4 minute read•Updated 9:40 AM EDT, Wed April 9, 2025
Aetherflux has raised $50 million in Series A funding, marking a significant step forward for a company that aims to change how energy is harvested in orbit and delivered to Earth.
The funding round was led by Index Ventures and Interlagos, with additional participation from major names including Breakthrough Energy Ventures, Andreessen Horowitz, and NEA. The capital will accelerate the company’s development and help fund a first demonstration mission slated for 2026.
Founded by Baiju Bhatt, co-founder and former co-CEO of Robinhood, Aetherflux is taking a radically different approach to a concept that has intrigued scientists and engineers for over 50 years: generating solar power in space and beaming it down to Earth. But unlike traditional concepts involving massive geostationary satellites and microwave transmission, Aetherflux envisions a scalable constellation of laser-equipped satellites operating in low Earth orbit (LEO).
Bhatt initially self-funded the venture with $10 million, a strong show of confidence in the technology and its potential.
With the fresh injection of capital, Aetherflux plans to accelerate hardware development and system testing. While the company has already demonstrated laser-based power transmission in the lab, it says the new funding will allow it “to move even faster,” though it has not disclosed specific milestones.
A Pragmatic Approach to an Old Dream
The idea of beaming solar power from space has long been seen as both visionary and fraught with technical and regulatory hurdles.
Earlier designs proposed kilometer-scale platforms stationed in geostationary orbit, collecting sunlight 24/7 and transmitting it to Earth via microwave beams. These megastructures, however, posed enormous cost, engineering, and deployment challenges.
Aetherflux’s laser-based LEO constellation represents a more modular, iterative approach. Smaller satellites can be launched and tested incrementally, reducing risk and enabling rapid technological evolution — a philosophy that aligns closely with the modern startup mindset.
A Defense-Focused First Market
While the long-term vision includes powering grid infrastructure on Earth, Aetherflux has identified the defense sector as an early-use case, particularly for providing power to remote or forward-deployed military bases. This echoes a 2007 report by the now-defunct National Security Space Office, which explored the potential of space-based solar power for national security but saw little implementation.
Aetherflux has already secured government support through the Department of Defense’s Operational Energy Capability Improvement Fund (OECIF). Though the amount remains undisclosed, the company confirmed the funding would support a proof-of-concept demonstration of power transmission from low Earth orbit.
According to the OECIF website, Aetherflux’s project is one of 45 approved for funding, though exact figures and program-wide budgets have not been published.
Investor Confidence in a Complex Vision
Even with backing from top venture capitalists, Aetherflux’s mission remains a high-risk, high-reward undertaking.
“On the surface, the business he described seemed wildly complex, launching satellites with solar panels into orbit and wirelessly transmitting power around the globe, to say nothing of the regulatory and compliance challenges...This is a big bet, but it’s the kind of bet we like, on a founder we know and trust, tackling a problem that matters, with a plan grounded in reality. The future of energy is in space.” - Jan Hammer, Index Ventures
Looking Ahead
With funding secured and lab demonstrations already achieved, all eyes will now be on Aetherflux’s 2026 demonstration mission, which will offer the first real test of its novel space-to-Earth laser transmission system.
If successful, the company could open the door to a new era of clean, uninterrupted power beamed directly from space, a science fiction dream made plausible through a startup’s scrappy pragmatism and a founder’s relentless belief.
