Developing Drones in Ukraine by Quantum Systems - Part 1 I DefenseTech Hive at Project A Knowledge Conference 2024

Welcome 🇪🇺

We are happy to welcome our guest authors Matthias Lehna and Justin Wismer from Quantum Systems for a 2-part edition. In this first part, they will focus around Quantum Systems’ active involvement in Ukraine and the exemplification how on the ground-application and continuous development are essential for maintaining this edge.

About the authors:
Matthias is a Business Developer at Munich-based drone manufacturer Quantum Systems. He boasts a diverse background including fourteen years in the German armed forces and roles in NATO operations, UN peacekeeping, and military innovation at the Cyber Innovation Hub der Bundeswehr. His extensive experience in defense and security, including serving the chairwoman of the defence committee at the Bundestag, enriches his current position, where he closely follows developments in drone warfare.

Justin works in political communications for Quantum Systems. Before joining the Berlin Team of Quantum Systems in April he graduated from Universidad Carlos III de Madrid in March with a masters in Geopolitics and Strategic Studies. He specialises in European security and defense and has previously worked at the Spanish Embassy in Washington D.C. writing reports on transatlantic relations, NATO, European defense, and the war in Ukraine.

Yours,
Uwe, Jack and Jannic

Defense Hive at Project A’s Knowledge Conference 2024 in Berlin

We are excited to be hosting a dedicated Defense Hive at this year’s Project A Knowledge Conference. We will bring together industry leaders, military stakeholders, VCs and startups to discuss what solutions we can find to increase European resilience.

In collaboration with law firm YPOG, The PAKCon24 Defense Hive will feature insightful discussions on securing funding and hearing first hand from military leaders. We will deep dive into finding ways to navigate regulatory hurdles and foster collaboration between traditional defense companies and innovative start-ups.

Take a look at the agenda and sign up here.

The Resilience Conference 🇪🇺🇬🇧

We are excited to be supporting the Resilience Conference in London in 26 - 27th of September. You can find a full list of amazing speakers here including Mike Butcher from TechCrunch, Blythe Crawford from Air and Space Warfare Center, UK Royal Airforce as well as GPs from funds like General Catalyst, DCVC and of course our very own Uwe Horstmann.

Learn more and apply for a ticket: https://www.resilienceconference.io/

Developing Drones in Ukraine

Why application and development are two sides of the same coin (Part 1)

Deliver-Support-Integrate. This is the motto of Quantum Systems in Ukraine. The drone manufacturer from Munich, Germany has been active in Ukraine for well over two years. In the beginning of Russia’s full scale invasion Quantum Systems delivered 20 Vector reconnaissance drones to Ukraine. The fixed-wing VTOL capable mid-range-reconnaissance drone can reach a distance of up to 50km and survey areas with its electrooptic and infrared camera.

“The only way forward, for Quantum Systems, led into Ukraine”

Matthias Lehna, Head of Business Development Quantum Systems

These were put to the test just 3 months into the war. In the battle of Seversky Donets thick smoke and jamming made it impossible for Ukrainians to scout Russian troop movement, preparing for a river crossing with pontoon bridges. Yet the Vectors ability to evade jammers and to pierce through the smoke with its infrared camera, enabled the Ukrainians to spot the amassing Russian troops and deliver striking blows with long range artillery systems. A crucial tactical victory in the opening phase of the war.

Cat and Mouse Game

Despite the early success of our systems, a cat-and-mouse game ensued. Russian jammers and electronic warfare (EW) measures caught up and by 2023 all drone operators were experiencing difficulties to fly along the line of contact, let alone penetrate Russian-controlled air space. The only way forward, for Quantum Systems, led into Ukraine.

At the beginning of 2023, Quantum Systems opened a Service-, Support-, Training-, and Logistic centre (SSTLC) in Ukraine. Because of the short distance to the battlefield, direct contact with drone operators and hiring Ukrainian engineers and programmers, Quantum Systems took the lead again, in the never-ending race against Russian EW measures. This commitment and trust in Ukraine were rewarded by passing the demanding certification process of the Ukrainian Armed Forces (UAF) and being assigned a NATO product number allowing for the institutionalisation of Vector in the UAF.

