Inside The Defense Tech Investment Boom

Lockheed Martin Ventures’ Chris Moran, Brave Capital’s Joe Addiego, and Bessemer Venture Partners’ Janelle Teng are interviewed by Joe Felter. They discuss the hottest defense tech trends — from low-cost, scalable hardware to collaborative autonomy and AI at the edge to next-gen power systems. The panel debates dual-use versus government-only models, shares playbooks for surviving procurement and certification, and offers candid advice on navigating demand signals and crossing the “valley of death.”

Key Takeaways

• The Convergence of Commercial and Defense Innovation

  Technologies like AI, autonomy, and space systems are being developed commercially first—defense is increasingly relying on the private sector for cutting-edge capabilities.

• Strategic Capital as a Bridge

  Corporate venture arms can help startups navigate complex defense procurement processes and validate solutions for operational use.

• Patience and Mission Alignment Matter

  Defense innovation requires investors who understand long timelines and national security missions.

• Evolving Government Engagement

  Programs like DIU and AFWERX are making it easier for startups to enter the defense market, but cultural and contracting barriers still remain.

• Collaboration Drives Advantage

  Success in national security innovation depends on coordination among venture capital, primes, and government partners.