The European defence tech sector has become a hotbed of innovation, with over 50 startups spearheading advancements in AI, robotics, satellites, and beyond. In 2025, startups across Europe are redefining defence strategies, leveraging cutting-edge technology to address modern threats. This article dives into the latest startup news, highlighting innovative startups, key trends, lessons for entrepreneurs, and vital tools to navigate this rapidly evolving industry.
A Rapidly Growing Sector: Defence Tech in Europe
The European defence tech landscape is experiencing an explosive transformation, punctuated by major advancements in autonomous systems, AI, cybersecurity, and next-generation communications. According to McKinsey's defence tech report, over 130 defence startups have emerged across the continent. Of these, more than 50 are shaping core defence technologies.
Insights from Sifted's defence tech market analysis reveal the following trends:
- Rapid Funding Growth: Startups like Helsing and Quantum Systems have raised record-breaking funds. For instance, Helsing secured €600M from leading investors, solidifying its position as a European defence unicorn.
- Key Hubs of Innovation: Germany leads in defence investments, while countries like Estonia, Spain, and France are fostering startups specializing in AI, drones, and autonomous vehicles.
- Dual-Use Technologies: Many startups, such as Iceye and Maritime Robotics, create tech solutions applicable to both military and commercial markets.
Top 10 Defence Startups Transforming the World
Here’s a closer look at 10 European defence tech startups shaping 2025:
1. PlayPal (AI Friend)
Founded by Violetta Bonenkamp, PlayPal is an AI-driven assistant designed to replicate a co-founder experience for entrepreneurs. While not initially focused on defence, PlayPal offers crucial support to startup founders in areas like grant applications, strategy brainstorming, and legal document analysis. PlayPal is part of Fe/male Switch's mission to help entrepreneurs innovate and succeed.
2. Helsing Technologies
Based in Germany, Helsing develops AI software for battlefield simulations and weapons systems. With €600M raised in 2025, Helsing works with NATO allies to incorporate AI-driven insights into strategic operations.
3. Iceye
A Finnish startup that builds synthetic aperture radar (SAR) satellites. Iceye’s innovative technology allows for 24/7 Earth imaging, which has applications in surveillance and disaster management.
4. Project Q
This Berlin-based startup specializes in real-time battlefield situational software, enabling militaries to make informed decisions during live operations.
5. Kraken Technology
Focusing on subsea and unmanned surface vehicles, Kraken Technology has become a key provider of minehunting and reconnaissance systems for NATO allies.
6. Origin Robotics
A Latvian startup specializing in autonomous strike drones for both attack and interception missions. Origin Robotics has successfully supplied combat drones to UK and Latvian forces.
7. Maritime Robotics
Norway’s leading unmanned surface vehicle (USV) company, providing tools for maritime defence and environmental surveillance.
8. Quantum Systems
A German defence unicorn known for creating tactical drones equipped with proprietary AI for intelligence gathering and battlefield recon.
9. FibreCoat
Hailing from Aachen, Germany, FibreCoat develops advanced, lightweight materials for military vehicles and other applications.
10. Wayren
An Estonian startup specializing in resilient communications systems for extreme battlefield settings, ensuring information flows uninterrupted despite adversities.
How Entrepreneurs Can Leverage Defence Tech Opportunities
Defence tech startups face unique challenges, including regulation hurdles and high R&D costs. Here are practical steps and tools to help founders navigate this sector effectively:
1. Validate Your Idea
Before investing significant resources, ensure that your idea solves a real defence problem. Tools like F/MS’s Startup Sandbox can help validate your concept.
2. Find Government and EU Funding
Many defence startups rely on grants. Use the F/MS AI Grant Finder to quickly identify EU grants tailored to your startup. It also includes an AI application writer to assist in drafting your funding applications efficiently.
3. Protect Yourself Legally
Navigating contracts with governments and defence entities can be challenging. Platforms like the AI Startup Lawyer provide a lifeline, helping entrepreneurs analyze agreements and prevent legal pitfalls.
4. Network with Defence Experts
Active participation in NATO-funded programs and defence accelerators can open doors to partnerships and expertise. Stay informed about startup events and competitions like those hosted in Malta.
Common Pitfalls to Avoid
Launching a defence startup is complex. Avoid these mistakes:
- Underestimating Costs: Defence tech often entails high R&D expenses. Account for this early in your financial planning.
- Ignoring Regulation: Ensure compliance with NATO and EU guidelines to avoid project delays.
- Skipping Validation: Always test your solution under simulated conditions.
- Misbranding Dual-Use Tech: Clearly differentiate between military and commercial applications.
