CIA-backed investor helped top German drones firm break into US
Sven Kruck told Reuters that US investors, including IQT, helped open doors in Washington and win work with the Central Intelligence Agency and the Federal Bureau of Investigation.
CIA-linked investor In-Q-Tel (IQT) played a crucial role in helping German drone manufacturer Quantum Systems establish a presence in the United States, according to co-CEO Sven Kruck. The comments, revealed for the first time, demonstrate how US capital and networks continue to influence Europe's emerging defense companies. Kruck explained that US investors, including IQT, aided Quantum Systems in gaining access to Washington and securing contracts with the Central Intelligence Agency and the Federal Bureau of Investigation.
This arrangement facilitated the company's entry into the US market, where it quickly gained credibility through a reconnaissance contract with US intelligence agencies. Quantum Systems, valued at around $8 billion, is now one of Europe's largest defense startups. Despite Germany's efforts to reduce dependence on Washington following President Trump's threats to abandon NATO, it remains challenging for European defense companies to build military capabilities without US capital and defense markets.
IQT, a venture capital firm established by intelligence officials, has invested in several companies, including German defense firm Stark. The firm's value lies in connecting companies with US defense buyers, and its investments, while typically small, aim to facilitate partnerships between European innovators and US defense buyers.
However, concerns remain about the growing influence of US intelligence agencies on European defense technology, particularly as Europe seeks to decrease its reliance on US military power.
Written by urgent.news from Jerusalem Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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