TERASi, a Stockholm-based defense technology company developing high-speed wireless communications systems, has raised €11 million in seed funding co-led by NATO Innovation Fund and JOIN Capital. The financing includes new investors In-Q-Tel and D3, alongside existing backers Navigare Ventures, Almi Invest, Onsight Ventures, Further Than Capital, and KTH Ventures. The investment will support the expansion of TERASi’s manufacturing and engineering capabilities, accelerate deployment of its communications technology to European armed forces, and fund the development of additional products for military and other mission-critical applications.
The transaction represents NATO Innovation Fund’s first direct investment in Sweden and is among the larger seed financing rounds in the country’s defense technology sector.
TERASi was established as a spinout from the KTH Royal Institute of Technology to address the need for secure, high-capacity wireless communications in environments where traditional infrastructure is unavailable or vulnerable to disruption.
Its technology is designed for military units and autonomous systems that must transmit large volumes of information securely, even when satellite communications, GPS, and conventional radio-frequency networks are unavailable or compromised.
The company develops specialized hardware using millimeter-wave frequencies, which enable highly directional wireless communications. Rather than transmitting signals broadly, its technology concentrates communications into narrow beams that the company says are difficult for conventional electronic warfare systems to intercept, detect, or jam.
TERASi’s proprietary AirCore technology allows it to miniaturize high-frequency communications components into compact devices suitable for military and industrial deployment.
Its products are designed to be compatible with a variety of tactical platforms, including drones, vehicles, and portable tripods, allowing operators to establish communications links without installing conventional telecommunications infrastructure.
According to the company, its systems can be deployed within minutes and provide high-capacity wireless connections across challenging operational environments.
TERASi reports that its communications links can operate over distances exceeding 100 kilometers and transmit data at speeds up to 50 times faster than satellite connections, depending on the deployment and operating conditions.
These capabilities are particularly relevant to military operations involving autonomous aircraft, ground vehicles, intelligence gathering, and coordination between distributed units.
As defense organizations incorporate more autonomous systems and data-intensive technologies, reliable communications have become increasingly important for maintaining situational awareness and coordinating operations.
TERASi aims to address these requirements through communications infrastructure that can operate independently of conventional fiber networks, communications towers, and satellite systems.
The company’s RU1 radio is designed to deliver compact, high-capacity point-to-point communications suitable for deployment in contested environments.
TERASi’s approach combines advanced radio-frequency engineering, microelectronics, and scalable manufacturing to produce communications equipment that can be integrated into different military platforms.
The new financing will enable the company to increase production and expand its engineering and field teams as it pursues additional defense contracts and international customers.
TERASi also intends to deepen its partnerships with established defense contractors as it works to integrate its technology into existing military systems.
Beyond expanding its current communications products, the company plans to develop additional millimeter-wave technologies covering connectivity, spatial awareness, and electronic warfare.
The objective is to combine these capabilities into an integrated system for military operations at the tactical edge, where personnel and autonomous platforms need to communicate and exchange information in environments with limited infrastructure.
TERASi has established relationships with the Swedish Armed Forces, the European Space Agency, defense contractors, and European telecommunications companies.
Its technology also has potential applications outside defense, particularly in critical infrastructure, industrial operations, and emergency response.
These applications include situations where communications networks may be damaged, unavailable, or vulnerable to interference and where rapidly deployable wireless connectivity could help maintain essential operations.
The participation of NATO Innovation Fund, JOIN Capital, In-Q-Tel, and D3 provides TERASi with additional institutional backing as it expands its presence in the European defense technology market.
The company plans to use the financing to accelerate product deployments, develop additional hardware, and strengthen its position in high-frequency wireless communications.
KEY QUOTE:
“With this funding, we can get these capabilities into the field faster and take them further.”
James Campion, Co-Founder and CEO of TERASi
