Bengaluru-based autonomous drone startup Airbound raised a $37M Series A led by Greenoaks, less than a year after an $8.65M seed, taking total funding to ~$50M (Jagmeet Singh/TechCrunch)

Bengaluru-based aerospace startup Airbound has secured $37 million in Series A funding led by Greenoaks, with participation from prominent investors such as DoorDash, Lachy Groom, Lightspeed, and Humba Ventures. This brings the company's total capital raised since its 2023 launch to nearly $50 million, including a $8.65 million seed round in October. The funds will be allocated to expedite engineering, commence commercial-scale manufacturing, and bolster go-to-market strategies.

The company's aircraft, already completing over 1,000 autonomous flights with Narayana Health, have significantly reduced delivery times for diagnostic samples between healthcare facilities from hours to mere minutes. Airbound argues that traditional aircraft are inefficient for small payloads due to weight allocation, and their blended wing body tailsitter design aims to maximize the payload weight in flight.

The current commercial test in Andhra Pradesh is part of their ambition to build a drone delivery network connecting three cities, with plans to scale to 10,000 flights per day across various sectors.

CEO Naman Pushp emphasized the high delivery bar in India, aiming for a 10-minute doorstep delivery at low costs. He expressed the company's long-term vision, projecting that a 300-kilometre journey could be completed in 20 minutes. The funding occurs as drone logistics transition from pilot projects to larger commercial networks.

The regulatory environment in India has also evolved, with the Drone Rules 2021 reducing approval requirements and paving the way for digital regulation and drone corridors for cargo deliveries. The GST rate on drones was also reduced to 5% in September. While the opportunity appears promising in India, similar drone delivery trials have also been conducted in the US and other countries.