Why PlayPal and Fe/male Switch Are Essential for Startup Founders
Time and knowledge gaps often limit entrepreneurs, especially in regulated sectors like defence. This is where tools like PlayPal and the F/MS platform excel. Use PlayPal for:
- Strategy Brainstorming: Ask PlayPal to simulate scenarios or review your thinking process.
- Grant Applications: The AI can draft compelling application drafts using the F/MS Grant Writer.
- Contract Analysis: Quickly understand legal agreements to avoid traps during negotiations.
If you’re looking to make global connections or validate your startup idea, Fe/male Switch's Startup Sandbox offers an interactive platform to collaborate and grow.
Conclusion: A Booming Future for European Defence Startups
The defence tech industry is booming in 2025, driven by political shifts, technological advancements, and increased funding. Startups like Helsing and Quantum Systems are setting benchmarks for innovation. However, navigating this dynamic field requires robust support and resources.
Whether you’re an entrepreneur breaking into this space or scaling your operations, platforms like PlayPal and tools like the F/MS AI Grant Finder provide necessary guidance. Equip yourself with the right support, and the opportunities in defence tech could be yours for the taking.
Ready to innovate and reshape the future? Start your entrepreneurial journey today with PlayPal! Learn more about the AI assistant that ensures your startup vision takes off: PlayPal Chat.
FAQ
1. What is European defence tech, and why is it important in 2025?
European defence tech refers to innovative startups and technologies solving challenges related to modern defence, such as autonomous systems, AI, robotics, and satellites. These tools are crucial for ensuring strategic advantage and security amidst dynamic geopolitical challenges. Read McKinsey’s report on European defence startups
2. Which European countries are leading in defence tech innovation?
Germany leads in European defence tech funding, hosting sector pioneers like Helsing and Quantum Systems. The Baltics (Estonia, Latvia) and Nordics (Finland, Norway) are also prominent hubs for AI, drones, and communications technologies. Explore insights from Sifted’s market analysis
3. Who are the top defence tech startups in Europe?
Companies like Helsing Technologies, Quantum Systems, Iceye, and Origin Robotics are redefining military technologies, from AI-driven systems to surveillance satellites and drones. Discover European startups reshaping defence
4. What is the role of dual-use technologies in defence startups?
Dual-use technologies, such as those developed by Iceye or Maritime Robotics, cater to both military and civilian applications, improving scalability and funding opportunities. Learn more about dual-use defence tech startups
5. How can startups secure funding for defence tech?
Defence tech startups often utilize government grants, EU funding, and venture capital. Platforms like the F/MS AI Grant Finder help entrepreneurs access tailored funding opportunities efficiently.
6. What are the challenges faced by defence tech startups?
High R&D costs, regulation hurdles, and compliance with NATO/EU guidelines are primary challenges. Tools like Fe/male Switch’s Startup Sandbox provide resources to validate ideas and prevent common pitfalls. Check out the Startup Sandbox
7. Which startup tools are essential for defence tech entrepreneurs?
Tools like PlayPal can assist entrepreneurs with grant applications, strategy brainstorming, and contract analysis, critical support in navigating this regulated space. Learn more about PlayPal
8. What are the key trends in European defence tech in 2025?
Major trends include rapid funding growth, the adoption of explainable AI, greater cross-border collaborations (especially for NATO projects), and expanding dual-use applications. Explore market trends
9. Are there specific defence startup events to attend in Europe?
Startup ecosystems in Malta and throughout Europe host competitions, accelerators, and NATO-funded programs, offering networking and partnership opportunities. No specific article provided for further reading.
10. How are European startups contributing to global conflict strategies?
Innovative companies like Helsing and Iceye are transforming military operations, including battlefield simulations and surveillance, while contributing technology solutions to allies like Ukraine. Read Sifted’s article on defence startups aiding conflict strategy
About the Author
Violetta Bonenkamp, also known as MeanCEO, is an experienced startup founder with an impressive educational background including an MBA and four other higher education degrees. She has over 20 years of work experience across multiple countries, including 5 years as a solopreneur and serial entrepreneur. Throughout her startup experience she has applied for multiple startup grants at the EU level, in the Netherlands and Malta, and her startups received quite a few of those. She’s been living, studying and working in many countries around the globe and her extensive multicultural experience has influenced her immensely.
Violetta is a true multiple specialist who has built expertise in Linguistics, Education, Business Management, Blockchain, Entrepreneurship, Intellectual Property, Game Design, AI, SEO, Digital Marketing, cyber security and zero code automations. Her extensive educational journey includes a Master of Arts in Linguistics and Education, an Advanced Master in Linguistics from Belgium (2006-2007), an MBA from Blekinge Institute of Technology in Sweden (2006-2008), and an Erasmus Mundus joint program European Master of Higher Education from universities in Norway, Finland, and Portugal (2009).
