European defence tech has raised $7.4bn in 2026

European defence-tech startups have raised $7.4bn so far in 2026, and the pace has not slowed through the second half of the year.

The headline figure is less interesting than the concentration behind it. A small group of companies, most founded within the last 5 years, account for the majority of it, and several are now raising at valuations that would have been implausible for European defence 3 years ago.

The largest rounds

Helsing (Germany) builds AI for modern warfare, from autonomous strike drones to combat aircraft systems. It raised $1.8bn at an $18bn valuation in July, one of the largest defence-tech rounds on record.

Quantum Systems (Germany) makes AI-powered reconnaissance drones and autonomous systems. It raised $1.2bn at an $8bn valuation in July, on reported 2025 revenue of around $330m.

STARK (Germany) builds autonomous strike drones across air, land and sea. It raised €500m in June at a reported valuation above €3.5bn, 2 years after it was founded.

Drones, radar and air defence

Tekever (Portugal) builds AI-powered autonomous drones for military intelligence, maritime surveillance and battlefield reconnaissance. It raised $580m in September at a $6.4bn valuation, and secured a British Army surveillance programme worth up to £400m.

ICEYE (Finland) operates synthetic aperture radar satellites that image the Earth through cloud and at night. It raised €450m in June at a valuation above €10bn, after reporting more than €250m in 2025 revenue.

Harmattan AI (France) builds autonomous systems for military aviation and collaborative air combat. It raised $200m in January in a round led by Dassault Aviation, reaching unicorn status.

Cambridge Aerospace (United Kingdom) develops air and missile defence systems against increasingly sophisticated aerial threats. It raised $300m in August as demand for European air defence accelerated.

Space access as defence infrastructure

The Exploration Company (Germany) is building Nyx, a reusable spacecraft designed to carry cargo to and from orbit. It raised €387m in September and secured a European Space Agency contract for its next-generation cargo-return programme.

Isar Aerospace (Germany) is developing orbital launch vehicles to give Europe independent access to space. It raised €270m in June and secured approximately €200m in programme commitments through the European Space Agency’s Launcher Challenge.

What the numbers show

Across these 9 companies the pattern is how quickly the ecosystem is maturing. Businesses founded only a few years ago are raising hundreds of millions, winning major government contracts and building manufacturing capacity across Europe.

Europe has the engineering talent, the industrial base and the capital. The open question is how quickly it converts them into operational capability.