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Shield AI Conducts AI-Piloted Flights on Sixth Aircraft, the Kratos MQM-178 Firejet

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Shield AI and Kratos successfully complete AI-piloted flight-testing on Kratos platforms using Firejet as a test surrogate, moving towards productizing Shield AI's pilot for the XQ-58 Valkyrie. This achievement marks a major milestone in the integration project, showcasing the rapid development of AI technology in military aviation.
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The integration of Shield AI's Hivemind AI pilot into Kratos' MQM-178 Firejet represents a significant advancement in the field of autonomous military technology. The ability to rapidly adapt and deploy AI pilots across various aircraft types showcases a level of agility and innovation that is vital for maintaining a competitive edge in defense technology. This development not only enhances operational effectiveness by providing a no-risk-to-American-life solution but also has the potential to reshape military force structures. The emphasis on a high-speed, high-maneuverability and low-signature solution indicates a strategic focus on contested environments where stealth and agility are paramount.

From a business perspective, the successful demonstration of this technology positions both companies at the forefront of the defense market, potentially leading to increased interest from the Department of Defense and allied nations. The mention of a sub $500K price range per aircraft suggests a cost-effective solution that could disrupt traditional procurement models and lead to a reevaluation of budget allocations within the defense sector.

The collaboration between Shield AI and Kratos is indicative of the evolving landscape of the aerospace defense market, where traditional hardware is increasingly being augmented with sophisticated software capabilities. The rapid development cycle, as highlighted by the transition from contract signing to flight in under 180 days, demonstrates an accelerated pace of innovation that could pressure competitors to invest more heavily in R&D to keep up.

The market implications for Kratos could be significant, as this partnership and the resulting product line diversification may attract investor attention and potentially lead to stock market revaluation. The anticipated AI-piloted XQ-58 Valkyrie flights and the further development of the Kratos BQM-177 are events that market participants will likely monitor closely for their potential to generate new contracts and revenue streams.

The strategic implications of AI-piloted aircraft are profound for military operations. The ability to deploy unmanned systems in high-threat environments without risking personnel aligns with a broader trend towards minimizing casualties in conflict scenarios. The tactical versatility of the Firejet, capable of both offensive and defensive roles, suggests a shift towards more adaptable and multi-role unmanned systems in future force structures.

From a strategic standpoint, the development of portable autonomy software could lead to rapid redeployment and reconfiguration of assets, enabling forces to respond more dynamically to emerging threats. The long-term benefits of such technology could include reduced training costs, enhanced mission capabilities and the potential for a more robust and resilient military posture.

Shield AI and Kratos use Firejet as a test surrogate ahead of AI-piloted flights on Kratos Valkyrie

SAN DIEGO, March 29, 2024 /PRNewswire/ -- Shield AI, Inc., a defense technology company building the world's best AI pilot, and Kratos Defense & Security Solutions, Inc. (Nasdaq: KTOS), a Technology Company in the Defense, National Security and Global Markets and an industry-leading provider of high-performance, jet-powered unmanned aerial systems (UAS), today announced the successful completion of the first phase of Shield's AI-piloted flight-testing on-board Kratos platforms as the two companies move toward productizing Shield AI's pilot for the XQ-58 Valkyrie.

Having successfully flown AI pilots on five aircraft — three classes of quadcopters, the MQ-35A V-BAT, and the F-16 in fully autonomous air combat training — Shield AI's Hivemind AI pilot has now successfully flown on and controlled the Kratos MQM-178 Firejet. These successful flights are a major milestone in the comprehensive integration project as Shield AI and Kratos look to ultimately productize another configuration of the Valkyrie, in this case with Shield AI's Hivemind AI pilot.

"Our substantial investments in autonomy and AI design tools, infrastructure, and pipelines are what enable Shield AI to rapidly integrate Hivemind onto different classes of aircraft and most importantly, fly them safely. We're getting faster and faster. It was over three years from signing the contract to flying the F-16; now, it's less than 180 days for the Kratos Firejet. The vision of portable autonomy software for military hardware has been realized, flown, and deployed by Shield AI," said Ryan Tseng, Shield AI's CEO and Co-Founder.

"AI pilots will eventually fly all aircraft and will have a larger global impact than self-driving cars. The MQM-178 Firejet marks the sixth type of aircraft that our AI pilot Hivemind has flown. It is the second jet-powered aircraft after our AI piloted F-16 dogfights. The AI-piloted XQ-58 Valkyrie flights later this year will be the seventh aircraft and then the Kratos BQM-177 will be the eighth. Kratos and Shield AI's joint focus on the rapid development of AI-piloted aircraft has been a terrific collaboration that is helping redefine military force structures," said Brandon Tseng, Shield AI's President and Co-Founder and a former Navy SEAL.

