Shield AI has completed its acquisition of Aechelon Technology, adding a specialist in realistic training environments and sensor modeling to its defense autonomy portfolio.
The transaction follows the completion of a $2 billion strategic financing package that valued Shield AI at $12.7 billion post-money, including $1.5 billion raised through a Series G funding round and $500 million in preferred equity.
Shield AI said Aechelon specializes in high-fidelity simulation technology, physics-based sensor modeling, and synthetic reality software.
"The future of warfare will be defined by humans and autonomous systems operating and fighting together as a networked team," said Gary Steele, CEO of Shield AI.
"Simulation creates the path to prepare for that future at scale, and today, every action, by human and machine, must be tested and validated in simulation and fed back into a continuous, closed data loop. By bringing Aechelon in-house, we can connect simulation, autonomy, and deployment into that cycle and deliver more capable manned-unmanned teaming to our customers and to the warfighters and allies who depend on them, faster than ever before."
Shield AI said Aechelon's visual simulation technology is used by the U.S. military, including the U.S. Coast Guard, and allied countries. Aechelon supports defense programs such as the Pentagon's Joint Simulation Environment.
Management Moves
Shield AI said Aechelon will keep supporting its current customers and government work while working more closely with Shield AI's Hivemind division.
Aechelon's co-founder and CEO Ignacio (Nacho) Sanz-Pastor will report to Steele and continue to lead Aechelon's product and customer plans. Aechelon staff will move over to Shield AI as part of the transaction.
"Throughout this process, it has become clear that Shield AI and Aechelon share a deep commitment to supporting those who serve," said Sanz-Pastor. "Our teams have worked closely together to ensure a seamless transition, and we're excited to begin our next chapter as part of Shield AI. By combining Aechelon's expertise in simulation with Shield AI's in autonomy, we have an opportunity to deliver even greater capabilities to our customers and help accelerate the development of manned and unmanned technologies that protect service members and civilians.
Before the deal, Aechelon was owned by Sagewind Capital. Shield AI, founded in 2015, sells Hivemind autonomy software and the V-BAT and X-BAT aircraft, with operations across the U.S., Europe, the Middle East and Asia-Pacific.
