Optimized Electrotech Raises ₹35 Cr To Expand Into Space Imaging

Deeptech startup Optimized Electrotech has raised ₹35 Cr (about $3.7 Mn) in a funding round led by Exfinity Ventures, with participation from Blume Ventures, Mela Ventures and Venture Catalysts Group Angel Fund.

The startup plans to use the capital to foray into space-based sensing. It will deploy the funds for satellite development, expanding its infrastructure and growing its presence in defence and security applications.

The startup claims to have already secured initial orders for its satellite platform. It eventually aims to build a constellation of satellites that can offer continuous, real-time imaging and surveillance.

Founded in 2017 by Sandeep Shah and Dharin Shah, Optimized Electrotech builds electro-optic systems for the Indian Army and Navy, along with defence organisations such as Bharat Electronics Ltd and Bharat Dynamics Ltd. It also works with ISRO.

The startup has developed four patents and has secured multiple wins under the government’s iDEX programme.

Cofounder Sandeep Shah said in a statement that the funding will help the startup scale its technology across both defence and space. He added that India’s next phase of strategic capability will depend on building systems that work across land and space.

The latest funding builds on last year’s $6 Mn (about ₹51.6 Cr) Series A round led by Blume Ventures and Mela Ventures, which also saw participation from Venture Catalysts, 100Unicorns and others.

At the time, the startup said it would invest in AI-powered imaging payloads, high-speed space surveillance systems and overseas expansion. It also planned to set up a dedicated subsidiary for its spacetech business and raise additional capital from semiconductor players.

Optimized Electrotech competes with the likes of Tonbo Imaging, Tata Advanced Systems, among others, in the imaging and surveillance segment.

On the financial front, the startup’s revenue declined to about ₹3 Cr in FY25 from ₹4.4 Cr in FY24, while its loss widened to around ₹8 Cr from ₹5.7Cr in FY24.

The fundraise comes at a time when India’s deeptech sector is seeing growing investor and government interest. In 2025, the segment raised an all-time high amount of $530 Mn across 87 deals, as policymakers push startups to focus on areas such as semiconductors, robotics and defence technologies.

The capital inflow was driven by AI-first, spacetech, and defence-linked startups, constituting roughly 4.5% of the total $11 Bn raised by the Indian tech startup ecosystem in 2025.

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