From Prototype To Powerhouse: India's Push To Ensure Start-Ups Reach Scale, Not Stagnation

India’s defence industrial ecosystem is undergoing a historic transformation from public-sector dominance to a competitive, innovation-led market. The Defence Acquisition Council’s recent approval of ₹1,10,000 crore in capital acquisitions—with 98% sourced domestically—underlines this decisive policy shift toward self-reliance.

Moving away from nomination-based orders, public and private entities now compete on a level playing field. Defence production reached approximately ₹1,78,000 crore in FY26, a significant increase from ₹43,746 crore in FY14.

Simultaneously, defence exports surged by over 62% in a single year to ₹38,424 crore, supplying military hardware to over 80 countries. Private enterprises now contribute around ₹42,000 crore to national defence production.

Qualitative capabilities have advanced alongside output. The successful firing of the AK-203 rifle manufactured entirely with local input materials demonstrates a full transition from imported kit assembly to indigenous manufacturing.

Major private firms like Larsen & Toubro, Bharat Forge, and TATA Advanced Systems excel in missile systems, naval platforms, and the Advanced Towed Artillery Gun System. Solar Industries has successfully fielded Nagastra, India's first indigenous man-portable loitering munition.

Start-Ups like Raphe and Mphibr lead advanced UAV and propulsion developments tailored for the armed forces. Supporting this ecosystem, the Innovations for Defence Excellence (iDEX) initiative has engaged 676 innovators and signed 551 contracts since 2018, granting milestone-based funding while ensuring innovators retain their intellectual property.

Modern warfare relies less on large platforms and more on speed, low-cost precision strikes, electronic warfare, software-defined sensing, and artificial intelligence-assisted targeting. Autonomy and robotics offer vital solutions for high-altitude logistics, border surveillance, and maritime security.

Localisation safeguards against global supply chain disruptions, foreign dependence during conflicts, and long-term maintenance costs. Following global trends like Rheinmetall or Anduril, Indian private leaders and Start-Ups are filling critical strategic gaps.

The main obstacle facing emerging innovators is capital, as working-capital cycles extend from 12 to 24 months. Without intervention, promising ventures risk failing in the "valley of death" between prototype trials and commercial manufacturing.

Urgent solutions include reforming payment structures with advance disbursements, launching a dedicated working-capital credit guarantee scheme, adapting taxation frameworks for R&D-heavy sectors, and reserving a fixed share of national defence R&D funds for smaller firms.

The draft Defence Acquisition Procedure 2026 offers promising provisions, including dedicated chapters for iDEX and the Technology Development Fund, minimum pilot orders post-trial, and a five-year assured order framework. Effective execution of these measures will ensure India successfully scales innovation into enduring strategic autonomy.

Agencies

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India Developing SHIELD Program To Test Microwave Counter-Drone Capabilities

India is developing SHIELD, a sophisticated high-power microwave evaluation system designed to test how drones, sensors and communication systems respond to intense electromagnetic energy.

The Defence Research and Development Organisation is leading this effort to pinpoint which electronic components fail, malfunction or survive under microwave exposure.

This will help India harden its own systems and shape future directed-energy counter-drone capabilities against threats from China and Pakistan. Importantly, SHIELD is not a battlefield weapon yet; it is a test facility that will inform India’s future counter-drone warfare.

SHIELD stands for S-band High-Power Microwave Integrated Evaluation System for Lethality and Damage. It is being developed under DRDO’s Technology Development Fund scheme, with Indian industry partners invited to build the system.

Its purpose is to evaluate how high-power microwave radiation affects sensitive military electronics such as drones, sensors, radars, communication nodes and command links under controlled conditions.

The technology relies on indigenous Gallium Nitride solid-state power amplifiers, which offer high efficiency, compact size and superior thermal performance compared to silicon-based systems. The design is modular, scalable and drone-mountable, capable of pulsed-mode operation to simulate varied tactical scenarios.

