Dassault Aviation-Led $200M Series B Elevates Harmattan AI to $1.4B Valuation

French defense technology firm Harmattan AI is experiencing rapid growth, mirroring the speed of its new investor’s supersonic aircraft. Established in 2024, the company’s valuation has reached $1.4 billion following a $200 million Series B funding round spearheaded by Dassault Aviation, renowned for manufacturing the Rafale fighter jet.

Specializing in autonomy and mission-system software for military aircraft, Harmattan AI had already garnered significant approval from the French and British defense ministries within its initial two years. This latest investment and strategic alliance are poised to significantly boost the company, which previously identified itself as a “European Anduril.”

While Harmattan AI previously aimed to supplant established defense contractors, or “primes,” much like its American counterpart, the company is now prepared to collaborate with them, even if it means abandoning its self-proclaimed title of “a next-generation defense prime.”

Harmattan’s recent press release indicates that the company, now referred to as a “defense technology company,” will assist Dassault Aviation in advancing air combat by creating integrated AI functionalities for upcoming Rafale jets and drones, ensuring these implementations are both nationally controlled and adaptable.

The widespread deployment of drones in Ukraine has served as a critical alert for NATO forces, consequently providing momentum for defense technology startups that can aid in their modernization. Harmattan AI, which recently collaborated with Ukrainian drone manufacturer Skyeton, states that this funding will enable it to broaden its product range into new areas and increase the production of its systems for drone interception, electronic warfare, and ISR (Intelligence, Surveillance, and Reconnaissance).

French President Emmanuel Macron publicly commended the announcement via social media, hailing it as “excellent news for our strategic autonomy, for the technological superiority of our armed forces in the field of AI-activated defense drones, as well as for our economy.”

Although strategically significant for France, this initiative is not confined to the nation. Harmattan AI’s declared objective to “empower the armed forces of liberal democracies and their allies” allows the company flexibility to market its technology beyond French and European borders. The company is actively pursuing this, evidenced by its upcoming exhibition at the World Defense Show in Riyadh next month and the expansion of its U.S. team.

In July, the company achieved a new milestone, securing a “multi-million-U.S. dollar contract from a NATO government” for AI-powered small drones, merely one year after its inception. However, CEO and co-founder Mouad M’Ghari indicates that Harmattan AI is now “entering a new phase of scale” with plans to “ramp-up manufacturing.”

The entrepreneur further revealed in the same LinkedIn post that this latest funding supplements the $42 million Harmattan AI had previously secured, which encompassed a seed round led by Atlantic and a Series A led by FirstMark, alongside contributions from Motier Ventures and Sisyphus Ventures.

Concurrently, Martin de Gourcuff, Harmattan AI’s CTO and co-founder, conveyed a politically charged message. He stated, “As the international order goes off the rails, we are entering an era where, increasingly, power precedes law. A reversal of the civilized world we strive for. Harmattan AI exists to protect our values and flip that relationship back, as power without law is just mere violence.”

This story was updated to correct Skyeton’s origins.

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