Photo via Daniel Ek Facebook Page
Daniel Ek, CEO of Spotify, has been named chairman of European defence tech startup Helsing, following a €600 million (approx. $693 million) investment round led by Prima Materia, the venture capital firm he co-founded with Shakil Khan, an early Spotify investor. The deal marks one of the largest defence-tech investments in Europe to date and cements Ek’s deepening entanglement with AI-driven military technology.
Founded in 2021, Helsing builds software that leverages artificial intelligence to process vast amounts of battlefield sensor and weapons system data in real time, aiming to sharpen military decision-making. In 2023, the company expanded into hardware, launching its own line of military drones under the name HX-2. The firm operates across Germany, France, and the U.K., and plans to use the fresh capital to bolster Europe’s “technological sovereignty,” a push to localise the development of critical technologies like AI amidst escalating global conflict.
Alongside Prima Materia, the round included existing backers Lightspeed Venture Partners, Accel, Plural, General Catalyst, and Saab, as well as new investors BDT & MSD Partners. Helsing’s valuation wasn’t disclosed, but it was last estimated at €5 billion during a €450 million raise in 2023 led by General Catalyst. The new funding is still subject to regulatory approvals.
This investment comes amid a surge in interest in military and dual-use technologies, especially in the wake of intensifying conflicts such as the Russia-Ukraine war and the recent escalation between Israel and Iran. In 2024, European defence, security, and resilience startups attracted a record $5.2 billion in VC funding, up 30% over two years, according to the NATO Innovation Fund – even as broader venture markets shrank by nearly half.
In a statement this week, Ek framed the move as a strategic imperative: “As Europe rapidly strengthens its defence capabilities in response to evolving geopolitical challenges, there is an urgent need for investments in advanced technologies that ensure its strategic autonomy and security readiness.”
But for many in the music and creative industries, Ek’s dual identity as tech mogul and AI weapons funder feels increasingly uneasy. Critics observe that while Ek has been reluctant (or unable) to significantly improve compensation for human creatives on Spotify, he is simultaneously spending vast resources to develop systems that automate and weaponise AI, revealing a deeper prioritisation of technology and profit over human creativity and well-being.
With Spotify’s royalty system long under fire, Ek’s growing involvement in military ventures has reignited debates around the ethics of tech wealth, cultural value, and the boundaries of innovation.
