Resources and Opportunities

To expand its autonomous flying systems for the U.S. military and its allies, Shield AI has raised an additional $200 million in funding.

Founded in 2015, the firm now has a $2.7 billion valuation. Riot Ventures and the U.S. Innovation Technology Fund (USIT), two previous Shield AI investors, co-led this most recent round. Additional investors include Snowpoint and Disruptive, two current investors, and Cathie Wood’s newly formed investment management company, ARK Invest.

The only investor in the previous $60 million fundraising round added to Shield AI’s Series E was USIT, which billionaire Thomas Tull heads. The firm has a solid track record of raising money; its Series E raised $225 million, and its Series D raised between $210 million and $300 million. This significant Series F investment is indicative of that success.

It also illustrates the capital-intensive character of defense-oriented companies, even those who, like Shield AI, claim to have systems at a lower cost than their established rivals.

The business develops technology and software to enable airplanes and drones to become autonomous systems carrying out missions in hostile conditions. Hivemind, the company’s flagship product, is A.I. pilot software that lets drones and airplanes fly on their own without the need for GPS guidance.

Additionally, Shield AI has created a drone-swarming feature called V-Bat Teams, which allows a minimum of four V-Bat drones to be controlled by a single human operator. (Martin UAV, which Shield AI purchased in 2021, produced those drones that take off and land vertically.)

The CEO and co-founder of the firm, Ryan Tseng, stated when the company unveiled V-Bat Teams earlier this month, “Our nation is faced with the difficult reality that our pilots are too few and the rules-based autonomy solutions too dumb for such swarms to exist.” “Shield AI modifies this.” Building the most excellent A.I. pilot in the world from a common A.I. foundation that can be applied to any aircraft, from quadcopters to F-16s, has been Shield AI’s main goal for the past nine years.

Additionally, the San Diego-based startup is working on Hivemind’s integration into uncrewed fighter jets and other aircraft. The Pentagon is undoubtedly drawn to Shield AI’s tech stack because of the increasingly advanced counter-drone technology, which is concentrated on blocking the drone’s communications or navigation.

In a statement, Riot Ventures co-founder and managing partner Stephen Marcus said that drone warfare is becoming more prevalent on battlefields and that the enemy is doing everything in their power to create a hostile environment, including blocking communications and GPS. “Air Force modernization is blind flying. Shield’s A.I. pilot is sophisticated enough to adjust to its surroundings without needing GPS or communications. Their AI can be trained to do a wide range of tasks; it has already piloted teams of quadcopters, V-BATs, and contemporary fighter planes. What Tesla is doing with their self-driving stack is the closest technological analog we’ve found.

The fresh money comes amid a wave of investor backing for companies in defense technology, fueled in part by increased geopolitical tensions and a keen realization by engineers and the Pentagon that the United States is in danger of lagging behind its rivals. As co-founder Brandon Tseng notably said back in 2021, comparing China’s military to Netflix and the U.S. military to Blockbuster, Shield AI executives have made some of that call.

Interpublic Group and Olma Partners sponsored a €10.4 million Series A investment in London’s Threedium, a provider of 3D/AR enterprise infrastructure. Mesh Consensys, Reflexive Capital, Nirvana Family Office, Lyra Ventures, Edenbase, and Kinesis Venture Fund I competed in the round.

The business will utilize the funding to promote spatial computing and 3D content production on the web and strengthen AI R&D to improve 3D model efficiency. Immersive storytelling for more global companies will boost the company’s growth.

Unlimited3D, Threedium’s 3D and AR engine, lets marketers present their products as hyper-realistic 3D assets. Before buying, customers may zoom in, examine it from any angle, try it on, and adjust the color, size, and material.

Fashion, gaming, automobiles, and consumer packaged products can use 3D content created using the technology.

Static 2D e-commerce is getting old. User behavior is changing, and organizations seeking differentiation must match customer desires for enhanced customizable spatial online experiences, says Threedium co-founder and CEO Mike Charalambous.

Charalambous says this additional investment shows investors’ belief in our ambition to revolutionize digital landscapes and give organizations compelling and immersive capabilities.

