European Drone Startup Stark's Virtus Munitions Miss All Targets in Military Trials

Berlin, Germany – STARK, a European defense technology company specializing in unmanned systems, faced scrutiny in October 2025 after its flagship Virtus loitering munitions reportedly failed to hit any targets during military trials with British and German armed forces. The German startup, founded in 2024, develops AI-enabled strike drones and has rapidly grown to a valuation of $500 million.

Reports from the Financial Times indicated that Stark Defence's Virtus drones, marketed as autonomous strike drones, failed in all four attempts during live demonstrations. One drone reportedly crashed after losing control, while another's battery caught fire upon impact during exercises in Kenya and near Munster, Germany. This performance has raised questions about the technological readiness of venture-backed defense solutions.

In response, a company spokesperson clarified that the exercises were experimental, emphasizing that "the system deployed in Ukraine is based on a different concept of operation." Stark stated that its philosophy relies on "disciplined experimentation and rapid iteration," with a source noting that "more than a dozen missions were successfully flown in Kenya." The company maintains that such failures are a normal part of the development process.

STARK has attracted significant investment, raising $62 million in August 2025 in a round led by Sequoia Capital, bringing its total funding to $100 million. Prominent investors, including Peter Thiel's Thiel Capital, the NATO Innovation Fund, and In-Q-Tel, have backed the company. The Virtus drone is designed for vertical takeoff and landing, carrying a 5 kg warhead with a range of up to 100 kilometers.

Despite the trial setbacks, Germany plans to award contracts worth up to €900 million for kamikaze drones to STARK, Helsing, and Rheinmetall. This decision comes as European nations accelerate defense modernization efforts, particularly in unmanned aerial systems. The incident highlights ongoing debates within defense and technology circles regarding the balance between rapid innovation and rigorous battlefield validation for emerging military technologies.