German defense technology startup Helsing has raised $1.8 billion in one of Europe’s largest private funding rounds, valuing the artificial intelligence-driven defense company at $18 billion as investors continue to pour money into military technology amid rising geopolitical tensions and a sharp increase in European defense spending.
The company announced on Monday that the financing attracted both new and existing investors, including U.S. banking giant JPMorgan Chase, alongside venture capital firms Lightspeed Venture Partners and Iconiq.
Helsing said investor demand significantly exceeded the available allocation, underscoring the growing appetite for companies developing AI-powered defense technologies at a time when governments are accelerating efforts to modernize their armed forces.
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“Investor demand significantly exceeded the available allocation, reflecting strong and growing confidence in AI-driven and software-defined defence technology,” the company said.
The latest fundraising strengthens Helsing’s position as Europe’s most valuable privately held defense technology company and one of the world’s largest AI-focused defense startups.
The investment comes as Europe is rapidly reshaping its defense industrial base following Russia’s invasion of Ukraine, increasing concerns over regional security and growing uncertainty about long-term U.S. military commitments to the continent. European governments have announced hundreds of billions of dollars in additional defense spending over the past three years, creating significant opportunities for technology companies developing next-generation military systems.
Unlike traditional defense contractors that derive most of their revenue from manufacturing aircraft, missiles, and armored vehicles, Helsing has taken a position as a software-first defense company that combines artificial intelligence with autonomous hardware to improve military decision-making and battlefield operations.
Founded in Munich in 2021, the company develops AI software, autonomous drones, underwater surveillance systems and battlefield intelligence platforms designed to help military forces process vast amounts of operational data in real time.
Its products are already being deployed in active conflict zones. Helsing’s HX-2 strike drones are among the systems being supplied to Ukraine, providing the company with operational experience that has become increasingly valuable as governments seek battle-tested technologies.
The startup said the fresh capital will accelerate the development of new AI platforms for military customers across Europe and allied nations.
“The latest funding round will accelerate Helsing’s mission to develop and integrate entirely new AI platforms into the defense capabilities of its growing number of partner nations,” the company said.
Helsing also emphasized that it remains largely under European ownership despite attracting global investors.
“The company remains predominantly European-owned, underscoring its deep roots in Europe,” it added.
That point aligns with European policymakers’ push for greater technological sovereignty, aiming to reduce dependence on foreign suppliers in critical sectors including semiconductors, cloud computing, cybersecurity and defense technology.
The fundraising also points to a shift in venture capital investment, with defense technology emerging as one of the fastest-growing segments of the AI industry. Investors who once avoided military technology have become increasingly willing to back companies developing autonomous systems, AI-powered intelligence platforms and advanced surveillance technologies as geopolitical risks rise.
Private capital has flowed rapidly into the sector, particularly in the United States.
In May, California-based defense startup Anduril Industries raised $5 billion at a $61 billion valuation, cementing its status as one of the world’s most valuable privately held technology companies. Other firms, including Shield AI and autonomous maritime systems developer Saronic, have also secured multibillion-dollar funding rounds as investors bet that AI will fundamentally reshape modern warfare.
The surge in investment reflects a growing belief that future military capability will depend not only on conventional weapons but also on software capable of coordinating autonomous systems, processing battlefield intelligence, identifying targets and supporting command decisions at speeds beyond human capability.
Helsing’s latest valuation also indicates that European defense technology firms are rapidly closing the gap with their U.S. counterparts, even though the American market remains significantly larger.
The funding is expected to strengthen Helsing’s ability to compete internationally as governments increasingly prioritize AI-enabled military systems and seek suppliers capable of integrating software, sensors, autonomous platforms and real-time battlefield analytics into unified defense networks.