The MQM-178 Firejet fills a variety of end-to-end weapons-release training roles as a jet target aircraft system, supporting surface-to-air and air-to-air engagements. Additionally, the Tactical Firejet offers an offensive/defensive jet UAS system in the sub $500K price range per aircraft with substantial mission systems and performance capabilities. In either mission configuration (target/tactical), the Firejet delivers a high-speed, high-maneuverability, low-signature solution for replicating threats or enabling no-risk-to-American-life operational effectiveness with a level of contested environment capability.

"The collaboration between Kratos and Shield AI over these past months has been nothing short of exceptional and represents the rapid development and testing possible when motivated commercial technology companies work together with a common objective—being first to market with relevant systems to support U.S. National Security. Our joint efforts have brought together the best of both worlds – Kratos' proven jet-powered uncrewed aircraft and Shield AI's expertise in AI and software development. We're thrilled about the progress we've made and even more excited to share further breakthroughs in the near future," said Steve Fendley, President of Kratos' Unmanned Systems Division.

About Shield AI    
Founded in 2015, Shield AI is a venture-backed defense technology company whose mission is to protect service members and civilians with intelligent systems. In pursuit of this mission, Shield AI is building the world's best AI pilot. Its AI pilot, Hivemind, has flown jets (F-16; MQM-178 Firejet), a vertical takeoff and landing drone (MQ-35 V-BAT), and three quadcopters (Nova, Nova 2, iPRD). The company has offices in San Diego, Dallas, Washington DC and abroad. Shield AI's products and people are currently in the field actively supporting operations with the U.S. Department of Defense and U.S. allies. For more information, visit www.shield.ai. Follow Shield AI on LinkedIn, X and Instagram.

About Kratos Defense & Security Solutions, Inc.
Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) is a technology, products, system and software company addressing the defense, national security, and commercial markets. Kratos makes true internally funded research, development, capital and other investments, to rapidly develop, produce and field solutions that address our customers' mission critical needs and requirements. At Kratos, affordability is a technology, and we seek to utilize proven, leading-edge approaches and technology, not unproven bleeding edge approaches or technology, with Kratos' approach designed to reduce cost, schedule and risk, enabling us to be first to market with cost effective solutions. We believe that Kratos is known as an innovative disruptive change agent in the industry, a company that is an expert in designing products and systems up front for successful rapid, large quantity, low-cost future manufacturing which is a value-add competitive differentiator for our large traditional prime system integrator partners and also to our government and commercial customers. Kratos intends to pursue program and contract opportunities as the prime or lead contractor when we believe that our probability of win (PWin) is high and any investment required by Kratos is within our capital resource comfort level. We intend to partner and team with a large, traditional system integrator when our assessment of PWin is greater or required investment is beyond Kratos comfort level. Kratos primary business areas include virtualized ground systems for satellites and space vehicles including software for command & control (C2) and telemetry, tracking and control (TT&C), jet powered unmanned aerial drone systems, hypersonic vehicles and rocket systems, propulsion systems for drones, missiles, loitering munitions, supersonic systems, space craft and launch systems, C5ISR and microwave electronic products for missile, radar, missile defense, space, satellite, counter UAS, directed energy, communication and other systems, and virtual & augmented reality training systems for the warfighter. For more information, visit www.KratosDefense.com.

Notice Regarding Forward-Looking Statements
Certain statements in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Kratos and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Kratos undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Kratos believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Kratos in general, see the risk disclosures in the Annual Report on Form 10-K of Kratos for the year ended December 31, 2023, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the SEC by Kratos.

Media Contact: Lily HinzMedia@shield.ai

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SOURCE Shield AI

FAQ

What companies are involved in the successful completion of AI-piloted flight-testing on Kratos platforms?

Shield AI and Kratos Defense & Security Solutions, Inc. are the companies involved in the successful completion of AI-piloted flight-testing on Kratos platforms.

What type of aircraft has Shield AI's Hivemind AI pilot successfully flown on and controlled?

Shield AI's Hivemind AI pilot has successfully flown on and controlled five aircraft, including three classes of quadcopters, the MQ-35A V-BAT, and the F-16 in fully autonomous air combat training.

What is the significance of the successful completion of AI-piloted flight-testing on Kratos platforms?

The successful completion of AI-piloted flight-testing on Kratos platforms signifies a major milestone in the comprehensive integration project between Shield AI and Kratos, showcasing the rapid development of AI technology in military aviation.

What role does the MQM-178 Firejet play in the end-to-end weapons-release training roles?

The MQM-178 Firejet serves as a jet target aircraft system, supporting surface-to-air and air-to-air engagements, and offers an offensive/defensive jet UAS system with substantial mission systems and performance capabilities.

What is the mission configuration of the Tactical Firejet?

The Tactical Firejet offers a high-speed, high-maneuverability, low-signature solution for replicating threats or enabling operational effectiveness with a level of contested environment capability.

Kratos Defense & Security Solutions, Inc.

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