Israeli Drone Firm XTEND Raises $70M Series B, Targets U.S. Defense Market Expansion: An In-Depth Guide
When technological advancements intersect with defense strategies and Israeli startup spirit, it creates narratives that transform modern security. XTEND’s journey epitomizes this shift, evolving from gaming origins to deploying AI-powered drones in critical conflict areas. The company’s recent $70 million Series B funding round, culminating in a total of $100 million, marks a significant pivot for the global drone and defense technology market.
1. Introduction: Why XTEND Matters
XTEND represents more than just a drone enterprise—it signifies the rapid integration of AI, robotics, and remote operations into security frameworks. This evolution is crucial as militaries worldwide seek more efficient, safer tools for their forces.
2. Company Origins: From Gaming Glory to Battlefield Utility
Founded in late 2018, XTEND started as a gaming and simulation tech venture. Co-founder and CEO Aviv Shapira, an Emmy winner and a self-professed “rocket scientist geek,” collaborated with Rubi Liani after realizing the complexities of piloting drones in chaotic environments. Their shift from entertainment to pragmatic, life-saving solutions came during the Israel-Gaza conflict, where their drones began intercepting low-tech threats like booby-trapped kites and balloons.
“You have your gaming business, and suddenly you become a defense company,” reflects Shapira.
3. Product Line: AI-Driven Drones for Modern Warfare
XTEND’s drone platforms leverage advanced AI, user-friendly controls, and human-machine collaboration, offering versatility for defense, security, and public safety. Key products include:
- XTENDER: An indoor micro tactical drone for enhanced surveillance in confined spaces.
- SCORPIO 500 & SCORPIO 1000: Precision small unmanned aerial systems performing tasks from reconnaissance to close combat using immersive FPV goggles.
- HONEY BADGER: An adaptable outdoor drone supporting heavy payloads for recon and delivery tasks, keeping frontline personnel safer.
A hallmark feature is the Mark & Fly technology and XTEND Operating System (XOS), which enables quick mission execution, akin to videogame simplicity.
The Wolverine: Minimal Training, Maximum Impact
The Wolverine combat drone, featuring a robotic arm, emphasizes ease of use while offering tactical options for search, intelligence, and precision operations.
4. Funding, Investors, and Ambitions
With the Series B extension, XTEND’s funding totals $100 million. The investments, led by Aliya Capital Partners and Protego Ventures, will propel manufacturing, international scale, and enhanced R&D, focusing on U.S. and allied defense needs.
Protego invests in Israeli tech only after conflict testing, underscoring the tech’s relevance in today’s security environment.
5. The U.S. Expansion: Strategic Footprint in Tampa
XTEND established its U.S. base in Tampa, Florida, aligning with American defense operations and supply channels. The location supports recruitment, manufacturing, and partnership with U.S. defense entities.
The Tampa site optimizes product delivery for U.S. contracts, providing local support and specialized R&D efforts.
6. Core Technology: Making Drone Mastery Accessible
XTEND challenges the idea that drone use is complex:
- XTEND Operating System (XOS): Converts novices into competent operators in minutes.
- Human-Centric Telepresence: Enables remote operations in risky areas, safeguarding personnel.
- Multi-Drone & Multi-Mission: Facilitates numerous drone operations simultaneously for increased efficiency.
- Integration & Modularity: The system integrates seamlessly with new and legacy platforms.
Real-World Application: Gaza and Beyond
XTEND drones are active in Gaza for tunnel mapping and on the Lebanese border for interception missions, showing their AI optimization for operations by non-experts.
7. Real-World Impact: Saving Lives, Shaping Doctrine
Practical impact stories:
- Gaza (2023–2025): XTEND drones supported operations in tunnel-laden zones, easing soldier exposure and enabling precise medical aid.
- Border Protection: Drones offered quick responses to threats, simple enough for frontline use.
- Public Safety and Disaster Relief: Beyond combat, drones serve in search-and-rescue, disaster settings—saving civilian lives through rapid deployment.
“We had the tools to help soldiers enter danger zones without putting themselves at immediate risk,” states CEO Aviv Shapira.
8. Challenges and Industry Trends
XTEND’s narrative highlights adaptation in the face of new realities:
- Geopolitics: October 7 attacks accelerated their pivot to defense. XTEND’s flexibility emphasizes its resilience amid a shifting security scene.
- “No-Experience Required” Philosophy: Simplified drone piloting could redefine industry standards amid training barriers.
- AI & Human-Machine Teaming: Future operations combine human judgment with automated assistance, demonstrating XTEND’s commitment to collaborative tech.
9. Expert Insights and Cultural Context
XTEND bridges diverse cultures and philosophies:
- Startup Culture: The company’s quick pivot during regional crises exemplifies Israel’s startup agility and goal-oriented approach.
- Pop Culture Reference: Their “video game” usability approach connects to modern gaming cultures, reflected in their user interfaces.
- Humor in Hardship: Their team humorously notes having the IDF’s “most expensive gaming setup,” nodding to their roots.
10. Human Side: The Team and their Mission
- The Founders: Aviv Shapira and Rubi Liani, united by tech expertise and practical problem-solving.
- Company Culture: Originating from gaming, XTEND nurtures an experimental culture that blends fun with life-saving technology.
- Customer Stories: An IDF unit recounted a rookie operator swiftly navigating a complex scenario on their first try, showcasing the technology’s empowering nature.
11. Conclusion: What XTEND’s Success Means for the Future
XTEND’s $100 million investment is more than monetary—it’s an endorsement for accessible, AI-driven, combat-ready solutions for global defense. As XTEND chooses a path where technology amplifies human capabilities, their success hints at the industry’s future direction. Whether in military operations, emergency response, or security planning, XTEND represents the evolution of drones from mere flying devices to essential tools that empower individuals and teams alike.
Remember: Today’s “drone game” sets tomorrow’s security standards. Whether you’re a service member, policymaker, or curious enthusiast, XTEND’s journey is noteworthy.