The system matters greatly for India’s defence. By mapping failure modes such as temporary upset, system reset or permanent burnout, India can redesign or shield its own electronics to withstand microwave attacks.

Data from SHIELD will guide the design of future directed-energy weapons and non-kinetic counter-swarm systems tailored to regional threats. It also accelerates indigenous directed-energy and electronic-warfare technology, reducing reliance on foreign systems.

However, SHIELD remains an evaluation and testing infrastructure, not a deployable battlefield system. Its role is to generate empirical data needed to design, validate and harden future microwave-based counter-drone and electronic-warfare platforms.

Gallium Nitride amplifiers make SHIELD more powerful, compact and reliable. They deliver far higher output power and efficiency than older silicon or GaAs-based amplifiers, while handling heat better and operating across wider bandwidths. GaN can deliver roughly five to ten times the power density of GaAs and significantly more than silicon LDMOS, allowing SHIELD to generate intense microwave pulses from a smaller, lighter package.

GaN power amplifiers routinely exceed 70–80% power-added efficiency at microwave frequencies, meaning more DC power is converted to RF output and less wasted as heat. With high thermal conductivity, especially GaN-on-SiC substrates at around 390–490 W/m·K, GaN devices dissipate heat more effectively, sustaining high-power pulsed operation without rapid degradation.

GaN’s breakdown field is about ten times that of silicon, enabling higher operating voltages of 28–50 V and thus higher peak power in compact solid-state modules. GaN supports operation from S-band up to Ka-band and beyond, giving SHIELD flexibility to test different threat spectra and future directed-energy concepts.

Lower peak operating temperatures and robust material properties improve device lifetime under repeated high-power pulsing, which is critical for a test rig that must run many cycles. These advantages allow SHIELD to achieve required field strengths with fewer modules, lower power draw and better thermal margins, making the evaluation platform more scalable, mobile and suitable for field trials.

SHIELD is being developed by DRDO under its Technology Development Fund scheme, with the actual system to be built by Indian private industry partners including Start-Ups, MSMEs and defence firms selected through a Request for Proposal. DRDO is the lead agency, issuing the RFP and overseeing requirements, testing and integration.

The project is funded under the TDF, which is designed to push industry-led defence innovation from concept to engineered prototypes. Industry partners will design and deliver the GaN-based high-power microwave evaluation platform.

DRDO sets the technical specifications, validates performance and integrates SHIELD into its test infrastructure, while the selected industry partners develop the hardware, amplifiers and control systems. In short, DRDO is the program owner and technical authority, while Indian industry is the developer and builder.

IDN (With Agency Inputs)

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India Launches Bid For Indigenous Air-To-Air Refuelling Pod Development

DRDO has formally invited bids under its Technology Development Fund (TDF) for the creation of an indigenous Air-to-Air Refuelling Pod (AARP), a project that will allow India to reduce reliance on foreign suppliers and strengthen aerial refuelling capabilities.

The tender was published on 2 September 2026, with submissions open until 20 October 2026.

The Defence Research and Development Organisation has launched this initiative to design and manufacture a reliable refuelling pod system that can service multiple receiver aircraft in flight. The project is being pursued under the TDF framework, which encourages domestic industry and research organisations to participate in critical defence technology programs.

The proposed system will be modular in design. A standard tanker aircraft configuration will feature up to three pods, with two mounted on the wings and an optional third pod attached to the fuselage. Fuel will be drawn directly from the aircraft’s internal tanks, and the transfer process will be managed by a dedicated operator from a central control station inside the aircraft.

Technical specifications outlined in the tender indicate that the pods must operate effectively at altitudes ranging from 10,000 to 40,000 feet. The system is expected to deliver a fuel transfer rate of up to 2,000 US gallons per minute, which converts to approximately ₹63 lakh worth of aviation fuel per minute at current rates.

The pods will employ the hose-and-drogue method, ensuring compatibility with the Indian Air Force’s existing fleet, including the Russian-origin Ilyushin Il-78 MARS tankers.

