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Dirac Labs Raises $1.8M for Diamond Quantum Sensors


Dirac Labs, a spinout from the University of Wisconsin-Madison, announced it has raised $1.8 million in pre-seed funding. The company will use this capital to prototype diamond-based quantum sensors and conduct initial field trials. The immediate goal is to develop and test hardware for navigation in environments where GPS is unavailable, such as underwater and underground.

Funding allocation

According to the August 20 press release, Dirac Labs plans to utilize this funding to prototype and refine its sensors through field trials. Specifically, the company’s technology combines NV-diamond quantum magnetometry with AI models for signal processing and sensor fusion. It aims to determine position by leveraging features of Earth’s magnetic field. Dirac states that these sensors aim to integrate with existing GPS device ports on aircraft, submarines, and other vehicles without requiring platform modifications.

The funding round saw investment from TitletownTech, a fund affiliated with Microsoft and the Green Bay Packers, alongside Automotive Ventures, Riceberg Ventures, quantumEDGE Ventures, and angel investors Jude Gomila and Balaji Srinivasan. Dirac has also received non-dilutive public funding from the Indo-U.S. Science and Technology Forum, a NOAA-linked accelerator run by gener8tor, and support from the Wisconsin Entrepreneurship Hub.

Remaining challenges

The most insightful comment in the release comes from a paid scientific advisor, who highlights a key challenge beyond the company’s stated pitch.


“Quantum magnetometry has worked in the lab for years. The barrier has always been fielding a sensor that holds accuracy in real conditions at a cost you can actually scale.”

This statement is from Dr. Michael Nayak, a Dirac Labs advisor and CTO of the XPRIZE Foundation. His point underscores the distinction between laboratory performance and a deployable, affordable field sensor, an issue Dirac has yet to demonstrate it has bridged.

Co-founder and COO Aishwarya Das mentions the company has “early traction with major defense and industrial partners,” though the press release discloses no specific partners or contracts. CEO Sanket Deshpande, who founded the company after his PhD at UW-Madison, identifies the target markets as underground, underwater, and defense applications.

A pre-seed round of this magnitude typically supports prototyping and initial testing. The performance of these sensors in real-world conditions and their eventual cost-effectiveness remain to be seen.