California-based Skylark Labs, a physical AI startup with major operations in India, is in talks to raise $100 million to $150 million in a new funding round that could value the company at more than $1 billion, potentially making it one of the latest AI unicorns. The company develops self-learning AI systems for edge devices, robots, drones, and autonomous vehicles, with a strong focus on defence, border security, and public safety applications. According to founder and CEO Dr. Amarjot Singh, around 70% of the planned funding has already been committed, with the round expected to close in the United States.
The fundraising comes as investor interest shifts from generative AI software toward physical AI—the convergence of artificial intelligence and robotics that enables machines to perceive, learn, and act in the physical world. If completed, the round would mark a sharp jump in Skylark Labs’ valuation from $250 million during its $6 million funding round in April 2026 to over $1 billion within months.
Skylark Labs Eyes Unicorn Status
The company is reportedly raising fresh capital from a group of global investors as it scales its AI-powered robotics platform.
Funding Overview
| Particulars | Details |
|---|---|
| Company | Skylark Labs |
| Funding sought | $100–150 million |
| Target valuation | More than $1 billion |
| Previous valuation | $250 million (April 2026) |
| Previous funding | $6 million |
| Funding progress | Around 70% committed |
Potential investors are expected to include Bommie Capital, Riceberg, Symphony Ventures, and Cushman & Wakefield, according to the company.
Building AI for Robots, Drones and Defence
Founded in 2021, Skylark Labs develops self-learning AI models designed to run directly on edge devices, allowing robots and autonomous systems to operate without relying heavily on cloud computing.
Its AI technology powers:
- Autonomous robots.
- Military drones.
- Border surveillance systems.
- Public safety applications.
- Autonomous vehicles.
Unlike conventional AI systems that often require large amounts of training data and cloud connectivity, Skylark focuses on AI models capable of learning efficiently while operating in real-world environments.
Core Technology
| Capability | Application |
|---|---|
| Self-learning AI | Autonomous decision-making |
| Edge AI | On-device processing |
| Physical AI | Robots and autonomous systems |
| Computer vision | Surveillance and security |
Defence Is a Key Growth Driver
Skylark Labs has established a strong presence in the defence sector.
In India, the company has worked with:
- Indian Army.
- Indian Navy.
- Indian Air Force.
- Border Security Force (BSF).
- Indian Coast Guard.
- Drone manufacturer ideaForge.
Internationally, its customers include the US Air Force, US Navy, Pepsi, and Mercedes-Benz, highlighting the versatility of its AI platform beyond defence applications.
AI That Learns in Minutes
According to founder Amarjot Singh, one of Skylark Labs’ biggest differentiators is the speed at which its AI models can learn new physical tasks.
The company claims its humanoid robots can be trained for mission-critical defence operations—including handling and firing weapons—in around 15 minutes, compared with several months required by many conventional robotics systems.
Future development plans include expanding robot capabilities to:
- Mine detection.
- Operation of additional defence equipment.
- Advanced autonomous missions.
- Enhanced battlefield support systems.
Capital to Accelerate Global Expansion
The fresh funding will primarily be used to:
- Expand engineering and AI research teams.
- Scale global operations.
- Advance autonomous defence technologies.
- Increase sales and commercial deployment.
The company currently employs around 50 people in Pune and plans to hire another 100 employees, covering data collection, AI model training, product engineering, and business development.
Planned Use of Funds
| Investment Area | Objective |
|---|---|
| Hiring | Expand AI and engineering teams |
| Product development | Enhance autonomous defence systems |
| Global expansion | Increase international presence |
| Sales | Grow enterprise and government business |
Riding the Physical AI Investment Wave
Investor interest in physical AI has accelerated rapidly as advances in robotics, autonomous systems, and edge computing create new commercial opportunities.
Unlike generative AI, which focuses on creating digital content, physical AI enables machines to interact intelligently with the real world. This has attracted significant investment across defence, manufacturing, logistics, and industrial automation.
For Skylark Labs, the funding round reflects growing confidence in startups developing AI systems that combine perception, reasoning, and autonomous action for mission-critical environments.
Looking Ahead
Skylark Labs’ planned $100–150 million funding round could propel the company into the unicorn club, underscoring the growing investor appetite for physical AI startups. With expertise in edge AI, robotics, and autonomous defence technologies, the company is positioning itself at the intersection of artificial intelligence and real-world automation. If the round closes as planned, the fresh capital will help accelerate product development, expand its workforce, and strengthen its global presence in defence and enterprise markets.
Looking ahead, the company’s progress will serve as a key indicator of how quickly physical AI can transition from niche defence applications to broader commercial adoption. As governments and industries invest more heavily in autonomous systems, startups like Skylark Labs are likely to play an increasingly important role in shaping the next generation of intelligent machines.
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