Tsalla Aerospace, a deeptech startup, has reached a major milestone by raising a round of first external funding of $1 million. The early capital injection will enable the company to accelerate the flow of its advanced autonomous systems platform, which primarily focuses on critical applications in both the defence and industrial sectors. This successful round of financing justifies the market promise of the core technology of Tsalla, which is based on Artificial Intelligence (AI) of unmanned platforms.

Core technology and the maiden funding round

Tsalla Aerospace secured $1 million in the maiden funding round led by an influential investor: Sunny Stalnaker, the ASML executive Vice President (VP). The fact that this round was led by an executive of a well-established technology company is a firm indicator of trust in the technical capacity and strategic vision of Tsalla.

Besides the individual investment, institutional organisations played a significant role in the financing round. This involved the Small Industries Development Bank of India (SIDBI). Additionally contributing to the financial strength, the company also received grants in terms of equity-free funding through the Innovations for Defence Excellence (iDEX) programme run by the Ministry of Defence. The combination of commercial capital and institutional support, as well as government grants, underscores the strategic significance of the technology developed by Tsalla to both commercial and defence sectors.

Tsalla Aerospace was nurtured at the renowned Indian Institute of Science (IISc), which gave it a good background in research and innovation. The funds have been specifically allocated towards two major areas: the expansion of the company’s autonomous systems platform and the scale-up of the implementation of these systems in critical use cases across the defence and industrial sectors.

Tsalla builds on its own AI Pilot, which is the main pillar of its technology. This system is meant to help the unmanned platforms work efficiently even in demanding conditions, that is, in the absence of Global Positioning System (GPS) or other external communications. The final aim of the AI Pilot is to enable unmanned systems to operate autonomously (with zero operator control), which is a huge advance in the degree of autonomy in these systems.

Image Source: Tsalla Aerospace  

Developments and ambitious plans

Tsalla Aerospace is also actively involved in developing and deploying its solutions in the Indian military. The firm is in the process of undertaking various specialised projects with both the Indian Navy and the Indian Army. These military projects demonstrate the flexibility and durability of Tsalla technology.

Covert-space reconnaissance, intended to be used in restricted, complex locations where conventional navigation is challenging. Vertical Take-Off and Landing (VTOL) facilities are intended as one-man-operated and improve the portability and quick deployment options.

In its field of operation, Tsalla Aerospace is a competitive entity that competes with both local and foreign companies within the defence and autonomy industry. In the domestic market, it competes with well-established defence and autonomy firms, including ideaForge, NewSpace Research & Tech, Sagar Defence, and CRON Systems. The company is also globally in opposition to dual-use autonomy developers, the technologies of which are applicable both commercially and militarily.

Tsalla Aerospace has already made clear-cut future expansion plans to finance its growth. The company plans to raise a larger Seed round of $8 million. This huge capital will be invested in a number of strategic goals, including increasing its core autonomy stack, increasing its deployments in both India and international markets, and penetrating new defence and industrial markets that it is aiming to enter.

Conclusion

Tsalla Aerospace has already raised $1 million in its maiden external funding round, which is a mix of private capital by Sunny Stalnaker of ASML and strategic capital by SIDBI and the iDEX programme by the Ministry of Defence. This capital will be invested in developing its AI-based autonomy stack that allows unmanned systems to gain operational capabilities without GPS or human supervision. The company has established multi-project partnerships with the Indian Navy and the Indian Army, including confined-space reconnaissance and difficult logistics solutions, making it grow.