Shield AI, the San Diego-based defense startup, has secured $1.5 billion in Series G funding at a $12.7 billion valuation, more than doubling its previous $5.6 billion valuation. The company projects over 80% revenue growth by end of 2026, reaching at least $540 million this year. The funding round, co-led by Advent International and JPMorgan Chase's Security and Resiliency Initiative, will support Shield AI's acquisition of tactical simulation company Aechalon and fund development of new combat drone technology. Global conflicts and increased military modernization efforts worldwide are driving investor confidence in defense tech companies like Shield AI, whose AI-powered drones have already seen deployment in Ukraine. The company also secured a $500 million preferred equity financing deal with Blackstone, demonstrating strong institutional backing for defense innovation.
