Lockheed Martin Ventures invests in rocket propulsion startup Venus Aerospace

WASHINGTON — Rocket propulsion startup Venus Aerospace announced Oct. 22 that Lockheed Martin Ventures has taken a strategic stake in the company.

The deal comes as major Pentagon contractors, including Lockheed Martin, intensify efforts to accelerate hypersonic missile development amid growing competition from China and Russia, which have deployed operational hypersonic systems capable of evading U.S. missile defenses.

Venus Aerospace, based in Houston, Texas, has developed a rotating detonation rocket engine (RDRE) — a propulsion system that uses a continuously rotating detonation shockwave to generate thrust, promising more efficiency than conventional rocket engines. The company completed the first U.S. flight test of a 2,000-pound-thrust RDRE in May, launching the engine on a small rocket at Spaceport America in New Mexico.

This engine could be used to replace solid rocket motors to power munitions and rockets, Sassie Duggleby, co-founder and chief executive of Venus Aerospace, said at Axios “Future of Defense” conference. 

The amount of Lockheed Martin Ventures’ investment was not disclosed. Duggleby said the funding will “advance our capabilities to deliver at scale and deploy the engine.” 

Venus describes the technology as dual-use, with potential applications across defense, space and commercial aviation.

Duggleby said RDRE engine technology has been around for decades but it’s finally now being proven.  She said the May flight validated the engine under real-world conditions. “Now our near-term milestones are focused on scaling engine production for defense and space customers, and we are experiencing strong demand signals for multiple applications,” she said in a statement to SpaceNews.

Lockheed Martin Ventures, the venture capital arm of the world’s largest defense contractor, said the investment reflects its confidence that next-generation propulsion will be a key determinant of future national power.

“Lockheed Martin has long believed in supporting transformational technologies at their earliest stage,” said Chris Moran, executive director and general manager of Lockheed Martin Ventures. “Our investment in Venus Aerospace reflects a conviction that next-generation propulsion will define which nations lead in space and defense for decades to come. We are committed to helping Venus scale this technology and integrate it into critical systems.”

Founded in 2020, Venus Aerospace has raised more than $106 million in private funding to date. In April, it was among five companies selected by the Texas Space Commission for state support, receiving $3.9 million to build a rocket engine test facility in Houston.

Duggleby said Venus is the only company “with a flight-proven rotating detonation rocket engine and a clear path to production.”

“In the near term, there is clear demand from across the defense ecosystem for Venus engines to power a wide range of munitions and drones,” she added. For space applications, the RDRE has “disruptive potential for almost every application, from space launch to orbital transfer vehicles to landers.”