Archive · 15 Jan 2026
India's space startups pivot to defence surveillance
India's space startups, which have been making money by selling data from satellites they launched, are now focusing on defence surveillance.
Companies like Pixxel and Digantara aim to get a lot of their business from defence contracts.
The Indian government is also encouraging private startups to work on defence projects.
These startups hope to grow a lot in the next few years by selling their satellite technology to defence agencies in India and other countries.
They have already raised a lot of money to build and test their satellites and rockets.
This shift could help India become a big player in the global defence market.
India's space startups are pivoting towards defence surveillance contracts, aiming for significant revenue from defence clients.
Pixxel and Digantara target at least half of their business from defence contracts, with Pixxel expecting 40-50% of its revenue to come from defence clients in the next three years.
The Indian government is encouraging private startups to develop defence technologies through initiatives like the iDEX challenge.
India’s private space economy revenue is expected to grow more than fivefold to $44 billion over the next eight years.
Startups have raised over $315 million in the past five years to build and test their satellites and rockets.
- Who
- Indian space startups like Pixxel, Digantara, Skyroot Aerospace, GalaxEye, and Bellatrix Aerospace
- What
- Pivoting towards defence surveillance contracts
- When
- Over the next few years, with significant growth expected by 2027
- Where
- India and overseas, including the US
- Why
- To tap into the lucrative defence market and diversify revenue streams
- Expected revenue growth
- India’s private space economy revenue is expected to surge more than fivefold over the next eight years from $8.5 billion to $44 billion, growing at an annualized rate of 23%
- Pixxel's revenue
- $4.65 million in FY25
- Pixxel's defence revenue
- 40-50% of revenue in the next three years
- Digantara's projected revenue
- Over ₹250 crore by March 2027, 80% from government-backed clients
- Defence contracts
- Pixxel and Digantara target at least half of their business from defence contracts
- Funding
- India’s four most-funded space startups have raised over $315 million over the past five years
- Defence project
- MoD considering private space startups for an experimental surveillance project worth about ₹150 crore