In a remarkable turn of events, London-based AI start-up PhysicsX has secured $135 million in funding, bringing its valuation close to $1 billion. This surge in interest highlights a broader trend in the defence technology sector, where geopolitical tensions are driving nations to ramp up military spending and innovation. Founded by former Formula 1 engineers, PhysicsX is leveraging AI to enhance product design in critical industries such as manufacturing and defence, including components for engines and drones.

In a groundbreaking move for the AI landscape, Matthias Niessner, a leading researcher from the Technical University of Munich, has launched a startup named SpAItial, raising an impressive $13 million in seed funding. This funding round, led by Earlybird Venture Capital, signals a significant investment in the future of AI-driven 3D environments—an area that has yet to see the same level of innovation as 2D image generation models like OpenAI’s DALL-E or Stable Diffusion.