Germany is in talks to purchase long-range cruise missiles from Covenant Technologies, an Israeli-American defense startup, as the US depletes its Tomahawk stockpile amid the Iran conflict.
The German defense ministry has requested proposals for Covenant's Anthem missile system, scheduled for live-fire testing in June 2026, with German officials invited to observe.
The US has deployed around 850 Tomahawk missiles, reducing its inventory by 25%. Replenishing this stockpile is Washington’s priority, leaving Europe, particularly Germany, in a strategic bind. Consequently, Berlin pursues a four-track plan to secure cruise missile capabilities by 2027, considering alternatives like the Flamingo missile from Ukrainian firm Fire Point.
Founded in 2024, Covenant Technologies, with about 50 employees, is backed by significant venture capital firms. Building production lines in Germany and the UK aims to establish a European supply chain for cruise missiles.
With a contract from Germany, Covenant showcases its ability to compete in the defense sector, traditionally dominated by major corporations like Raytheon. This presents potential investment opportunities, as decisions are expected to advance rapidly through 2026, aligning with Germany's timeline for missile capability.