Germany is intensifying its investment in futuristic warfare technologies, including surveillance cockroaches and AI-powered robots, as part of a sweeping rearmament plan, Reuters reported. The EU’s largest economy has accelerated investment in defense tech startups, reflecting its commitment to expanding its military capabilities amid escalating tensions with Russia.
Chancellor Friedrich Merz has announced plans to increase Germany’s overall military budget to €153 billion by 2029, a significant leap from the current €86 billion. This increase is intended to bolster Germany’s military readiness and counter what Merz describes as direct threats from Russia. Under a new NATO framework, the government aims to allocate 3.5% of GDP to defense, signaling a long-term strategic shift in national priorities.
Russian President Vladimir Putin has dismissed Western concerns about Russian aggression as ‘nonsense,’ accusing NATO of using fear to justify increased military spending. This rhetoric underscores the growing geopolitical divide between Russia and its NATO counterparts, with Moscow warning that Germany’s military expansion could lead to a new armed conflict decades after World War II.
According to Reuters sources, Merz’s government views AI and start-up technology as integral to its rearmament efforts. The administration has approved a draft procurement law to streamline the process for defense tech startups, enabling them to rapidly develop and deploy innovations such as tank-like robots and unmanned mini-submarines. This move also reflects the government’s recognition of the role that private sector innovation can play in modernizing its armed forces.
Key players in Germany’s military innovation include startups like Munich-based Helsing, specializing in AI and drone technology, and established defense contractors such as Rheinmetall and Hensoldt. These companies are at the forefront of Germany’s military modernization, with Helsing’s AI-driven systems and Rheinmetall’s advanced weaponry playing critical roles in the nation’s defense strategy.
Critics of the German government’s policies argue that the surge in military spending could strain the national budget, particularly given the challenges posed by rising energy costs, the aftermath of sanctions on Russia, and trade tensions with the United States. They warn that diverting resources to defense may weaken Germany’s industrial base, which is already under pressure from economic uncertainties.
Germany has been the second-largest arms supplier to Ukraine since the conflict escalated in February 2022, surpassed only by the United States. Russia has consistently condemned Western weapons deliveries, claiming they prolong the conflict and increase the risk of escalation. Moscow has issued warnings that Berlin’s military expansion could destabilize the region and potentially lead to a new armed confrontation with Russia.