Strategically, the indigenous development of these pods opens the possibility of converting heavy-lift transport aircraft such as the Boeing C-17 Globemaster, Lockheed Martin C-130J Super Hercules, or the eventual winner of the Medium Transport Aircraft competition into auxiliary mid-air refuelers.

This would allow the IAF to rapidly deploy makeshift tanker fleets during wartime, sustaining extended combat and deep-strike operations without waiting for dedicated refuelling aircraft.

The project also aligns with India’s broader push for self-reliance in defence technology. By developing this system domestically, India aims to eliminate dependence on foreign OEMs for sensitive aviation technology.

This initiative complements ongoing efforts by HAL and IAI to convert Boeing commercial aircraft into inflight refuelling platforms, but unlike those, the AARP project will be fully indigenous.

The bid submission process began on 2 September 2026 and will close on 20 October 2026. A pre-bid meeting is scheduled for 24 September 2026, giving interested companies an opportunity to clarify technical and procedural aspects before final submission.

This project is expected to significantly enhance India’s aerial refuelling capabilities, providing flexibility to the Air Force and ensuring that critical technology remains under national control.

It also represents a major opportunity for domestic defence manufacturers and Start-Ups to contribute to a high-value program that will have long-term strategic impact.

Agencies

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DRDO Launches SHIELD Program To Build S-Band High-Power Microwave Evaluation System

Defence Research and Development Organisation has issued a Request for Proposal for an advanced S-band High-Power Microwave Integrated Evaluation System for Lethality and Damage, codenamed SHIELD.

The project is being pursued under the Technology Development Fund scheme, which is designed to accelerate indigenous defence technology programs by supporting industry-led innovation.

The proposed system is modular and scalable, ensuring adaptability across a wide range of operational and testing environments. It will employ Gallium Nitride-based Solid State Power Amplifier technology, which is known for its efficiency, high power density, and resilience under demanding conditions.

The system is expected to achieve a peak electric field strength of at least 3 kV/m in the far field, a significant threshold for evaluating the vulnerability of electronic systems to high-power microwave radiation.

The SHIELD platform will operate in pulsed mode with flexible duty cycles, allowing researchers and defence technologists to simulate diverse electromagnetic attack scenarios.

Advanced thermal management solutions are being integrated to ensure sustained performance and reliability during extended operation, a critical requirement for high-power microwave systems.

The system is designed as a versatile evaluation platform to study and quantify the lethality and damage potential of S-band HPM radiation against electronic systems.

This includes testing the resilience of communication equipment, sensors, and control systems that may be exposed to directed-energy threats in battlefield conditions. By providing a structured evaluation framework, SHIELD will help establish benchmarks for survivability and countermeasure development.

A notable feature of the system is its drone-mountable capability. This opens up possibilities for airborne deployment, enabling flexible testing scenarios and operational demonstrations.

Drone-mounted HPM systems are increasingly being studied worldwide as potential solutions to counter drone swarms and electronic threats, offering mobility and rapid deployment advantages.

Globally, high-power microwave weapons are considered part of the directed-energy arsenal, alongside high-energy lasers. Countries such as the United States, China, Russia, and the United Kingdom have invested heavily in this domain, recognising its potential to disable adversary electronics without kinetic destruction.

India’s pursuit of SHIELD reflects a strategic push to build indigenous directed-energy capabilities under the Atmanirbhar Bharat vision.

The Technology Development Fund scheme has already supported several private defence firms and Start-Ups in developing niche technologies. By issuing this RFP, DRDO is signalling its intent to involve industry partners in building a critical evaluation infrastructure for directed-energy systems. 

This aligns with the broader defence modernisation program, which emphasises electronic warfare, non-kinetic weapons, and advanced counter-drone solutions.