Logistics remains a challenge

“Amateurs talk Strategy, Professionals talk Logistics”. This conventional wisdom is unequivocally applicable to the war of drones that is being fought over Ukraine’s skies. While doctrine and training of the pilots play a big role for the UAF, it is the mass supply of drones, that is enabling their success.

Logistical problems affect nearly every system supplied to Ukraine, no matter the size. Lack of spare parts and long repairs are bottlenecks preventing Ukraine from drawing on the full potential of Western technology.  The weeklong repairs in Lithuania of German Leopard 2 tanks is just one example that comes to mind

The result: Ukrainians will rather keep damaged equipment than have it missing for weeks of repairs. It became crystal clear for Quantum Systems that only a proper Production and R&D facility in Ukraine could be the answer to this issue. Not an easy thing for a country at war that is subject to daily bombing. Despite the risks Quantum Systems was willing to take a leap of faith, knowing of the previous success its commitment had achieved. And in April of 2024 a Production and R&D facility was opened in the presence of German Vice-Chancellor and Minister for Economics, Robert Habeck and Ukrainian Minister for Strategic Industries Oleksandr Kamischyn.

Sign(ing) of Trust: Quantum Systems Facility in Ukraine

Presence builds trust

Several Western arms producers have opened liaison offices in Kyiv but this barely scratches the surface of what is necessary to operate in Ukraine. Thus, perhaps another motto for Quantum Systems has been that if you “Talk the talk, you got to walk the walk”. No shortcuts, no compromise.

It is because of Quantum Systems commitment and investment into Ukraine and the continuous work put into the systems that Quantum Systems has earned the trust of the Ukrainians and a reputation of excellence. 500 Vector systems will fly in Ukraine by the end of 2024. Another 800 have been ordered via the German Capacity Building Initiative.

Stay tuned for Part 2 next week!

News That Caught Our Attention đź‘€

  • The inside story of the secret backchannel between the US and China - FT

  • Home alone: Germany’s security and defence policy when its closest allies are gone - ECFR

  • GPS-independent drones: From 24 hours Hackathon to US Army Special Operations in 6 months - Defense One

  • Drones in Ukraine get smarter to dodge Russia’s Jamming Signals - WSJ

  • Artificial Intelligence at war - Australian Strategic Policy Institute 

  • Russia’s alleged plot against German AWACS Base stokes NATO security concerns - EU Today

  • The Need for Speed: military procurement needs to be faster - First Breakfast

Every week we feature a list of interesting roles in European DefenceTech start-ups and scale-ups for readers seeking their next challenge in their careers.

If you are a founder and would like to promote your open roles, please get in touch with us!

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European Resilience Tech Newsletter Team

Uwe Horstmann co-founded Project A Ventures in 2012 as General Partner and has built Project A to be a leading European early stage investor with over $1bn USD under management and having backed 100+ founders. In addition to Project A, Uwe serves as Reserve Officer in the German armed forces and advises the German Ministry of Defence in digital transformation issues.

Jack Wang is a software engineer turned product driven tech investor and joined Project A in 2021 to lead the firm’s deep tech investing, which have grown to include DefenceTech. Prior to joining Project A, Jack worked in a variety of organisations such as Amazon and Macquarie Group across Australia, US and UK / Europe. Jack holds a MBA from London Business School and Bachelors of Engineering (Bioinformatics, 1st) from UNSW, Australia.

Jannic Meyer joined Project A initially contributing to what is now known as the Project A Studio, partnering with founders at the pre-idea stage, where he covered a variety of topics ranging from energy infrastructure to dual-use robotics and led our investment in ARX Robotics. He is now part of the investment team at Project A covering all things resilience.

Project A Ventures is one of the leading early-stage tech investors in Europe with offices in Berlin and London. In addition to 1 billion USD assets under management, Project A supports its 100+ portfolio companies with a platform team over 140 functional experts in key areas such as software and product development, business intelligence, brand, design, marketing, sales and recruiting. Project A have backed founders of Trade Republic, WorldRemit, Sennder, KRY, Spryker, Catawiki, Unmind and Voi as well as founders building in European Resilience: