The war in Ukraine demonstrated it, and the conflict with Iran has reinforced it: 21st-century warfare is increasingly being fought in the skies with drones. While cruise missiles remain a key weapon for the world's most powerful militaries, drones have become indispensable since the outbreak of the war in Ukraine in 2022. Cheaper and faster to manufacture, these small flying machines have transformed aerial combat.
It was against this backdrop that French startup Alta Ares was founded in January 2024. With its counter-drone technology, the company quickly established itself as one of the leading players in France’s new generation of defense technologies. Today, Alta Ares is announcing a €50 million Series A round led by Air Street Capital, the European venture capital firm specializing in AI technologies. Cherry Ventures, OTB Ventures, and Harpoon also participated in the financing. The round follows an earlier €2 million fundraising campaign.
Drones and Cruise Missiles in the Crosshairs
Founded by Stanislas Walch (former regulatory consultant), Théo Bondarec (computer vision specialist), Hadrien Bernard (software engineer), Alain Henry (former IBM executive), and Hadrien Canter, the French defense startup develops embedded AI solutions capable of analyzing real-time video feeds in the field to detect suspicious movements that may go unnoticed by human operators. The goal is to automate threat identification and interception.
To achieve this, Alta Ares deploys two classes of interceptors: X-Lock, designed to neutralize drones such as the Iranian-made Shahed-136, and Black Bird, intended to counter cruise missiles such as the Kh-101 used by the Russian military. These systems, which are critical for the forces deploying them, are continuously improved. The outbreak of the conflict with Iran three months ago has also provided the company with the opportunity to test and adapt its technology in a new operational environment.
“One Year in Defense Is Worth 100 Years in Normal Life”
In this context, Hadrien Canter, co-founder and CEO of Alta Ares, who has spent much of his time between Ukraine and the Middle East in recent months, must continuously demonstrate the flexibility and effectiveness of the company’s products to meet evolving customer needs.
“One year in defense is worth 100 years in normal life. As a result, the trust our customers place in us requires us to innovate constantly. We have systems that must be adapted to the challenges of the Middle East. We have stepped outside our comfort zone,” acknowledges the CEO.
“There are two major areas for improvement: the probability of kill and the cost of kill. Today, our objective is to successfully neutralize cruise missiles.”
To accelerate the development and deployment of its ground-to-air defense systems—combining interceptors, data-fusion software, radar technologies, and embedded AI—Alta Ares relies heavily on the expertise of French industrial partners, particularly in the fields of engines and batteries.
“We place orders and create jobs, both directly and indirectly, throughout France. We are helping to build an entire ecosystem,” says Hadrien Canter.
More broadly, an ambitious defense-tech ecosystem has been taking shape in France over the past several years.
“There is tremendous enthusiasm because the need is enormous. The mission is incredibly complex, but many new players are emerging. That is what will ultimately help create a strong European defense industry,” the CEO adds.
Among the French defense startups attracting significant attention is Harmattan AI, whose AI-powered drones have won contracts from both France’s Defence Procurement Agency (DGA) and the British Army. Earlier this year, the company founded by Mouad M’Ghari reached unicorn status following a $200 million funding round led by Dassault Aviation.
A New Production Facility in Toulouse to Support Hypergrowth
Alta Ares plans to use its latest funding round to strengthen its position as a leading European player in air defense.
As part of this strategy, the company intends to double its workforce, which currently stands at 70 employees. It also plans to open new offices in the Middle East and Asia while expanding production capacity in both France and Ukraine. A new manufacturing facility in Toulouse is expected to become fully operational this month.
“We are entering a phase of hypergrowth. Going from zero to one is done. Now we are moving from one to ten, and then we will have to go from ten to one hundred,” says the CEO, who can also rely on support from France’s Defence Procurement Agency.
To evaluate and improve the performance of its systems, Hadrien Canter regularly travels close to operational zones.
“I travel both to Ukraine and to the Middle East. I often hear the sound of Shahed drones overhead. It reminds me that we are in the right place at the right time.”
He believes the company is well positioned to play a major role in the future of European air defense.
“In Ukraine, we are clearly at a turning point, and I believe we can become one of the major defense players in the field of air defense.”
Of the €50 million recently raised by the company, €10 million has been earmarked for activities in Ukraine. The startup also reports having signed “several million euros’ worth of contracts in the Middle East, Asia, and Eastern Europe” in recent weeks and says it will announce “several strategic partnerships with major defense companies” in the coming months.
