- NATO’s €1bn fund makes inaugural deep tech investments in chipmaker Fractile, ARX Robotics, iCOMAT, and Space Forge
- Fund focuses on novel materials, AI, robotics, and space technology to enhance technological sovereignty
- Aim is to bolster deep tech hubs in regions with early-stage startups seeking capital
- NIF supports venture capital fund managers in civilian and defence markets, with a regional focus on Southern and Eastern Europe, and the Nordics
- Partnerships with Alpine Space Ventures, OTB Ventures, Join Capital, and Vsquared Ventures to promote dual-use ecosystems across the NATO Alliance
Exploring NATO’s €1bn Fund and Its Deep Tech Investments
In a significant move towards bolstering technological sovereignty and advancing deep tech hubs, NATO’s €1bn innovation fund has made its inaugural investments in the realm of deep technology. This fund, launched in 2022 in response to the Russian invasion of Ukraine, has set its sights on propelling innovation in novel materials and manufacturing, artificial intelligence (AI), robotics, and space technology.
Companies Receiving Investments
The first recipients of the NATO Innovation Fund (NIF) investments are Chipmaker Fractile, Germany’s ARX Robotics, iCOMAT from the UK, and Space Forge based in Wales. These companies were selected based on their innovative approaches and potential to significantly impact various sectors with their technological advancements.
London-based chipmaker Fractile is slated to receive funding to accelerate the development of large language models that are akin to those powering ChatGPT. This investment will enable Fractile to enhance its capabilities in natural language processing and expand its reach in the AI domain.
Related Video
Meanwhile, Germany’s ARX Robotics will leverage the investment to further develop unmanned robots capable of performing a range of tasks such as heavy-lifting and surveillance. The advancement of robotic technology is crucial for various industries, including manufacturing, logistics, and security.
British company iCOMAT specializes in creating lightweight materials for vehicles, contributing to the ongoing efforts to enhance efficiency and sustainability in the transportation sector. The investment from NIF will enable iCOMAT to push the boundaries of material science and bring forth innovative solutions for the automotive industry.
Space Forge, based in Wales, focuses on leveraging the space environment to develop advanced semiconductor materials essential for enhancing capabilities in telecommunications, aerospace, and quantum computing. The funding from NIF will play a pivotal role in accelerating Space Forge’s research and development efforts in this cutting-edge field.
Supporting Venture Capital Fund Managers
In addition to investing directly in technology companies, the NATO Innovation Fund is also extending its support to venture capital fund managers who specialize in early-stage deep tech ventures catering to both civilian and defence markets. This strategic approach aims to foster innovation and capacity building in regions with a high demand for funding, particularly in Southern and Eastern Europe, as well as the Nordics.
Partnerships with venture capital firms such as Alpine Space Ventures, OTB Ventures, Join Capital, and Vsquared Ventures are instrumental in driving the investment initiative of NIF forward. Alpine Space Ventures, with its focus on space sector investments, brings specialized expertise to the table, while OTB Ventures targets a diverse range of sectors including spacetech, enterprise automation & AI, cybersecurity, and fintech infrastructure.
Join Capital, based in Berlin, concentrates on investments in industrial and enterprise technology, aligning with NIF’s goal of fostering innovation in key sectors. Vsquared Ventures, on the other hand, places emphasis on AI, energy transition, new computing, and sensing technologies, reflecting a broad yet impactful investment strategy.
NATO Innovation Fund chair Klaus Hommels commended the investment team for achieving this significant milestone, emphasizing the fund’s mission to advance defence, security, and resilience through the promotion of dual-use ecosystems across the NATO Alliance. This strategic investment approach not only supports technological innovation but also strengthens the alliance’s overall capabilities in the face of evolving security challenges.
Looking Towards a Technologically Advanced Future
The inaugural investments made by the NATO Innovation Fund mark a crucial step towards fostering innovation and technological advancement in key sectors such as AI, robotics, materials science, and space technology. By supporting early-stage deep tech ventures and forging partnerships with venture capital firms, NIF is poised to catalyze growth and innovation in regions where such initiatives are pivotal for economic and strategic development.
As the global landscape continues to evolve, the importance of deep tech investments in enhancing technological sovereignty and fostering resilience becomes increasingly apparent. The forward-thinking approach of NIF in identifying and supporting innovative technology companies and venture capital fund managers underscores its commitment to driving progress and innovation within the NATO Alliance and beyond.
The deep tech investments facilitated by the NATO Innovation Fund not only pave the way for groundbreaking advancements in key technology sectors but also underscore the importance of collaboration, innovation, and strategic investment in propelling towards a technologically advanced future.
Links to additional Resources: