Defense Tech Newsletter - Europe’s Defense Tech Boom; Salesforce Deal Expands Defense Technology Push
NOVEMBER 4TH 2026
INNOVATION
BAE Systems unveils modular Sea Tridon naval gun
The 40mm system forms part of a four-configuration family for air, surface and shore-based threat protection.
INVESTMENT
Pentagon Takes Stake in Neros with $450M OSC Loan
Between a $250M raise, a $500M IDIQ contract under the US Army’s Purpose-Built Attritable System (PBAS) program, and $100M in drone orders through the Drone Dominance Program, it’s been a big-dollar year for Neros.
AI
Can BigBear.ai Ride the Next Wave of Defense Technology?
BigBear.ai Holdings, Inc. is positioning itself to capitalize on rising investments in defense modernization, autonomous systems and artificial intelligence (AI)-powered national security solutions.
Growing demand for mission-ready AI, expanding government relationships and strategic acquisitions could strengthen the company's long-term growth prospects. However, converting these opportunities into sustainable profitability remains a challenge.
Defense Disruptors: How Palladyne AI Could Let One Soldier Command 200 Drones
NextGen Defense spotlights the startups redefining military tech, cutting through the hype to examine the innovations driving the future of defense. 🚀
TECHNOLOGY
Defense Technology Company Expands U.S. Operations In Herndon
Smart Shooter opened new offices in Herndon to support AI-powered targeting systems used by the U.S. military and allied forces.
I Hunted the Soviet Victor III Sub From a US Navy Helicopter. We Could Only Hear It Inside 1 Mile
The Soviet Victor III attack submarine, introduced in 1979, was the first Soviet boat quiet enough to hide in the ocean’s background noise. As an SH-2F LAMPS aircrewman hunting it in the early 1980s, I remember our estimate of its detection range: under one mile.
We learned why later. The John Walker spy ring had handed Moscow the exact frequencies we tracked, and the Victor III was built to erase them. What follows is how the ghost got caught anyway: a collision with USS Drum in 1981 and a fouled sonar cable off South Carolina in 1983.
POLICY
US clears $2.1bn PAC-3 MSE missile sale for Ukraine
Canada, Germany, Norway and EU-backed national funding would finance 500 Patriot interceptors, with no US funds involved.
ACQUISITION
Salesforce Acquisition Expands Its Defense Technology Push
The reported Salesforce Acquisition of Rune Technologies for $375 million marks another step in the company’s expansion into defense technology. The startup develops AI software that helps the U.S. military predict supply requirements and manage logistics in the field.
The reported agreement could strengthen Missionforce, Salesforce’s national security business, by connecting frontline operational information with its existing administrative and planning capabilities.
EUROPE
Europe’s Defense Tech Boom: Investment, Gaps
Three new reports examining venture capital, hybrid security threats and dual-use innovation reveal a growing defense technology across Europe's eastern flank. Yet behind record investment figures, questions remain about where capital is flowing.
France is a hard defence market for startups to crack, but also one of Europe’s most valuable
A new report from Keen Venture Partners sets out how French defence buying works, and where startups can find a route in.
France investing in naval power as military ambition is 'to be feared': Armed forces minister
Macron has previously used similar words during his nuclear strategy address in March, when he announced in Brittany an increase in the country’s nuclear warhead stockpile.
DRONES
3D-Printed Engine Powers US Army Drone in Breakthrough Flight
A 3D-printed heavy-fuel rotary engine pairs with electric power to give a US Army drone a new way to fly.
New RAF Protector drone tracks Russian warships
The remotely piloted aircraft provided more than 10 hours of Channel surveillance during monitoring of Russian vessels.
RESEARCH
Air defense soldiers may be getting a new skill badge
A “pre-decisional” Army slide indicated that soldiers with at least five “successful hostile engagements” in a combat environment would be eligible for the new badge.
ARMY
US Army Takes Agentic AI to Europe for Faster Target Validation
The deployment builds on US Army trials reporting faster intelligence processing and targeting, with human oversight retained over operational decisions.
NAVY
Thales subsidiary lands US Navy contract for remote mine hunting modules
The contract, awarded to Advanced Acoustic Concepts, is worth $53.9 million and also covers engineering support for the modules.
AIR FORCE
Air Force Now Offers Free Wi-Fi in Dorms on 25 Bases
Airmen can now tap into free high-speed Wi-Fi in dormitories at 25 Air Force bases with more installations scheduled to come online, through a deal with with internet provider Boingo Wireless.
STRATEGY
Strategic Capabilities Office Expanding Scope in 2027
The Defense Department office dedicated to delivering wide-ranging battlefield priorities within a five-year timeline is planning an uptick in new projects for 2027 as its coffers rise and warfighter challenges evolve.
The Strategic Capabilities Office executed a $1.7 billion budget in fiscal year 2026 — a bump from roughly $1 billion in prior years, according to its director Jay Dryer. “And if you talk of what we’re managing of other people’s money, that’s probably north of $2 billion this year.”
