K2 Space secures $110M Series B funding and achieves first in-space demonstration

Los Angeles CA (SPX) Feb 16, 2025
K2 Space has announced the successful completion of a $110 million Series B funding round aimed at scaling up production of its advanced, high-power satellite platform. The investment, co-led by Lightspeed Venture Partners and Altimeter Capital, also included participation from existing stakeholders such as Alpine Space Ventures and First Round Capital. This achievement coincides with the company's expansion into a new 180,000-square-foot manufacturing facility in Torrance, California, and the success of its inaugural in-space demonstration, which tested key in-house-developed components. To date, K2 Space has raised $180 million in equity and secured over $50 million in contracts from government and commercial entities.

K2 Space is reshaping the economics of satellite technology with its innovative platform that balances high performance and cost-effectiveness, enabling greater proliferation across various orbital regimes. The demand for robust, high-throughput space systems is growing, and K2 Space's solution addresses a long-standing industry challenge by eliminating the trade-off between affordability and capability. The newly acquired funding will be used to accelerate production, recruit additional personnel, and integrate more manufacturing processes in-house.

"Advanced space capabilities can't be built on small, low-powered platforms," said Karan Kunjur, CEO of K2 Space. "Historically, high-performance satellites have been prohibitively expensive for broad deployment. K2 is bridging that gap by providing powerful yet cost-effective satellites, which are designed to operate in higher orbits, reducing the need for extensive constellations and multiple launches."

K2 Space has also secured a government contract for its upcoming mission, "Gravitas," which will test the satellite platform's resilience in the high-radiation environment of medium-Earth orbit (MEO). This mission will feature an unprecedented low-Earth orbit (LEO) to MEO electric propulsion orbit raise. By leveraging its high-power capabilities and flexible payload accommodations, Gravitas will support both national security and commercial payloads, demonstrating the platform's adaptability for critical missions and broader space applications.

"We are at the dawn of a Space Supercycle," said Erik Kriessmann, Partner at Altimeter Capital. "With advancements in launch technology and reduced costs for space access, the industry is undergoing a fundamental shift. K2 Space is capitalizing on this transformation by mass-producing multi-mission satellites that enable multi-orbit constellations and unparalleled capabilities." Connor Love, Partner at Lightspeed Venture Partners, added, "As space operations evolve, satellite manufacturers must keep pace with increasing demands, and K2 Space is leading this charge."

Entering 2025, K2 Space is building on a highly successful 2024, which saw significant expansion and technical achievements. The company grew its workforce from 25 to 90 employees and completed a full operational validation of all hardware deployed in its first in-space mission. The successful activation of components such as the flight computer, microcontroller core board, motor controller, and reaction wheel has significantly mitigated technical risks ahead of the Gravitas mission.

"We've seen tremendous interest from both commercial and national security sectors," Kunjur continued. "Our platform is uniquely positioned to support a wide range of applications, and as we've demonstrated its capabilities and cost-effectiveness, customer enthusiasm has only grown. The Series B investment is a strong vote of confidence from our backers and will allow us to rapidly address a critical gap in the market."