Silicon Valley Defense Group’s Post

Building off of our last... Business Insiders Top 26 Def Tech VCs:  https://lnkd.in/e-ps5gD9 - Congrats to SVDG board members Chris Moran and Daniel Ateya for making the list among many of our other friends. Corporate VCs sometimes get a mixed rep in Silicon Valley but in defense, rare is the start-up that can make it far without partnering with an incumbent. They both funded, assisted, and to some degree enabled some of the news following below. The article also highlights how hot Defense VC is right now.  Before offering some historical data points, we ask ourselves, do we have Russia to thank? Prior to the Ukraine invasion (and the Great SaaS Freeze of 2021) that answer was… not so much. Though as the data shows, much better than 5-10 years ago. The article talks about $100B+ in funding for the category the last two years. Last year’s #NatSec100 report calculated the total 2018-22 funding at around $42B.  SVDG’s 2019 paper “DOD Tech Strategy from a VC Perspective” (forgive the horrible title, it was written for a DOD acquisition conference), noted that the 2014 amount was low single digit billions. Momentum, indeed. Ursa Major founder Joe Laurienti offered: “Companies like Ursa Major are able to offer completely new ways of tackling the challenges that face DoD’s need for constant innovation. There is power and excitement in starting with a blank sheet of paper, utilizing the latest innovations in design, testing, and manufacturing defense capabilities.” Over the past year, we have seen DoD’s growing momentum give such innovators the opportunity to show what they can do. On that note, huge shout out to PEO IWS… SVDG industry partner and good friend Ursa Major announced a Navy PEO Integrated Warfare System contract to build solid rocket motors for several Navy missile programs…some old (SM-3, 6) and some new (redacted). PEOs and VC-backed start-ups conducting business together? You have to love this “momentum.” And this is relatively new and exciting. The author of this post has been investing in defense tech in SV for way too long – the first 25 years we saw a total of one actual PEO exec out here in person. Now it’s raining PEOs. Several other SVDG friends were awarded similar contracts (to include friend and sponsor X-Bow Systems Inc. – congrats to the team on this critically important win!) We do know that this particular PEO had a vision of attracting new entrants to its old-school supply base (while adhering to all applicable DOD regs and lawyerly things, of course…). They appear to have begun executing on that vision. The rocket motor monopoly may not be long for this world…stay tuned for a forthcoming SVDG webinar on PEO-Led Innovation where you can hear more about PEO IWS' vision, among others.

Last week we shared a number of exciting ecosystem updates (below). This week and next we will get into some of the headlines, beginning with this one: New Entrants ‘Get Their Fair Shot’ on CCA...And it Pays Off Huge congratulations, again to, Anduril Industries and General Atomics on the United States Department of the Air Force's announcement to continue funding for the detailed designs, manufacture, and testing of production representative test articles under the Collaborative Combat Aircraft (#CCA) program.  Both private companies, they beat out several household name fighter jet primes. This seemingly changes everything and we hope it is the #signal that we have all been asking for - that the ecosystem is evolving, maturing..that we will be measuring our investments in terms of #missionimpactperdollar as our friend Justin Fanelli and the US Navy recently unveiled. The U.S. used to turn out a new aircraft design with hundreds of units in 12-24 months. Anduril is doing that again. Their design and bid cycle was probably measured in months here. If we are remembering correctly, the F-35 took a good 10-15 years of DOD-funded work to get to the Boeing/Lockheed down select...to say nothing of the 20+ years on the F-22. Anduril has long been a partner to us at the Silicon Valley Defense Group and when we reached out to congratulate them, this is what they had to say: "The Air Force’s selection of a non-traditional/new entrant for a flagship autonomous fighter jet program over traditional primes is a watershed moment for the Department, the Air Force, other new entrants, and for the country as a whole. For years, new entrants have been asking the Department for a fair shot to compete on major programs of record. Anduril’s selection is evidence of the growing belief that new entrants can actually develop and deliver large, advanced capability on a timeline and at scale that matters, and that they are in many cases better positioned to deliver this capability than the traditional, household name defense contractors.” We are looking forward to following how this decision and 'watershed moment' plays out over time. What the signal does for the rest of the Department and the defense innovation ecosystem and broader national security industrial base. Stay tuned for more and congratulations again to our friends at both Anduril and GA!

In advance of #DODIIS24, Michael Hoffman, President of GovCIO Media & Research, sat down with our Senior Director of Field Engineering, Stretch - Brian M, for an in-depth discussion on the evolving landscape of attack surface management in federal defense. Meyer shared how AI is advancing threat detection and the unique challenges agencies face in adopting zero trust while managing legacy systems. Follow along for more #DODIIS24 insights: https://lnkd.in/e_Q_msN8 #AI #Cybersecurity #DefenseTech

📢 Ubiwhere attended #IDEIA2024 and presented technologies and research projects that could improve the Defence sector. 💪 💡 Hélio Simeão, Product Owner at Ubiwhere, was one of the speakers at the event with his speech - "Protecting the Future: Leveraging Excellence in the Defence Sector through Machine Learning, Computer Vision and Data Analysis" - which focused on presenting and showcasing the application of projects such as #MLSysOps and #NebulOus and tech solutions as the #DNSTestbed. 📲 💻 Technologies such as #MachineLearning, #ComputerVision and #DataAnalysis will be crucial in defining the future of various sectors, particularly Defence. Due to this need in the sector and its participation in IDEIA 2024, Ubiwhere has launched the scientific article "Technology at the Service of Defence" written by Ana Pereira, R&I Dissemination Manager, Ana Rita Santiago, Head of R&I and PMO and Sofia Rosas, Project Manager at Ubiwhere. 🔎 👉Download our scientific #article below and discover how technology can redefine boundaries and guarantee national security! 👇 https://lnkd.in/dvvMUayK

