EtherealX Nears $21M Funding Boost as Indian Space Startup Challenges Global Launch Market

The Indian space technology firm Ethereal Exploration Guild, known as EtherealX, is finalizing a major funding round. The startup is set to raise approximately $21 million from prominent global investors. This move accelerates its plan to build a reusable rocket and compete internationally.

The investment signals strong confidence in India’s private space sector. According to TechCrunch, the round was oversubscribed, growing from an initial $15 million target. It highlights the commercial demand for new, cost-effective launch providers.

Investor Confidence Backs Ambitious Reusable Rocket Design

The Series A round is co-led by TDK Ventures and Vietnam’s BIG Capital. Venture giant Accel is also a key participant. This funding follows a $5 million seed round the company secured in August 2024.

Investor interest is fueled by solid commercial traction. Sources indicate EtherealX has already secured contracts worth $130 million from six customers. This backlog demonstrates clear market need for its planned launch services.

The startup is developing the Razor Crest Mk-1, a fully reusable medium-lift vehicle. It aims to carry up to eight tonnes to low Earth orbit. A first launch is targeted for early 2027.

Positioning India as a Key Player in the Global Space Economy

EtherealX promises significant cost savings for satellite operators. Founder Manu J. Nair told TechCrunch last year that prices could range from $350 to $2,000 per kilogram. This undercuts current market rates, potentially capturing a large market share.

The company is building infrastructure to support its goals. It has secured 16 acres of land in Tamil Nadu for its operations. Key engine components, like the upper-stage turbopump, are already in development.

This growth aligns with India’s national space ambitions. The country aims to capture 8-10% of the global space economy within a decade. Private startups like EtherealX are central to this $40 billion-plus strategy.

The successful fundraise positions EtherealX as a serious contender in the global launch vehicle arena. This Indian space startup funding milestone underscores a shifting landscape where new entrants can challenge established players on cost and innovation.

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What is EtherealX building?

EtherealX is developing the Razor Crest Mk-1, a fully reusable medium-lift launch vehicle. It is designed to carry payloads of up to eight tonnes to orbit. The first launch is planned for early 2027.

Who is leading this funding round?

The funding is co-led by TDK Ventures and BIG Capital. Accel is also participating as a major investor in the round. The total is expected to reach approximately $21 million.

Does EtherealX have any customers yet?

Yes, the startup has reportedly secured $130 million in launch contracts. These contracts come from six different customers. This provides a strong commercial foundation for its development.

How does its cost compare to SpaceX?

EtherealX aims to offer launches between $350 and $2,000 per kilogram. SpaceX’s Falcon 9 typically charges between $1,600 and $2,000 per kilogram. This represents a potential significant cost reduction for clients.

Why is India’s space sector attracting investment?

India offers geographic and regulatory advantages for satellite launches. The country’s government is actively supporting private space industry growth. Global investors see it as a complementary market to the U.S. and Europe.