K2 Space Looks to Reach Orbit with New $110 Million Series B

K2 Space, a California-based satellite manufacturer, has raised $110 million in a Series B funding round.

The round was co-led by Lightspeed Venture Partners and Altimeter Capital, with participation from existing investors Alpine Space Ventures and First Round Capital. This investment brings K2 Space’s total equity funding to $180 million.

K2 Space is developing large, high-capability satellites at the price point and speed of small satellites. Capital from the new round will be used to scale production, hire additional talent, and bring more components in-house.

Founded in 2022 by CEO Karan Kunjur and CTO Neel Kunjur, K2 Space has expanded its operations from 25 employees to 90 full-time employees in 2024. The Series B round follows the February 2025 opening of K2 Space’s new 180,000-square-foot factory near Los Angeles in Torrance, California.

K2 Space received a $60 million contract from the U.S. Space Force in December 2024 for its first mission, Gravitas, which is scheduled to launch in February 2026. This mission will demonstrate the satellite’s performance in medium-Earth orbit (MEO) while carrying both military and commercial payloads. The satellite will first enter low-Earth orbit before using electric propulsion to ascend to MEO.

“Advanced space capabilities can’t be built on small, low-powered platforms,” said Mr. Kunjur. “But higher capability satellites have been far too expensive for most proliferated applications. This is the gap K2 fills—making highly capable, powerful satellites available to a much broader market.”

“We are at the dawn of a Space Supercycle,” said Erik Kriessmann, a partner at Altimeter Capital. “Where new launch vehicles and reduced-cost reliable access to space are transforming the entire market. K2 Space is taking advantage of this paradigm shift by mass-manufacturing multi-mission satellites that deliver unprecedented capabilities and enable multi-orbit constellations.”

Altimeter Capital is a technology-focused investment firm that invests across the start-up spectrum. The firm was founded in 2008 and is based in Menlo Park, California.

Lightspeed Venture Partners, headquartered in Menlo Park, invests across enterprise, consumer, health, and fintech sectors. The firm has $25 billion in assets under management and has backed numerous successful companies across various industries since its founding in 2000.

Alpine Space Ventures, an industry insider-led venture capital firm, exclusively invests in early-stage companies within the space sector. Founded in 2019, the firm is headquartered in Munich, Germany.

First Round Capital, based in San Francisco, is a seed-stage venture firm focused on building and supporting companies at their earliest stages.