Shield AI raises $240M at a $5.3B valuation to commercialize its AI drone tech

In Brief

Shield AI, the San Diego defense tech startup that builds drones and other AI-powered military systems, has raised a $240 million round at a $5.3 billion valuation, it announced today.

Shield AI says its Hivemind software already enables fighter jets and drones to fly autonomously. Now, Shield AI wants to sell Hivemind to a broader range of customers like robotics companies.

The round’s investors include L3Harris, one of the U.S.’s biggest defense contractors, and Hanwha Aerospace. Existing investors like Andreessen Horowitz also joined.

This makes Shield AI the second-largest defense tech startup in the U.S. by valuation, after Anduril, which is raising at a $28 billion valuation. 

Autonomy is a hot field in defense, with autonomous warship startup Saronic quadrupling its valuation to $4 billion in a $600 million round last month.

Shield AI didn’t immediately respond to a request for comment.

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