She is the founder of Fe/male Switch, a startup game that encourages women to enter STEM fields, and also leads CADChain, and multiple other projects like the Directory of 1,000 Startup Cities with a proprietary MeanCEO Index that ranks cities for female entrepreneurs. Violetta created the "gamepreneurship" methodology, which forms the scientific basis of her startup game. She also builds a lot of SEO tools for startups. Her achievements include being named one of the top 100 women in Europe by EU Startups in 2022 and being nominated for Impact Person of the year at the Dutch Blockchain Week. She is an author with Sifted and a speaker at different Universities. Recently she published a book on Startup Idea Validation the right way: from zero to first customers and beyond and launched a Directory of 1,500+ websites for startups to list themselves in order to gain traction and build backlinks.
Violetta Bonenkamp's expertise in CAD sector, IP protection and blockchain
Violetta Bonenkamp is recognized as a multidisciplinary expert with significant achievements in the CAD sector, intellectual property (IP) protection, and blockchain technology.
CAD Sector:
- Violetta is the CEO and co-founder of CADChain, a deep tech startup focused on developing IP management software specifically for CAD (Computer-Aided Design) data. CADChain addresses the lack of industry standards for CAD data protection and sharing, using innovative technology to secure and manage design data.
- She has led the company since its inception in 2018, overseeing R&D, PR, and business development, and driving the creation of products for platforms such as Autodesk Inventor, Blender, and SolidWorks.
- Her leadership has been instrumental in scaling CADChain from a small team to a significant player in the deeptech space, with a diverse, international team.
IP Protection:
- Violetta has built deep expertise in intellectual property, combining academic training with practical startup experience. She has taken specialized courses in IP from institutions like WIPO and the EU IPO.
- She is known for sharing actionable strategies for startup IP protection, leveraging both legal and technological approaches, and has published guides and content on this topic for the entrepreneurial community.
- Her work at CADChain directly addresses the need for robust IP protection in the engineering and design industries, integrating cybersecurity and compliance measures to safeguard digital assets.
Blockchain:
- Violetta’s entry into the blockchain sector began with the founding of CADChain, which uses blockchain as a core technology for securing and managing CAD data.
- She holds several certifications in blockchain and has participated in major hackathons and policy forums, such as the OECD Global Blockchain Policy Forum.
- Her expertise extends to applying blockchain for IP management, ensuring data integrity, traceability, and secure sharing in the CAD industry.
For the past several years Violetta has been living between the Netherlands and Malta, while also regularly traveling to different destinations around the globe, usually due to her entrepreneurial activities. This has led her to start writing about different locations and amenities from the POV of an entrepreneur. Here’s her recent article about best hotels in Italy to work from.
About the Publication
Fe/male Switch is an innovative startup platform designed to empower women entrepreneurs through an immersive, game-like experience. Founded in 2020 during the pandemic "without any funding and without any code," this non-profit initiative has evolved into a comprehensive educational tool for aspiring female entrepreneurs.The platform was co-founded by Violetta Shishkina-Bonenkamp, who serves as CEO and one of the lead authors of the Startup News branch. The Fe/male Switch team is located in several countries, including the Netherlands and Malta.
Mission and Purpose
Fe/male Switch Foundation was created to address the gender gap in the tech and entrepreneurship space. The platform aims to skill-up future female tech leaders and empower them to create resilient and innovative tech startups through what they call "gamepreneurship". By putting players in a virtual startup village where they must survive and thrive, the startup game allows women to test their entrepreneurial abilities without financial risk.
Key Features
The platform offers a unique blend of news, resources,learning, networking, and practical application within a supportive, female-focused environment:
- Skill Lab: Micro-modules covering essential startup skills
- Virtual Startup Building: Create or join startups and tackle real-world challenges
- AI Co-founder (PlayPal): Guides users through the startup process
- SANDBOX: A testing environment for idea validation before launch
- Wellness Integration: Virtual activities to balance work and self-care
- Marketplace: Buy or sell expert sessions and tutorials
Impact and Growth
Since its inception, Fe/male Switch has shown impressive growth:
- 3,000+ female entrepreneurs in the community
- 100+ startup tools built
- 5,000+ pieces of articles and news written
Partnerships
Fe/male Switch has formed strategic partnerships to enhance its offerings. In January 2022, it teamed up with global website builder Tilda to provide free access to website building tools and mentorship services for Fe/male Switch participants.
Recognition
Fe/male Switch has received media attention for its innovative approach to closing the gender gap in tech entrepreneurship. The platform has been featured in various publications highlighting its unique "play to learn and earn" model.
