The Best New AI Products

Shield AI Raises $200M at $2.7B Valuation for AI-Powered Defense Tech

Defense and aerospace startup Shield AI has raised $200 million in a Series F funding round, propelling the company to a valuation of $2.7 billion. The round was co-led by Riot Ventures and Thomas Tull’s US Innovative Technology Fund, with participation from Ark Investment, Disruptive, and Snowpoint Ventures. This comes just months after the company was valued at $2.2 billion following a $60 million funding round in December.

Shield AI's software, known as Hivemind, empowers aircraft to operate autonomously in high-threat environments, contributing to air superiority and conflict deterrence. The co-founder and President, Brandon Tseng, stated that this funding will accelerate the scaling of Shield AI's products, allowing for the deployment of intelligent and cost-effective autonomous systems, which serve as crucial non-nuclear deterrents for the next few decades.

Founded in 2015, Shield AI has raised a total of approximately $773 million in funding, according to Crunchbase, making it one of the most well-funded companies in the defense tech sector. The round is a significant milestone for the defense tech industry, which historically has not attracted as much venture capital as other tech sectors due to ethical concerns and reservations about military applications of technology.

Despite these challenges, Shield AI's substantial funding round marks a notable event in the defense tech space, demonstrating the increasing importance and investment in advanced technologies for defense and aerospace purposes.