In his latest op-ed for Warrior Maven, Royce Geo CEO Dave Sterling highlights the importance of commercial satellite technologies to gather critical intelligence as Chinese aggression grows in the Pacific. “China’s aggression in the Pacific, specifically, isn’t going away and stands to increase significantly as saber-rattling over the fate of Taiwan continues at a fever pitch. Unlike the Global War on Terror, the United States cannot rely upon the uncontested air superiority that heavily informed our critical intelligence-gathering operations and helped define that conflict. We must adjust if we are going to maintain an intelligence advantage in the region; we must use all the capabilities at our disposal. The proliferation of commercial satellite assets, the data they provide, and advanced analytical capabilities powered by the latest in AI are a natural pivot point to gather intelligence and inform the political, economic, and military decisions that could be the difference in avoiding the next global conflict, or winning one should it occur.” Read the full editorial here: https://lnkd.in/eqJsetwm

Little Place Labs announces it has been selected by AFWERX for a STTR Phase II contract in the amount of $1.8 million dollars focused on "Revolutionizing space-based ISR through decentralized systems & in-orbit ML computing for near-real-time intelligence" to address the most pressing challenges in the United States Department of the Air Force (DAF). “We are deeply honored to be chosen to revolutionize national security capabilities through this partnership with the Department of the Air Force. This opportunity marks a pivotal point in advancing space-based capabilities and in-orbit machine learning, underscoring our commitment to redefine the limits of space analytics and data processing. Our work with the Air Force will not only enhance operational effectiveness but also set new benchmarks for innovation in national security. This moment in our journey at Little Place Labs highlights our dedication to transforming space intelligence and addressing the complex challenges of today and tomorrow.” – Bosco Lai, CEO of Little Place Labs. Note: The views expressed are those of the author and do not necessarily reflect the official policy or position of the Department of the Air Force, the United States Department of Defense, or the U.S. government. 📢 Press Release: https://lnkd.in/g--xA9_n #littleplacelabs #nationalsecurity #spacetech #sbirsttr #satellite #edgecomputing

📢 While "cuts" usually elicit a negative response, some very positive statements from Heidi Shyu regarding United States Department of Defense S&T funding for the operational force: ✅ shifting focus on "expediting technology transition from the laboratory into operational use" ✅ a 33% increase in the number of small businesses participating in the SBIR and STTR programs that have transitioned their technologies to SBIR and STTR Phase III, or commercialization phase, since 2021 ✅ "...we are focusing on transitioning more of the technologies that we’re developing from with small businesses as well as universities to push it over into the services" With over 15,000 individuals currently registered for Global SOF Foundation's #SOFWeek2024, don't miss the opportunity to network and learn more with #defensetech oriented panels including: "Technology as a Force Multiplier" with: Melissa Johnson, Doug Beck, Christian Brose, Catherine Wood, Catherine Reynolds (VitaKey) "Beyond the Textbook: Leveraging Academic Expertise for Next-Generation Defense Solutions" with: Andrea Henshall, Gene Keselman, Sambit Bhattacharya, Veronika Stelmakh, Dr. Jeremy Werner, Ph.D. (OSD/DOT&E) "Bridging the Gap: Blending Finance and Innovation Funding for Defense" with: Amanda W., Ryan Lewis, Ben Van Roo, Joe Musselman, Beth Cahill (Windsor Capital) In addition to presentations/panels on opportunities and how to work with: SOFWERX USSOCOM S&T Irregular Warfare Technical Support Directorate OSD DOT&E SIPET and many more... See comments 👇 for more information.

AI is a trending topic and being implemented everywhere. It is so great to see Defence bringing together experts in AI with users, to strategically codesign the way forward. Such an innovative and fun approach to solve something so complex. Thank you Defence AI Research Network (DAIRNet) for the opportunity to be involved! #AI #codesign #problemsolving #mgtaylor #changemanagement

A New Era for Defense Technology? Palantir and Anduril, two leading defense tech companies, are reportedly in talks to form a tech consortium with firms like SpaceX, OpenAI, Saronic, and Scale AI. According to the Financial Times, this initiative aims to challenge traditional "prime" contractors such as Lockheed Martin, Raytheon, and Boeing by introducing a new generation of more agile and innovative defense suppliers. Goal: To provide the government with cutting-edge technologies, from advanced weapons to AI systems, in a faster and more efficient way. First partnerships: Expected to be announced as early as January, marking a potential turning point in how the U.S. defense sector adopts emerging technologies. This comes after a recent announcement of an integration between Palantir’s AI Platform and Anduril’s Lattice software, underlining their shared ambition to ensure U.S. leadership in artificial intelligence. Question to the community: Could these new consortiums redefine the rules for the defense industry? #TechConsortium #DefenseInnovation #ArtificialIntelligence #OSINT #Defense

🚀Just out! Glad to see that my commentary for the CEPS (Centre for European Policy Studies)'s #NATO Symposium series has been published. In my analysis, I look into: 'How to future-proof NATO’s defence innovation and #EDT strategy'. In today's rapidly evolving tech landscape, NATO must go beyond just technological superiority to address disruptive innovation. Discover how integrating AI, quantum tech, start-ups, and more can shape NATO's defence innovation future. Read the full commentary here: 👇 https://lnkd.in/eNPkz76T