Satellite-constellation developer Muon Space has raised $250 million in a Series C funding round as it looks to expand manufacturing capacity amid rising demand for space-based infrastructure.
The company was valued at $1.5 billion in the round, a source familiar with the matter said.
The Series C was led by Eclipse Capital, with participation from Alphabet's (GOOGL.O) Google, Salesforce Ventures and Wellington Management, bringing Muon's total equity funding to more than $386 million.
Satellite demand has risen as governments and businesses seek Earth observation data, secure communications and orbital computing, prompting companies to build larger constellations at a faster pace.
Funding has also surged since Elon Musk-led SpaceX's (SPCX.O) IPO in June drew more investor attention to the sector.
Muon launched seven satellites in the first half of 2026, bringing its total to 11 deployed across six launches, with what the company says is a 100% mission success record.
"More of our existing backlog is commercial than government today, but obviously government is growing very quickly," CEO Jonny Dyer told Reuters, adding that he expects U.S. government and commercial business to be "about half and half" within the next couple of years.
Muon recently opened a manufacturing facility in San Jose designed to produce up to 500 satellites annually by 2027, as it works through a backlog of more than 50 satellites in development for customers.
Dyer said Muon has launch contracts through 2029, covering existing and planned missions for the next year or two, and is pursuing dedicated capacity with providers beyond SpaceX to reduce reliance on its rideshare program.
Much of the new capital will go toward scaling the workforce and building out infrastructure at the new factory, he added.
The startup is weighing a public listing as early as next year, but Dyer said an IPO in 2027 is unlikely because the company needs greater revenue visibility before going public.
