In a major development for AI-led defense innovation, CHAOS Industries has secured $275 million in Series C funding, led by NEA and Accel. The round also saw participation from high-profile firms including Tru Arrow Partners, co-founded by James Rothschild, Glenn Fuhrman, and Adam Silverschotz.
This funding round propels CHAOS Industries’ total capital raised to $490 million, with the company now valued at approximately $2 billion—placing it among the most heavily backed defense-tech startups in the U.S.
Founded in 2022, CHAOS is at the forefront of developing Coherent Distributed Networks™—advanced sensing and communications platforms built to detect and respond to modern warfare threats such as drones, hypersonic vehicles, and cruise missiles. Its flagship product, the Vanquish™ radar system, is already being deployed in early-warning systems across land, sea, and air defense scenarios.
“CHAOS Industries is creating game-changing technologies aligned with core defense priorities,” said co-founder John Tenet. Fellow co-founder Bo Marr added, “The current threat landscape demands agile and persistent innovation.”
For Tru Arrow Partners, this investment signals a deeper commitment to the defense and national security sector, where artificial intelligence is rapidly redefining battlefield strategies. The firm’s broader focus on AI, data, and infrastructure aligns with CHAOS’s mission to build agile, autonomous, and scalable defense systems.
CHAOS employs a unique “sprint engineering” model, enabling rapid prototyping and swift adaptation to mission-specific requirements. Its modular, event-driven architecture allows systems like Vanquish to function seamlessly within distributed networks—even under contested communication conditions.
This agile development approach has drawn early interest and partnerships from U.S. and allied defense programs.
The Series C round also includes investment from StepStone Group, Overmatch Ventures, Valor Equity Partners, and others, underscoring the rising interest of venture capital in defense technologies. In 2024 alone, venture funding in defense-tech startups surpassed $4.5 billion, fueled by rising geopolitical tensions and AI advancements.
As AI-native capabilities like real-time decision-making and distributed sensors become vital for modern militaries, CHAOS Industries is emerging as a foundational player in this next-generation defense infrastructure.
For Tru Arrow, the move is more than just financial—it reflects a strategic investment in national resilience. With this latest funding, CHAOS cements its role in shaping the future of defense.
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Source: Ceoworld.Biz