LiquidPiston

For more than a century, the internal combustion engine has powered everything from cars and trucks to generators and military equipment. But despite countless improvements over the years, the basic design has remained largely unchanged.

LiquidPiston believes it's time for a complete redesign.

The Massachusetts-based company has spent more than twenty years developing a patented rotary engine that's smaller, lighter, and more fuel-efficient than conventional piston engines. Rather than trying to compete in the crowded automotive market, LiquidPiston is initially targeting applications where those advantages matter most — including drones, military equipment, portable generators, robotics, and aerospace.

The company has secured tens of millions of dollars in U.S. government contracts and awards, including funding from the Department of Defense, DARPA, and the Army. More recently, LiquidPiston received an Army SBIR Catalyst award that could unlock up to $7 million in additional government funding as it continues commercializing its technology.

What makes its engine different?

Traditional engines rely on multiple pistons constantly moving up and down inside cylinders. LiquidPiston replaces that complex system with a compact rotary design containing far fewer moving parts. According to the company, its engines can deliver up to 10 times the power density of comparable diesel engines while improving fuel efficiency by roughly 30%.

In simple terms, that means an engine that can produce the same amount of power while taking up much less space and weighing considerably less. That's especially valuable for drones, autonomous vehicles, and portable power systems. The engines are also designed to run on multiple fuels, including gasoline, diesel, jet fuel, propane, hydrogen, and sustainable fuels.

LiquidPiston's first commercial opportunities are centered on defense. The company is developing lightweight generators for soldiers in the field, compact engines for military drones, and propulsion systems for unmanned aircraft. As these products mature, management expects to expand into commercial aerospace, industrial equipment, and other markets that require compact, high-performance power systems.

LiquidPiston sits at the intersection of several fast-growing industries, including defense technology, drones, robotics, portable power, and aerospace. Together, these markets represent hundreds of billions of dollars in annual spending. As autonomous machines become more common, demand for lightweight, fuel-efficient power sources is expected to grow alongside them.

The company plans to make money in several ways. Today, much of its revenue comes from government research and development contracts. Over time, LiquidPiston expects product sales to become a larger contributor as customers begin adopting its engines. Management also plans to license its patented technology to larger manufacturers, creating another potential source of recurring, high-margin revenue.

Unlike many early-stage startups, LiquidPiston has already begun generating meaningful revenue. The company reported more than $10 million in revenue during fiscal-year 2025, up from roughly $9 million the previous year. It has also built an extensive portfolio of patents protecting its engine technology while advancing multiple commercial and military programs.

Team Background

Nikolay Shkolnik - Co-Founder & CTO

Dr. Shkolnik began his business career as a management consultant to Fortune 500 companies.

His job was to advise them on their most challenging technical problems, and to manage teams of dozens of engineers and physicists.

In 1986, he branched out and founded Quest Systems, Inc. It was there that Dr. Shkolnik, backed by funding from the Defense Advanced Research Projects Agency (DARPA), developed a device called a Hexapod Walking Robotic Vehicle. This was a ground-based combat drone that he built for the military.

A recipient of the Motorola award for creativity and a holder of more than a dozen patents, Dr. Shkolnik serves as LiquidPiston's Chief Technical Officer. He earned a Bachelor's degree in Thermodynamics from Kiev Politech Institute and a Ph.D. in Physics from the University of Connecticut.

Alex Shkolnik - Co-Founder & CEO

Prior to starting LiquidPiston, Alex spent his time as a research fellow and associate, studying at Georgia Tech and MIT.

He earned a Bachelor's and Master's degree in Computer Science from Emory University and a Ph.D. in Artificial Intelligence from MIT.

Co-Investors

Adams Capital Management

A VC firm investing in early-stage technology companies.

Northwater Capital

A Canadian firm investing in early-stage companies.