Omnichannel 3D seamlessness

Dusan Odobasic and Charalambous created Threedium in 2017. Threedium gives you the flexibility and creativity to develop, modify, and scale millions of unique 3D assets and turnkey 3D solutions seamlessly across web, mobile, and digital media channels with the highest-quality foundational technology for 3D and AR experiences.

Scalability and cross-channel capabilities minimize the need to convert 3D models for online customer channels. The solution cuts content development, in-store activations, and gaming costs for CMOs and brand managers.

Threedium is the first 3D corporation with a proprietary file format; TUF protects IPs against AI and online theft.

“We’re setting the benchmark for 3D on the web with an omnichannel solution that allows brands to seamlessly disperse assets across all channels, files, and agencies, integrating with various workflows and highlighting 3D technology as a key tool to stand out in modern e-commerce,” says Threedium chairman and chief technology officer Odobasic

“AR is becoming the norm in every omni-channel product-buying experience as online and in-store shopping blur. He says, “Those who don’t notice will fall behind.”

Leading 3D/AR experience with strategic relationships

Threedium’s fundraising round shows the industry’s trend toward immersive web, 3D, and AR technologies.

“With this alliance, we gain access to an invaluable team with the expertise to unleash the full potential of 3D and AR technology, which, combined with McCann Worldgroup and Craft’s incredible creative and production capabilities, provides a unique and powerful value proposition for our clients,” said Kate MacNevin, COO of IPG’s creative agency network.

Threedium promises to change internet commerce to keep companies ahead of the curve. Louis Vuitton, Fendi, Bulgari, LOEWE, Girard Perregaux, Tommy Hilfiger, Diageo, and NuOrder Lightspeed employ Threedium’s improved 3D online immersive experiences.

Lightspeed POS head of product and technology Dipak Pandya says, “Threedium’s immersive 3D tech allows forward-thinking brands to achieve cost savings, demonstrate their commitment to sustainability, and help buyers better visualize the products they are buying by replacing sample images with detailed interactive 3D on the web.”

Threedium is partnering with AWS, Salesforce, NVIDIA, and Teads to provide high-fidelity 3D and real-time customization AR experiences using its APIs and infrastructure.

MarketForce, a Kenyan B2B e-commerce startup, has closed three of its five African regions and is launching a social commerce spinoff.

RejaReja, MarketForce’s super-app that allows mom-and-pop stores to order FMCGs directly from distributors and manufacturers and access financing, will only be available in Uganda after the company discontinued it in Kenya, Nigeria, Rwanda, and Tanzania, TechCrunch reports.

Tesh Mbaabu, who will serve as MarketForce and Chpter co-founder and CEO, told TechCrunch that Kenya will remain the company’s headquarters and launchpad for Chpter. This social commerce spinoff will help merchants “turn conversations on their social media channels into more sales.”

MarketForce slowed last year as some VCs abandoned their Series A investment commitments, causing the business to cut down operations and lay off multiple times. The liquidity crisis occurred during the global venture capital pause, which made fundraising difficult.

MarketForce and other firms have had to forego growth-at-all-costs to pursue profitability, bridge rounds, or lower valuations due to capital constraints and market realities. MarketForce raised $1 million via crowdsourcing.

In a previous TechCrunch interview, Mbaabu claimed his company focuses on developing a successful business by delivering in high-demand locations and closing unprofitable routes. With its asset-heavy approach being capital expensive and growing liabilities, the company had no choice but to close in the three regions.

After we chose to pursue profitability, Uganda has been our best market. We will keep it operational since we have exclusive distribution relationships with four big manufacturers and superior margins, allowing us to conduct a gross profitable company there, said Mbaabu.

The recent moves have promoted Uganda country manager Dennis Nyunyuzi to managing director, who will oversee RejaReja’s activities, according to an investor update reviewed by TechCrunch.

MarketForce released RejaReja, a SaaS retail platform for formal markets, in 2020. Informal merchants and mom-and-pop stores can order items directly from manufacturers and distributors for next-day delivery. It also provides loans based on transaction history. The business addressed stockouts, profit volatility, and lack of capital to develop this retail sector.

MarketForce planned to tap the informal retail sector, which accounts for about 80% of household trade in sub-Saharan Africa. Still, Mbaabu says margins are low in expensive markets like Kenya and Nigeria, where competition is intense.

“We are finding more profitable and high margin segments, so we decided to enter social commerce,” said Mbaabu.