MatrixSpace Raises 20M to Advance AI-Powered Counter-Drone Radar

MatrixSpace Secures $20M to Advance AI-Powered Counter-Drone Radar, Adds L3Harris as Investor

In a significant move for the defense and civil security sectors, MatrixSpace has announced the completion of a $20 million Series B funding round. The Burlington, Massachusetts-based company is a leader in developing portable, AI-enhanced radar systems designed for Counter Unmanned Aircraft Systems (CUAS), commonly known as counter-drone technology. This latest infusion of capital not only brings the company’s total funding to $58 million but also signals a substantial increase in valuation since its Series A round in May 2023. The funding highlights the rapidly growing importance of agile and intelligent solutions to address the evolving threats posed by unmanned aerial vehicles.

The proliferation of small, agile, and often inexpensive drones presents a complex challenge for both military and civilian domains. From protecting critical infrastructure and public venues to securing tactical advantages on the battlefield, the need for effective drone detection and mitigation is undeniable. Traditional radar systems, often bulky, expensive, and power-intensive, struggle to effectively track these low-altitude, fast-moving objects. MatrixSpace aims to fill this critical gap by pioneering technology that is not only portable and affordable but also embeds artificial intelligence at the edge, enabling real-time threat identification and response.

This funding round is notable not just for its size, but for the strategic caliber of the investors involved. The participation of an industry giant like L3Harris, alongside specialized venture capital firms, underscores the market’s confidence in MatrixSpace’s approach. The investment is poised to accelerate the company’s growth, enhance its product development, and solidify its leadership position in a market that is becoming increasingly vital for national and public safety. As drones become more sophisticated and accessible, the demand for advanced CUAS solutions like those offered by MatrixSpace is set to expand exponentially.

A Closer Look at the Funding and Strategic Alliances

The $20 million Series B round was co-led by The Raptor Group, a Boston-based venture fund focused on deep technology, and OTB Ventures, a prominent European investor specializing in dual-use defense and enterprise technology. OTB Ventures’ deep connections to European industry and NATO bring a significant strategic advantage, potentially opening doors for wider adoption across the Atlantic. The term “dual-use” is key here, referring to technologies with both civilian and military applications, a core focus for investors in the current geopolitical climate.

Perhaps the most significant development in this round is the introduction of L3Harris Technologies as a new investor. L3Harris is a global aerospace and defense technology leader, and its financial backing serves as a powerful endorsement of MatrixSpace’s technology. L3Harris has its own robust C-UxS (Counter-Unmanned Systems) initiative, developing systems like VAMPIRE™ to combat drone threats. A collaboration between the two companies was already demonstrated in August 2024, where they integrated their technologies to showcase a low-cost solution for detecting, identifying, and tracking drones. This investment deepens that relationship, suggesting a future of tighter integration and co-development.

The strategic implications of these partnerships are profound. The capital injection will fuel research and development, but the expertise and market access provided by the investors are equally valuable. Gregory Waters, co-founder and CEO of MatrixSpace, noted the importance of these alliances, stating, “This new capital and industry partnerships position us extremely well for our next chapter of growth and cements our leadership in portable CUAS.” The combination of American deep-tech funding, European defense-focused capital, and a partnership with a prime defense contractor creates a powerful ecosystem for MatrixSpace to scale its operations globally.

“By combining advanced radar and AI at the edge, MatrixSpace sets a new standard for edge sensing, redefining situational awareness for both civil and defense applications. We’re proud to back the team shaping how autonomous systems will perceive the world.” – Marcin Hejka, co-founder and General Partner of OTB Ventures.

The Technology: AI-Enhanced Radar for a New Era of Threats

At the heart of MatrixSpace’s innovation is a fundamentally different approach to radar. The company has developed a small, lightweight, and low-power system that stands in stark contrast to conventional radar installations. This focus on low SWaP-C (size, weight, power, and cost) makes the technology highly portable and easy to deploy in minutes without specialized training. Units can be attached to vehicles, fixed to infrastructure like buildings or poles, or carried to tactical locations, providing 360-degree coverage of low-altitude airspace where most drone threats operate.

What truly sets the technology apart is its integration of artificial intelligence directly into the sensor, a concept known as “AI at the edge.” Instead of sending raw data to a central server for processing, the MatrixSpace Radar uses onboard AI algorithms to perform real-time analysis. This allows the system to instantly classify objects, distinguishing between drones, birds, ground vehicles, and personnel, thereby reducing false positives and providing operators with clean, actionable intelligence. The system can deliver this high-fidelity situational awareness in all conditions, including rain, fog, smoke, and low light, where traditional optical sensors fail.

The applications for this technology are vast and address a growing market need. For civilian use, it can provide a protective bubble over stadiums, airports, and critical infrastructure. In defense, it offers enhanced force protection by digitizing the battlespace and giving personnel on the ground unmatched awareness of their immediate environment. By building its platform on an open architecture, MatrixSpace ensures its systems can be easily integrated with existing command and control, video surveillance, and other security platforms, creating a unified and comprehensive security network.

Concluding Section: Future Outlook and Industry Impact

The successful completion of MatrixSpace’s $20 million Series B funding round, bolstered by strategic investors like L3Harris and OTB Ventures, marks a pivotal moment for the company and the broader counter-drone industry. This investment is a clear indicator of the urgent and growing demand for advanced, portable, and intelligent CUAS solutions. The capital will undoubtedly accelerate MatrixSpace’s ability to scale production, innovate further on its AI capabilities, and expand its market footprint in both North-America and Europe.

Looking forward, the impact of this technology extends beyond just countering drones. The ability to provide affordable, real-time situational awareness through AI-powered edge sensing is a foundational capability for the future of autonomy. As autonomous systems, from delivery drones to ground vehicles, become more integrated into society, the need for them to perceive and navigate their environments safely and accurately will be paramount. MatrixSpace is not just building a better drone detector; it is contributing to a core technological layer that will enable the next generation of autonomous operations, redefining safety and security in an increasingly automated world.

FAQ

Question: What is MatrixSpace?
Answer: MatrixSpace is a technology company that develops and produces portable, AI-enhanced radar systems for counter-drone applications and situational awareness. Its products are designed to be small, lightweight, low-power, and affordable.

Question: How much funding did MatrixSpace raise in its Series B round?
Answer: MatrixSpace completed a $20 million Series B funding round, which brought its total funding to date to $58 million.

Question: Who were the key investors in this round?
Answer: The round was co-led by The Raptor Group and OTB Ventures. A key new investor is L3Harris Technologies, a major global aerospace and defense company.

Question: What makes MatrixSpace’s technology unique?
Answer: Its technology combines high-performance 4D imaging radar with artificial intelligence processed “at the edge” (on the device itself). This allows for real-time object classification (drones, vehicles, people) in all weather and light conditions, with a portable, low-cost system that can be deployed in minutes.

Sources

• MatrixSpace