Shield AI is a pioneer in the autonomous vehicles market. The company continues to inspire and innovate with its latest round of AI-powered drones and software. Demand for its services is on the rise. Its work with drone swarms and other crucial technologies has cemented the company as a main player in the autonomous aerospace industry, sparking interest that the company will go public. Here’s everything you need to know about buying pre-IPO shares of Shield AI.
What is Shield AI?
Shield AI is an autonomous systems provider based out of San Diego, California. It entered the market in 2015 and quickly secured government contracts for its advanced autonomous vehicle systems. The firm’s founders include Brandon Tseng, Ryan Tseng, and Andrew Reiter. Notably, Brandon served as a Navy SEAL and Ryan had experience launching tech firms before their venture. Together, they created what is today one of the most reputable names in the AI aerospace sector.
Shield AI has seen considerable demand for its offerings alongside a huge expansion in drone usage in all markets. Today, drones are more flexible, versatile, and capable thanks to advanced AI systems provided by Shield AI. These systems are now used by militaries to enhance situational awareness, improve the kill chain, and protect the lives of servicemen.
Shield AI Hivemind
The Hivemind AI pilot is among the most capable in the world. This futuristic ace can react and learn from new combat scenarios, enabling it to improve its performance in real-time. Hivemind’s proprietary AI guidance system doesn’t rely on GPS, waypoints, or other jammable tech. It actively scans and locates its targets before initiating a kill.
Shield AI Swarm Tech
Drone swarms are seen by many as the future of warfare. These massive drone armies work together like swarms of insects to overpower and infiltrate contested airspace. Shield AI drone swarm technology enables militaries to leverage specific drone variants for certain tasks. For example, a surveillance drone could spot and confirm a target before sending the kill order to a suicide drone or attack aircraft.
Historical Funding Rounds
Summary of Shield AI Funding:
- Total Funding: Shield AI raised a total funding of $930M over 15 rounds.
- Largest Round: Shield AI’s largest funding round secured $300M on Dec 29, 2023
- Investors: Shield AI has 24 investors in total, including 23 institutional and 1 angel investor
- Latest Round: The last round of funding was a Series F round held on Dec 29, 2023, which secured $300M from Hercules Capital
Funding Rounds Breakdown:
Shield AI has a total of 15 funding rounds:
- 7 Late-Stage rounds
- 3 Debt rounds
- 3 Early-Stage rounds
- 2 Seed rounds
Key Investors:
Several well-known VCs participated in Shield AI’s funding campaign, including the US Innovative Technology Fund, Point72 Ventures, Andreessen Horowitz, Breyer Capital, SVB Capital, Hercules Capital, Snowpoint Ventures, and a16z.
Funding data is sourced from Tracxn.
Why Invest in Shield AI?
Shield AI’s innovative approach to autonomous flight and proven track record opens the door for investor opportunities. The company holds a prominent position in the market, and its drone swarm technology is seen by many military experts as a must-have for future warfare. Additionally, drone use in the commercial sector has seen record growth, adding to the many reasons why Shield AI is seen by many as a strong “hold.”
Innovation
There are multiple innovations that shield AI has introduced that can upend markets. For example, the company has launched autonomous logistics systems. These platforms can improve efficiency, trackability and lower overhead. Autonomous systems are another way in which firms that integrate Shield AI services can save big time.
High Demand
Shield AI continues to secure government contracts for both its large AI vehicles and its quadcopters. Shield AI recently unveiled a room-clearing AI system that allows commercial-size quadcopters to autonomously scan, secure, and engage targets in buildings.
Source – Shield AI
These systems keep troops safe and are much cheaper to operate than their predecessors. As such, Shield AI products and services are becoming a crucial element of the ecosystem.
Unmatched Capabilities
The companion system is another example of an autonomous vehicle that has strong government support. These vehicles are meant to supplement the latest fighter jets and their pilots, expanding their lethality and awareness. Shield AI is the first and only fully autonomous AI pilot deployed in combat since 2018, demonstrating the company’s prime positioning in the industry.
Cost Efficiency to Drive Adoption
Shield AI has taken a more open approach to its commercial offerings. The company boasts of the need for less infrastructure and lower cost per flight hour than competitors. Its unique vehicle selection includes VTOLs (vertical take-off and landing), which offer more flexibility and capability where needed.
Shield AI drones were built from day one to enhance the user’s capabilities via artificial intelligence protocols. These systems can conduct routine tasks like patrolling the parameters or conducting safety tests. They can also be set up to infiltrate, identify, and clear hostiles. Most impressive is how easy these systems are to program and launch.
