A consortium of NATO allies has confirmed the first group of companies funded as part of the alliance's €1 billion ($1.1 billion) innovation fund.

The alliance introduced the fund in the summer of 2022, months after the Russian invasion of Ukraine, promising to invest in technologies that would bolster its defense capabilities. The fund is supported by 24 of NATO's 32 member states, including Finland and Sweden, which joined the alliance earlier this year.

On Tuesday, the NATO Innovation Fund (NIF) confirmed it had directly invested in four European technology companies, which it said would help address challenges in defense, security, and resilience.

The organization has allocated funding to Fractile AI, a London-based computer chip manufacturer aiming to accelerate large language models (LLM) like those powering ChatGPT, and Germany's ARX Robotics, which designs unmanned robots with capabilities ranging from heavy lifting to surveillance.

The other two startups are the UK-based iCOMAT, which manufactures lighter materials for vehicles, and Space Forge, a Welsh company leveraging space conditions—such as microgravity and vacuum environments—to manufacture semiconductors in orbit.

"Access to strategic technologies is crucial for ensuring a secure and prosperous future for the alliance's one billion citizens," said Andrea Traversone, managing partner of the fund.

The fund has also partnered with venture capital firms Alpine Space Ventures, OTB Ventures, Join Capital, and Vsquared Ventures to further support investments in "deep tech" across the continent.