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He worked 100-hour weeks to save a nearly bankrupt boat company. At 83, he’s just turned down $400 million for it—and gave it all to charity instead

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FinanceDefense

An ex-Apple engineer says his new defense startup leans heavily on a key Silicon Valley strategy: ‘Look at the speed that Tesla moved’

By
Dave Smith
Dave Smith
Former Editor, U.S. News
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By
Dave Smith
Dave Smith
Former Editor, U.S. News
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July 30, 2025, 10:49 AM ET
Dimitrios Kottas
Dimitrios Kottas, cofounder and CEO of Delian Alliance IndustriesCourtesy Delian Alliance Industries
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  • Delian Alliance Industries, founded by former Apple engineer Dimitrios Kottas, announced Tuesday it’s raised $14 million in Series A funding to accelerate production of its affordable and autonomous defense systems. Kottas, who spent five years working in Apple’s secretive robotics lab, said he applied many learnings from his time in Silicon Valley to his four-year-old defense startup.

Dimitrios Kottas spent years at Apple working in its secretive “Special Projects Group” (SPG), working on autonomous systems for robots—and, for many years, was the team most closely associated with Project Titan, Apple’s since-canceled car project. But a few months after leaving Apple in 2021, he began work on Delian Alliance Industries, a defense startup designed “to protect Europe and its allies.”

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On Tuesday, Kottas wrote a blog post announcing Delian had raised $14 million in a Series A funding round, led by Air Street Capital and Marathon Venture Capital, to “accelerate the production” of affordable and autonomous systems that “defend against invasion and incursion at nation scale.”

“We started Delian with a pilot of a single surveillance tower, but after just a few years we are now pursuing multiple nationwide deployments for our autonomous surveillance networks,” Kottas told Fortune. “Beyond this, we’re also helping allies to strike threats, as well as sense them. Our product lineup ranges from autonomous detection to autonomous one way effectors”

Rather than partnering with other defense companies and startups, Delian is borrowing a page from Apple, as well as Tesla, in that it’s choosing vertical integration as its key strategy around production. It makes its own hardware—targeting systems, surveillance towers, drones, and more— as well as the software and systems, which are all “designed to be low cost, deployed in mass, and sovereign,” according to the company’s website. 

“Why do we pursue vertical integration? Speed,” Kottas told Fortune. “Look at the speed that Tesla moved versus its European competitors who sub-contracted out everything to hundreds of different suppliers. By bringing everything under one roof we can move at the speed we need to equip our allies in the face of a rapidly changing geopolitical landscape.”

Kottas, who graduated from the University of Minnesota after years of studying computer science and researching machine learning, said Silicon Valley also taught him about the importance of embracing “moonshot” projects, which are ambitious ideas that may result in revolutionary, rather than evolutionary, change. Some of its prototypes reflect this concept, including explosive-laden high-speed boats that launch out of concealed locations to deter attacks by air or by sea. (Kottas told The Financial Times Delian is focused on “the maritime domain,” as airborne drones are a “very saturated market.”)

“Our adversaries are arming themselves with emerging technologies at a rapid industrial scale,” Kottas wrote in a company blog post. “We’re in a race against time and should measure deployments in days, not decades. We’ve proven our systems in mission critical environments and will now ramp up production internationally.”

Delian, which has offices in Athens and London, says it’s built to integrate with “Europe’s evolving defense priorities.” The EU is having a defense boom right now: Ever since President Trump signaled that Europe is no longer a security priority for the U.S., several EU countries have accelerated their own investments as they attempt to reduce their dependency on U.S. support.

At the NATO summit in June, all 32 member countries committed to raising security-related spending to 5% of GDP by 2035; separately, 18 EU countries have applied for billions of euros from The Security Action for Europe (SAFE) fund, which is a new $173 billion defense program aimed at providing cheap loans for member countries so they can buy military equipment together. As you might imagine, defense companies and startups like Delian are reaping the benefits of these policy shifts.

About the Author
By Dave SmithFormer Editor, U.S. News

Dave Smith is a writer and editor who also has been published in Business Insider, Newsweek, ABC News, and USA Today.

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