IPO Speculation
No dates have been given for a Shield AI IPO. However, if the company were to go public, demand for its stocks would be sky-high. The company’s unique offerings, pristine reputation, market positioning, and strategic partnerships make it a project worth examining.
How to Buy Shield AI Pre-IPO Shares
There are a few ways to get your hands on Shield AI stock, even though it hasn’t been publicly issued. Obtaining pre-IPO shares for a company with a market positioning like Shield AI can be a complicated process that requires you to utilize one of these three methods.
1. Pre-IPO Secondary Marketplace
Secondary markets are purpose-built economics that allow accredited investors to access pre-IPO shares. To qualify as an accredited investor, you need to show that you have a minimum of $1M in liquid assets. Once qualified, accredited investors can access pre-IPO shares purchased from ex-employees, early investors, and executives.
Pre-IPO shares offer more exposure and growth potential. These shares are usually issued during the company’s breakthrough stage, meaning that they can have excellent ROIs. However, there are a few caveats you should consider.
Eligibility: You will need to complete full KYC. AML compliance and prove that you meet the accredited investor restrictions to gain access to pre-IPO shares in this way.
Liquidity: It’s crucial to understand that pre-IPO shares can not be traded as freely as post-IPO shares. In most instances, you may be locked into your shares until the company officially goes public.
Linqto is a digital investment platform that has secured a reputation as a safe way to access pre-IPO shares. The platform works with investors, allowing them to access high-growth potential tech firms. Already, the company has helped launch some of the biggest names in the industry, including Robinhood, Coinbase, and SoFi
Visit Linqto →
2. Private Equity Firms
Another way to access pre-IPO shares is via private equity companies. You will need to be an accredited and high-net-worth individual to gain access to these offerings. Private equity firms provide access to pre-IPO shares secured from current shareholders or via investment rounds. Private equity firms can have additional requirements such as extending the no sales period for much longer.
3. Employee Equity Sales
The best way to get Shield AI pre-IPO shares is directly from employees. Employers can provide these shares as a reward for their efforts or as part of profit sharing practice. The main drawback to this approach is that most people will need to work through a broker to ensure compliance.
Private Transactions: Purchasing pre-IPO stocks from former employees will often require valuations, legal agreements, transfer limitations, and much more.
Brokerage: An investment broker can streamline the process while ensuring compliance
As with any investment, some considerations should be examined before making your maneuver. Here, there are some risks you need to be aware of before purchasing pre-IPO shares:
Liquidity Risk
You can’t sell pre-IPO shares like regular stocks. In most instances, there’s a lockup period that will extend to and even past the launch. It’s common for pre-IPO shares to make shareholders wait years before they can sell their assets.
Regulatory Risk
The AI and drone space are both on legislators’ radars. As such, it is possible that game-changing legislation could alter the course of the market. These changes could work in favor or against Shield AI.
Market Risk
When purchasing pre-IPO shares, you’re committing to the future of Shield AI and its products. It’s vital to understand that companies like Shield AI, have yet to announce any dates. As such, it could be a long time before the company goes public. During that time, the market can experience massive swings, making it impossible to tell what the pre-IPO tokens’ value will be during the launch.
Valuation of Shield AI and Future IPO
Shield AI received a $2.8B evaluation, qualifying it as a Unicorn in the market. The company’s hard work in the AI and drone markets has helped to secure its spot as a top contender. Its work with autonomous drone swarms has sparked international interest and is funded by some of the top militaries in the world.
Nobody can say for certain if and when Shield AI may go public. However, most analysts agree that the company’s stock would be a major success with lots of demand as its services and products are already battle-tested.
Shield AI going public would represent one of the largest AI flight operations expanding. This growth in the market and by Shield AI will help to usher in more support for fully autonomous flight, creating safer and more efficient travel and logistics in the future.
Conclusion
The world continues to turn to automation to help make transport, travel, and interactions safer; Shield AI remains a viable solution across the entire spectrum. From commercial drones picking fruit to advanced weapons of war patrolling the skies, Shield AI drones are making an impact on the global stage. You can expect to hear a lot more about Shield AI as its products and services push the technology further and expand people’s understanding of drone tech to new heights.
Learn about other Pre-IPO Opportunities Now
Disclaimer: This article is for informational purposes only and does not constitute financial, legal, or investment advice. Pre-IPO shares are typically available only to accredited investors and carry significant risk. Always perform thorough due diligence and consult a financial advisor or legal expert before making investment decisions.
