The drive for AI warfare has positioned Helsing as one of the top five most valuable tech companies in Europe.

      The Munich-based defense technology startup Helsing has secured €600 million as geopolitical tensions lead to an influx of investment in AI warfare. This significant funding round was led by the venture capital firm Prima Materia, founded by Spotify CEO Daniel Ek. With this latest round, the total amount raised by the company exceeds €1.3 billion, building on a €450 million round completed in July of the previous year.

      Helsing has not provided an updated valuation, but according to the Financial Times, the unicorn startup is now valued at €12 billion, positioning it among Europe's five most valuable private technology firms. Prima Materia was one of Helsing's initial investors, a decision that triggered boycotts from artists on Spotify who were concerned that their use of the platform was inadvertently financing warfare. Despite this backlash, Ek remains undeterred, asserting that Helsing’s technology provides “strategic autonomy” for Europe.

      “By increasing our investment, Prima Materia reinforces its commitment to facilitating Europe’s technological independence — an ambition that Helsing embodies perfectly,” Ek stated. Founded in 2021, Helsing has created an autonomous strike drone currently utilized by several European military forces, including Ukraine's. The company has also recently announced plans for a fleet of autonomous reconnaissance submarines and successfully demonstrated its self-driving system by piloting a Saab fighter jet.

      Helsing is benefiting from a surge in defense investments as the war in Ukraine and escalating security concerns compel European nations to enhance military spending and explore AI applications in warfare. A recent McKinsey report reveals that investments in European defense tech startups increased by over 500% between 2021 and 2024 compared to the preceding three years.

      While Helsing currently holds the title of Europe’s most valuable defense tech startup, several other companies are also witnessing increased demand for their technologies. In May, the German dual-use drone manufacturer Quantum Systems raised €160 million at a valuation exceeding €1 billion, shortly followed by Portuguese drone startup Tekever achieving unicorn status. Another Munich-based firm, ARX Robotics, recently secured €31 million to broaden its fleet of autonomous land drones, soon after announcing a £45 million investment for a new factory in the UK.

      Kate Leaman, chief market analyst at online broker AvaTrade, remarked to TNW that military technology companies possess significant growth potential, particularly those offering AI-driven solutions. “We are already observing a transformation in the defense sector, with AI-focused companies like Palantir outperforming traditional defense giants,” Leaman said. “This indicates that innovative, tech-centric firms could potentially seize a considerable portion of the market.”