zeus Numerix
- Founded In: 2004
- Founders: Dr. Siddharth Mishra, Dr. Kaustubh Khare
- Headquarters: Mumbai, India
Zeus Numerix provides simulation and modelling solutions for defence equipment and operations.
The company offers design and analysis tools for military hardware such as aircraft, submarines, and weapon systems, focusing on improving performance and reducing development time for defence projects.
Additionally, Zeus Numerix has developed cutting-edge solutions for drone warfare, including lethal payloads and ejector rack mechanisms for swarm drones.
These payloads, which range from 3kg to 5kg, can be mounted on various drone platforms and have been rigorously tested to meet military standards.
The startup is also working on modular kits to enhance UAV accuracy and flexibility in different tactical missions, showcasing its potential in modernising India’s defence capabilities.
