Defense, AI, Robotics - Business Rundown: 21 April 2024
Defense, AI, Robotics - Business Rundown: 21 April 2024
Dear Readers,
This is the first edition of a weekly newsletter dedicated to defense, AI, and robotics businesses. Here, we will dive into startups, venture investments, exciting interviews, and industry trends. No nonsense — only the most important business stuff!
Best regards, Stacked Preference
Top Stories
DALL-E may be used by for U.S. military on a battlefield
Microsoft proposed leveraging OpenAI’s DALL-E, a widely-used image generation tool, for assisting the Department of Defense in developing software for military operations, as revealed in internal presentation materials obtained by The Intercept.
This disclosure follows OpenAI’s recent decision to lift its ban on military-related projects. The presentation, titled “Generative AI with DoD Data,” outlines how the Pentagon could utilize OpenAI’s machine learning technologies, including ChatGPT and DALL-E, for tasks such as document analysis and machine maintenance. It also suggests using DALL-E to enhance battle management systems, potentially aiding military in tasks like target identification and troop coordination on the battlefield. (The Intercept)
You can find the presentation here.
The black market dealers delivering Elon Musk’s Starlink to US adversaries
A network of black market dealers, including some in the United Arab Emirates, has been selling SpaceX Starlink kits to Sudanese rebels and Russian forces in Ukraine, providing access to low earth orbit (LEO) broadband internet.
This underground trade has raised concerns among members of US Congress, Ukrainian intelligence, and investigative reports, as it enables American adversaries abroad. Contraband Starlink internet has facilitated the operation of spy drones and coordinated attacks in conflict zones such as Yemen, Sudan, and Russian-occupied areas of eastern Ukraine. Low-level e-commerce websites, are involved in the sales, often acting as third-party resellers to circumvent sanctions. (Dailymail.com)
Interviews to Watch
Joseph Larson, SVP and Chief of Staff at Anduril Industries, provides an in-depth analysis of the evolving landscape of modern warfare, the pivotal role of algorithmic warfare, and the intricate dance between rapid technological advancements and policy development.
Strategy Reading
How Big Tech and Silicon Valley are Transforming the Military-Industrial Complex.
The report from Professor Roberto J. González, San José State University, illustrates how a growing portion of the Defense Department’s spending is going to large, well-known tech firms, including some of the most highly valued corporations in the world, totaling around $53 billion between 2019 and 2022. This surge in collaboration aims to deploy AI-enabled military technologies and utilize cloud computing services.
Check the Executive Summary and Full Report.
Money Flow
Global defense spending jumped in 2023.
Total global defense spending grew at its fastest pace in the last decade from 2022 to 2023, as governments respond to security crises unfolding around the world. (Defense One)
The EIB is relaxing lending criteria for military investments.
The European Investment Bank (EIB) announced that it would open up its financing to more dual-use civil and military technologies to support European rearmament against Russia. The bank has a €6 billion available up to 2027 for loans to develop dual-use goods, such as drones or vehicles.(LuxTimes)
Startups, VC, and Investments
Anti-drone defense tech startup Allen Control Systems raises $12M
An Austin startup that’s developing anti-drone technologies has raised new funding to help it continue to create systems designed to autonomously detect and shoot down airborne threats. (BizJournals)
How drones and AI are transforming law enforcement
Zenith Technologies CEO and founder Russell Hammad shares how drones and AI are helping law enforcement agencies improve operational efficiency (Gulfbusiness).
AI security gold rush: VCs seek ‘real AI rather than marketing AI’
Thomvest Ventures Managing Director Umesh Padval and Principal Ashish Kakran shared their perspectives on the opportunities and challenges of artificial intelligence (AI) as the initial public offering (IPO) window begins to open. (Sdxcentral)
Israeli startups hope to export battle-tested AI military tech
Edge 360, an AI camper system developed by Axon Vision, is installed in armored vehicles currently deployed in Gaza. The system identifies threats from all directions and warns the solider driving the vehicle. (Asia.nikkei.com and Breakingdefense).
Astranis unveils Omega satellites for dedicated broadband from high orbit
Astranis, a venture-backed startup that builds and operates small broadband satellites in a far-off orbit, released details about its plans to provide internet access from geostationary orbit, but faster and smaller than any comsat up there. (Techcrunch)
Shield AI moves into Australia with Sentient Vision Systems deal
Shield AI, a defense tech startup valued at $2.8 billion, entered into a “definitive agreement” to acquire Sentient Vision Systems, an Australian firm specializing in “passive, optical detection using wide area motion imagery” with AI-enabled sensors. (Breakingdefense)
Vilnius-based Blackswan Space raises €760k for satellite autonomy
Founded in 2019, Blackswan Space has pioneered autonomous space technologies in collaboration with the European Space Agency (ESA) and commercial partners. (EU Startups)
The Air Force is quietly revolutionizing parts replacement
The U.S. military are working with startup Machina Labs’ solution, which applies artificial intelligence to the job of crafting shapes into metal with human precision, and then uses robotic arms to fold the metal into place. (Defense One)
Anduril’s underwater drone makes its debut in Australia
Defense startup Anduril has unveiled the prototype Ghost Shark extra-large autonomous underwater vehicle for the Royal Australian Navy. (Defense and Security Monitor).
Startup Eridan promises smaller, lighter radios
The CEO of startup Eridan tells hat the company has made a breakthrough with small, light-yet- powerful-software radio technology.(Fierce-network)
UK company Hadean demonstrates its AI-enabled training solution
In a live demonstration, London startup Hadean showcased the different parts that come together in its unique live, virtual and constructive training solution for the British Army. (Army Technology)
Ukrolancet drones blitz Russian air defenses
A new type of long-range Ukrainian FPV drone is destroying Russian mobile air defense systems. The new weapons have been dubbed ‘Ukrolancets’ as they fulfill a similar role to Russia’s much-feared Lancet kamikaze drones. (Forbes)