The integration of GaN-based SSPA technology is particularly significant. Gallium Nitride devices offer superior efficiency compared to traditional silicon-based systems, enabling higher output power with reduced thermal stress. This makes them ideal for compact, scalable platforms such as SHIELD, which must balance high field strengths with operational practicality.

The SHIELD program is expected to contribute to India’s long-term roadmap for directed-energy weapons. By establishing a robust evaluation system, DRDO and its industry partners will be able to accelerate the transition from laboratory research to deployable systems.

This will also support the development of countermeasures, ensuring that India’s defence infrastructure remains resilient against emerging electromagnetic threats.

The issuance of this RFP marks a decisive step in India’s directed-energy journey. It reflects a growing recognition that future conflicts will not only be fought with missiles and guns but also with beams of energy capable of disabling adversary systems silently and efficiently.

SHIELD is poised to become a cornerstone in this evolving landscape.

Agencies

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Manastu Space Develops Green Propulsion System For 100–500Kg Satellites

Manastu Space has developed a green propulsion system tailored for satellites in the 100–500 kilogram class, designed to deliver higher Δv for orbit raising, station‑keeping, and de‑orbiting, while ensuring agile and safe manoeuvring.

This marks a significant step in India’s private space sector, offering a sustainable alternative to conventional toxic propellants.

The propulsion system is built around Manastu Space’s proprietary green fuel blend, MS289, which combines hydrogen peroxide with alcohol and additives. Unlike hydrazine, this formulation is non‑toxic and non‑carcinogenic, decomposing into steam and carbon dioxide. This ensures safer handling, reduced environmental impact, and compliance with increasingly strict global regulations on hazardous propellants.

The system is optimised for medium‑sized satellites, ranging from 100 to 500 kilograms, a segment that is rapidly growing due to the expansion of Earth observation, communication, and scientific missions. It provides higher Δv capability, enabling complex orbital manoeuvres such as orbit raising to operational altitudes, precise station‑keeping for long‑duration missions, and controlled de‑orbiting to mitigate space debris.

Equipped with advanced thrusters, the propulsion unit supports agile manoeuvring, collision avoidance, and formation flying. Its design incorporates a high‑temperature ceramic catalyst operating at around 1,400°C, which ensures rapid decomposition of hydrogen peroxide and efficient ignition of the alcohol fuel. This guarantees reliable thrust performance and repeatability across multiple mission phases.

The system’s modular architecture allows integration into diverse satellite buses, making it adaptable for both commercial and governmental missions. Its plug‑and‑play capability reduces integration time and cost, while its green propellant eliminates the need for complex safety protocols associated with toxic fuels. This makes it particularly attractive for operators seeking cost‑effective and sustainable solutions.

Manastu Space has already demonstrated its propulsion technologies in orbit through earlier systems such as VYOM 2U, which achieved TRL‑8 status after validation on ISRO’s PSLV‑C60 POEM‑4 platform. Building on this heritage, the new system extends capability to larger satellites, bridging the gap between CubeSat propulsion and heavier spacecraft requirements.

The propulsion system is positioned to support India’s growing satellite ecosystem, including upcoming constellations and scientific payloads.

By offering higher Δv and safe manoeuvring, it addresses critical challenges such as orbital congestion and debris mitigation. This aligns with India’s broader strategy of fostering private participation in space and building indigenous capabilities for sustainable space mobility.

Manastu Space’s portfolio also includes propulsion systems like Sharanga for CubeSats up to 50 kilograms, I‑Booster for satellites up to 500 kilograms, and GP‑LAM for launch vehicle upper stages. Together, these solutions form a comprehensive ecosystem of green propulsion technologies tailored to different mission scales.

With this new system, Manastu Space is expected to play a pivotal role in supporting both domestic and international satellite missions. Its achievement underscores India’s emergence as a hub for innovative and environmentally responsible space technologies.

