Defence-tech startup Zebu raises $1M in pre-series A round
Zebu Defence-Tech Startup Raises $1M in Pre-Series A Funding Round
Zebu’s counter-drone and unmanned systems will soon be deployed by Indian armed forces.
Table of Contents
Introduction to Zebu’s Defence-Tech Innovation
Hyderabad-based Zebu defence-tech startup has successfully raised $1 million in a pre-series A funding round led by Bluehill VC. The company specializes in developing advanced counter-drone and unmanned systems for the Indian armed forces, bringing cutting-edge technology to enhance national security capabilities. Founded in 2021 by Santosh Balajee Banisetty, Zebu has rapidly emerged as a pioneer in indigenous defence technology solutions.
The newly secured funds will accelerate the development of four mission-critical drone systems, fast-tracking them from prototype stage to full battlefield deployment. This represents a significant milestone for India’s defence technology sector, showcasing the growing capability of homegrown startups to deliver military-grade solutions that previously required foreign imports.
Key Achievement:
Zebu has already filed seven patents, secured two trademarks, and continues to develop proprietary intellectual property, positioning itself as a trusted DefTech supplier for the Indian armed forces.
Funding Details and Strategic Investment
The $1 million pre-series A investment from Bluehill VC marks a vote of confidence in Zebu’s innovative approach to defence technology. This funding will be strategically deployed to move four key products from final development stages to combat readiness and military certification. More importantly, this capital infusion enables Zebu to maintain its accelerated development timeline while ensuring rigorous testing and compliance with military specifications.
Beyond the current funding round, Zebu is already preparing for its next strategic move—a $5 million funding round aimed at deeper integration with armed forces and expansion into international markets. This forward-looking approach demonstrates the company’s long-term vision to establish itself as a global player in the defence technology space.
Sridhar Parthasarathi, General Partner at Bluehill VC, highlighted the significant market opportunity: “The global counter-drone market is expected to reach $11 billion by 2030. Zebu is rightly positioned to capture this market with its top-of-the-line offerings for the armed forces. Its drones have completed extreme tests and are now ready for deployment.”
Zebu’s Military-Grade Product Portfolio
Zebu’s technology portfolio encompasses four specialized drone systems developed specifically for different branches of the Indian armed forces. Each system addresses critical operational needs with innovative solutions:
| Product | Target Force | Capabilities | Deployment Timeline |
|---|---|---|---|
| IAF Net Drone | Indian Air Force | Hostile drone neutralization with revolutionary six cartridge system | Military certification in progress |
| Coast Guard Drone | Indian Coast Guard | Sea surface combat and rescue operations | Testing phase |
| Combat Drone | Indian Air Force | Swarm-enabled offensive capabilities | Operational readiness by late 2025 |
| Tethered Surveillance Drone | Indian Army | 24×7 border patrol monitoring | Mass deployment by mid-2025 |
The IAF Net Capture Drone represents Zebu’s most advanced offering, capable of trapping hostile drones mid-air “like a futuristic spiderweb.” This system has progressed from initial skeletal models to sophisticated radar integration and is currently achieving military grade certification milestones. The company is also in advanced talks with a leading defense manufacturer for supply agreements.
Zebu’s AI-powered drone technology represents the future of unmanned defence systems.
Market Opportunity in Defence Technology
The global counter-drone market presents a substantial growth opportunity, with projections reaching $11 billion by 2030. This rapidly expanding sector is driven by increasing security threats from unauthorized drone activities and the growing adoption of drone technology in military and civilian applications worldwide. Zebu is strategically positioning itself to capture a significant share of this market with its comprehensive suite of counter-drone and unmanned systems.
What sets Zebu apart in this competitive landscape is its focus on complete vertical integration and indigenous development. By manufacturing most components in-house, Zebu ensures full control over its supply chain—a critical advantage in the defence sector where reliability and security are paramount. This approach also reduces dependency on foreign components, aligning perfectly with India’s push for self-reliance in defence technology.
Market Differentiation:
Zebu’s all-Indian Ground Control Station (GCS) is currently undergoing testing with the Indian Coast Guard. This next-generation “mission brain” allows commanders to control entire drone fleets from a unified interface, potentially replacing costly foreign alternatives.
Indigenous Development and Defence Sovereignty
At the core of Zebu’s mission is a commitment to indigenous development and enhancing India’s defence sovereignty. The company is actively indigenizing critical components that were previously imported, including Electronic Speed Controllers (ESCs) and military-grade stabilized camera gimbals. This strategic focus not only eliminates foreign dependencies but also strengthens the domestic defence manufacturing ecosystem.
Santosh Balajee, Founder and CEO of Zebu, emphasized this vision: “The battlefield of the future is AI-led and unmanned, that is inevitable—Zebu is making it indigenously available. It’s not just exporting counter-drone technology but exporting India’s defence sovereignty to the world stage. There is a massive opportunity to fill the vast gap that exists in integration of tech in our defence sector.”
The company’s first commercial win with a custom high-performance battery pack for nano drones signals immediate market traction for its indigenous technology. This achievement demonstrates that Zebu’s innovations can compete effectively with international alternatives while offering the strategic advantage of domestic production.
Future Plans and Commercial Expansion
Looking ahead, Zebu has outlined an ambitious roadmap that extends beyond military applications. The company is strategically expanding into commercial markets by adapting its military-grade technology for enterprise use. This dual-use approach maximizes return on R&D investment while creating multiple revenue streams.
With preparations underway for its next funding round of $5 million, Zebu aims to accelerate integration into armed forces and expand into international markets. The company also plans to strengthen its leadership team by hiring a Chief Business Officer (CBO) and defence advisors to guide its strategic growth.
Strategic Vision:
Zebu is positioning itself as a full-spectrum provider of unmanned platforms and critical subsystems for both military and commercial markets worldwide, with the goal of becoming India’s most vertically integrated counter-drone and unmanned systems company.
This year’s roadmap places Zebu as not just a supplier of defence technologies but as a comprehensive provider of unmanned platforms and critical subsystems catering to both military and commercial markets globally. With multiple products approaching production readiness, early revenue momentum, and a growing intellectual property portfolio, Zebu is well-positioned to become a significant player in the defence technology sector, contributing to India’s self-reliance in critical defence capabilities.
Published on May 8, 2025
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