German defense officials have awarded major drone contracts to Helsing and Stark, two tech startups backed by prominent investors including Daniel Ek and Peter Thiel. The contracts, valued at up to €4.3 billion, will supply unmanned weapons systems to the Bundeswehr, marking a significant shift toward private tech companies in military procurement.

The deals represent one of Europe's largest military technology contracts and signal growing confidence in startup capabilities for defense applications. Both companies specialize in AI-powered autonomous systems, with Helsing focusing on electronic warfare capabilities and Stark developing advanced drone platforms. The contracts come amid increased European defense spending following geopolitical tensions in Eastern Europe.

This procurement marks a watershed moment for the European defense tech sector, potentially opening doors for other startups to compete for military contracts. The substantial investment demonstrates the Bundeswehr's commitment to modernizing its capabilities with cutting-edge technology from the private sector, while raising questions about the role of Silicon Valley-connected firms in European defense infrastructure.