Investing.com– Palantir Technologies Inc (NASDAQ: ) is in discussions to invest in Shield AI, as the drone startup is set to nearly double its valuation to $5 billion in a new round of funding, The Information reported Friday, citing sources.
This potential investment is in line with Palantir’s strategic focus on enhancing its artificial intelligence (AI) capabilities within the defense sector.
The San Diego-based startup, which develops artificial intelligence-driven software for autonomous drones and aerial vehicles, is in the process of raising approximately $200 million. The funding is expected to come from defense and aerospace companies including Palantir, Airbus Group SE (EPA: ) and L3Harris Technologies Inc (NYSE: ), the Financial Times reported on Friday, citing sources familiar with the matter.
Venture capital firms such as Andreessen Horowitz, Point72 and Riot Ventures are also expected to participate, according to the FT report.
Palantir has so far not publicly commented on these talks, and further details about the potential investment remain undisclosed, according to reports.
