According to the Financial Times (FT), global venture capital funds have invested $12.3 billion in defense startups since the beginning of 2026, exceeding the total for all of 2025.
The volume of investments is almost double the amount for the same period in 2025. The funds are directed at companies developing drones, autonomous maritime systems and artificial intelligence-based solutions for the military.
The FT attributes the increased investor interest to the conflicts in Ukraine and the Middle East, which demonstrate high demand for new types of weapons. Daniel Rudnicki Schlumberger, head of JPMorgan’s Security and Resilience Initiative for Europe, the Middle East and Asia, told the newspaper that investors see defense technology as a sector with long-term demand.
At the same time, the rapid rise in company valuations is already raising concerns about the potential overheating of the market.