Shield AI completes acquisition of Aechelon Technology

Shield AI announced the completion of its acquisition of Aechelon Technology, Inc. The acquisition integrates Aechelon's visual simulation and synthetic environment technologies with Shield AI's Hivemind AI pilot. The transaction followed the close of a $2 billion strategic financing package for Shield AI. The package included $1.5 billion in Series G funding and $500 million in preferred equity financing at a $12.7 billion post-money valuation. Aechelon's technology supports critical national security platforms including the Pentagon's Joint Simulation Environment. The company previously operated as a portfolio company of Sagewind Capital. Gary Steele, Shield AI chief executive, said the acquisition connects simulation, autonomy and deployment into a closed data loop. He said the move will deliver more capable manned-unmanned teaming to customers faster. Ignacio Sanz-Pastor, Aechelon co-founder and chief executive, said Shield AI and Aechelon share a commitment to supporting those who serve. Sanz-Pastor will report to Steele and continue overseeing the product and customer roadmap. Shield AI was founded in 2015 as a venture-backed defense technology company. Its products include Hivemind autonomy software and V-BAT and X-BAT aircraft. The company maintains offices and facilities across the U.S., Europe, the Middle East and Asia-Pacific.