The new warfare: fast procurement, focus, and robots – Eveline Buchatskiy (D3 VC)
Guest post by Eveline Buchatskiy, Founding Managing Partner at D3 Venture Capital Firm. | Originally published on Underline Ventures.
Engineering a New Defense Paradigm
Eveline Buchatskiy, an engineer at heart and former VP of Special Projects at Ukrainian unicorn airSlate, has always been driven by a mission to make impactful changes. As the Founding Managing Partner at D3 Venture Capital Firm, a Ukraine-focused early-stage fund born out of the war, she is on a mission to "Dare to Defend Democracy." Her journey into defense tech investing was catalyzed by the pressing needs of a nation under siege, where innovation isn't just a buzzword—it's a necessity.
"As Europe and the US have been focused mostly on the moonshots—space technologies, advancements in manufacturing, cybersecurity, or material science—little has gone towards what we call the new defense that you can use on the front line tomorrow," Eveline explains. "It was my job to have a compelling message for them to come: If you are a serious defense investor, you need to understand what's going on here. You cannot avoid it. This is going to define the future of war fighting."
Building in the Line of Fire
In the crucible of conflict, Ukraine's Armed Forces (ZSU) have had to outthink and outmaneuver a more substantial adversary. This has led to a paradigm shift in defense procurement and innovation. Procurement cycles have shrunk from years to months, enabling rapid deployment of technologies like autonomous drones, acoustic sensors, and AI-powered command systems.
"During our first year of operation, it was important to fund local teams in Ukraine as quickly as possible and support the creation of a local miltech ecosystem," Eveline notes. "New procurement cycles and doctrines were formed and are now being transferred to those NATO members that understand the consequential nature of this war for them as well."
D3's investment focus has evolved from unmanned systems to include counter-drone measures, autonomy software, and combat management systems. The common denominator? Highly technical, committed teams poised to build global companies that outlast the conflict.
Frontline Validation as a Global Benchmark
Eveline challenges the notion that technologies must choose between immediate battlefield application and global scalability. "I don't see these as mutually exclusive," she asserts. "The fact that a technology solves an urgent need on the battlefield makes it more attractive to international markets because it works."
She contrasts this with international companies that secure large defense contracts without frontline testing, often leading to failures in actual combat scenarios. For D3, real-world validation isn't just beneficial—it's essential.
Investing in Technical Tenacity
D3's investment philosophy hinges on the technical prowess of founding teams. "Our sweet spot is pre-seed investment, which means pre-product in most cases," Eveline explains. "The team is not required to have a ready product, but it should have the technical skills and experience to continuously innovate and bring to market solutions to complex challenges."
However, technical skill isn't the sole criterion. Eveline emphasizes the importance of resilience and ambition. "We still don't have naval drones in our portfolio," she admits. "It's harder to find targets in the naval space, perhaps because the barrier to entry is a little bit higher. Ukraine, despite its success in going after the Russian Navy, has only one successful company doing sea drones—Magura V7. All the other companies are not fundable because they are more like volunteers... but they don't have ambitions to go through a venture journey."
Revolutionizing Procurement: The Brave1 Marketplace
Ukraine's defense procurement has undergone a radical transformation, moving away from traditional, relationship-based models. The introduction of the Brave1 Marketplace has empowered brigades to procure products directly, based on technical merit rather than connections.
"Because it's so technology-driven, it's not a matter of relationships to be listed in this marketplace," Eveline explains. "It's a matter of meeting technical specifications. It's like removing the relationship-based procurement that was characteristic of the defense sector."
This meritocratic approach has accelerated innovation and deployment, with Ukraine reportedly using 150,000 drones per month, dwarfing traditional procurement figures in other countries.
Hands-On Support for Portfolio Companies
Beyond capital, D3 offers tailored support to its portfolio companies, facilitating field testing and addressing logistical challenges. "We have weekly or bi-weekly calls with the portfolio companies to address any blockers that may be in getting their products to the frontline at scale: testing, logistics, certification, procurement, recruiting," Eveline shares. "We will get our hands on anything that will accelerate impact for the warfighters defending Ukraine and Europe as a result.”
Rethinking Risk in Defense Tech
Investing in defense technology during wartime requires a different risk calculus. Eveline acknowledges the inherent uncertainties but underscores the necessity of adaptability and speed. "None of these war achievements would have been possible if we were stuck in the traditional methods of military procurement," she notes.
For D3, the focus is on empowering technical founders who can iterate rapidly and deliver solutions that meet the battlefield's immediate needs while also possessing the potential for global scalability.
In the crucible of conflict, D3 VC and Eveline Buchatskiy are not just funding startups—they're forging the future of defense, where innovation is tested in real time and success is measured by impact on the ground.