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Parliament Panel Urges Defence Ministry To Fully Utilise Allocated Funds

DRDO-L&T Zorawar light tank firing NAG ATGM field trials at Mahajan Field Firing Range

The Parliamentary Standing Committee on Defence has commended the Defence Research and Development Organisation (DRDO) for its strides in deep-technology research, urging the Ministry of Defence to guarantee the complete utilisation of allocated budgetary funds.

Chaired by BJP MP Radha Mohan Singh, the committee expressed a favourable perspective on DRDO's initiatives in cutting-edge domains such as advanced materials, hypersonic technologies, unmanned aerial vehicles (UAVs), drones, directed energy weapons, lasers, and artificial intelligence.

DRDO has pinpointed key focus areas in deep technologies, encompassing artificial intelligence, cognitive technologies, quantum technologies, neuromorphic computing, military cyber technologies, and compound semiconductors, reflecting a strategic push towards future-oriented defence capabilities.

The Ministry of Defence has reassured the committee of sufficient budgetary backing for both the armed forces and DRDO, aligning with prior recommendations that essential funds be secured throughout the budgetary cycle.

In its latest 'action taken report' presented to Parliament last week, the committee reinforced calls for unwavering financial support to DRDO, ensuring seamless progression of high-impact projects.

For the current financial year, DRDO received a substantial allocation of ₹26,816 crore, underscoring the government's commitment to bolstering indigenous research and development in defence.

An extra grant of ₹500 crore, sanctioned by the Defence Minister, targets deep-tech and pioneering projects as distinct verticals under the Technology Development Fund (TDF), enhancing flexibility for innovative pursuits.

Notably, the funding ceiling for individual TDF projects has been elevated from ₹10 crore to ₹50 crore, enabling larger-scale endeavours in transformative technologies.

Over the preceding three years, the TDF scheme has greenlit 12 projects totalling ₹23.61 crore, concentrating on nascent fields like quantum computing, artificial intelligence, and robotics, fostering collaboration with private industry.

To bridge academia and defence needs, DRDO has instituted 15 DRDO Industry Academia Centres of Excellence (DIA-CoEs) at premier institutions including IITs, the Indian Institute of Science (IISc), and various central and state universities.

These centres drive directed research across 82 specialised verticals tailored to anticipated future defence requirements, promoting a synergy between theoretical innovation and practical application.

Although DIA-CoE projects may not yield immediate solutions for ongoing warfare scenarios, their outputs are poised to integrate into subsequent DRDO programmes, laying groundwork for long-term technological superiority.

To date, 285 projects valued at ₹1,037.48 crore have been approved as grants-in-aid through the DIA-CoEs, distributed nationwide to cultivate a robust ecosystem of defence research.

In the ongoing financial year, the TDF Directorate anticipates disbursing approximately ₹60 crore towards deep-technology initiatives, alongside intelligence, surveillance, and reconnaissance projects entrusted to Indian industries.

This focused expenditure highlights DRDO's intent to empower domestic firms in high-stakes areas, accelerating self-reliance under the Atmanirbhar Bharat framework in defence manufacturing.

The committee's endorsement arrives amid heightened geopolitical tensions, where rapid advancements in hypersonics, AI-driven systems, and quantum tech are pivotal for India's strategic deterrence.

By mandating full fund utilisation, the panel addresses perennial concerns over under-spending in defence R&D, which has historically hampered project timelines and innovation momentum.

DRDO's expanded TDF and DIA-CoE mechanisms signal a maturing approach to technology absorption, blending public funding with private and academic partnerships for scalable outcomes.

As India eyes next-generation warfare paradigms, these initiatives in directed energy weapons, neuromorphic computing, and cyber technologies position DRDO as a frontrunner in global defence innovation.

The report's tabling in Parliament not only validates DRDO's trajectory but also pressures the ministry to sustain fiscal discipline, ensuring every rupee translates into tangible defence multipliers.

Looking ahead, sustained funding and inter-institutional collaboration could propel India towards leadership in deep-tech defence, reducing import dependencies and enhancing operational readiness across services.

Agencies

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