Neros Technologies has reached a $2.5 billion valuation after raising $250 million in a new financing, according to Bloomberg. This roughly triples the defense technology company’s value as demand grows for domestically manufactured military drones. Sequoia Capital and American Strategic Technology Fund reportedly co-led the round, with participation from Thiel Capital and other existing investors.
The new valuation represents a substantial increase from Neros’ November 2025 Series B, when private-market data placed the company’s post-money valuation at approximately $794 million.
Neros has not yet publicly detailed the new financing, and the amount raised and participating investors were not available in the sources reviewed.
The company previously raised $75 million in a Series B led by Sequoia Capital, with participation from Vy Capital US and Interlagos. That round brought Neros’ total capital raised at the time to more than $120 million.
Neros said the Series B capital was intended to expand industrial capacity, scale production of its Archer and Archer Strike drone platforms and Ground Control Systems, and strengthen a China-free supply chain through vertically integrated manufacturing and investments in allied component suppliers.
The company has continued to scale rapidly since that financing. Neros recently expanded into Millennium One, a 250,000-square-foot manufacturing facility in Torrance, California, as part of an initiative to increase its production capacity by approximately 100 times.
Neros has also reported surpassing production of 1,000 drones in a single week at the Torrance facility.
The manufacturing expansion comes alongside significant growth in government business.
Neros recently secured a U.S. Army contract worth up to $500 million to supply its Archer first-person-view drones. The contract is an indefinite-delivery arrangement, meaning the full $500 million is not guaranteed, but it represents one of the largest opportunities awarded to the young drone manufacturer.
Neros was producing approximately 1,200 drones per week as of July and has set a goal of reaching annual production capacity of one million drones by 2028.
Its flagship Archer platform is a low-cost FPV military drone designed for use in contested environments. The company has also developed Archer Strike for kinetic applications and supporting ground-control technologies.
Neros was founded in 2023 by former competitive drone racers Soren Monroe-Anderson and Olaf Hichwa. The company initially focused on building drones that could compete economically with Chinese systems while relying on American and allied-country supply chains.
Its fundraising history reflects that manufacturing strategy. Before the Series B, Neros raised approximately $35 million in a Series A led by Vy Capital and $10.9 million across earlier seed financing backed by investors including Sequoia Capital.
The jump to a $2.5 billion valuation comes as Neros transitions from a venture-backed drone developer into a larger-scale defense manufacturer with growing U.S. military programs and significant investments in domestic production capacity.
