The Ministry of Defence (MoD) has signed a deal with Bengaluru-based aerospace startup NewSpace India Limited to create a High Altitude Pseudo-Satellite (HAPS). On February 10, the two parties inked a contract. HAPS is an autonomous aircraft that can operate at altitudes of more than 65,000 feet and stay in the air for months at a stretch, allowing it to undergo surveillance operations.

The HAPS is capable of flying at higher altitudes, making them undetectable to traditional air defense systems. They also use solar energy to power themselves, allowing them to stay in the air for months on end. The Bengaluru-based startup will play an important role in the development of a primary prototype for testing, which will be examined within the next four years as part of the deal. With seed funding from the Ministry of Defence, the company will lead the first phase of development.
The project is part of the MoD’s Innovations for Defence Excellence (iDEX) program. The initiative, which is backed by the Indian Army, would also include Hindustan Aeronautics Limited (HAL) as the principal prototype development partner. The overall projected cost of the project is more than Rs 700 crore. Following that, the HAPS will be a part of HAL’s Combat Air Teaming System, which aims to connect manned airborne systems with the high altitude surveillance network.
According to ET, Defence Secretary Ajay Kumar stated, “Major UAV-related tech development was initiated under iDEX for HAPS. HAPS UAV will fly in the stratosphere for months. It will be a huge step towards cutting edge aerospace development by startups.”
According to a report, imports fulfill almost 70 percent of the country’s defense needs. The government has proposed a bunch of schemes to encourage domestic companies in an effort to uphold foreign exchange and boost the local defense sector.
Domestic defense procurement received up to 68 percent of the defense services capital acquisition budget in this year’s Union Budget which was announced on February 1. Furthermore, the Centre prioritized the procurement of capital equipment from local sources under the Defence Acquisition Procedure 2020. This is aligned with the Centre’s goal of making India the “defense hub of the world,” with a $25.5 billion turnover in military equipment and services by 2025.
The domestic defense and aerospace manufacturing segment is expected to reach Rs 1 trillion in 2022, according to the government. According to another report, the same industry will be worth $70 billion by 2030.