Defense tech funding has accelerated sharply since 2022. Rising defense budgets across the US, UK and EU, the post-Ukraine reset in NATO procurement and broader acceptance of dual-use investment among generalist funds have all widened the active investor set materially. Round sizes have grown, and recent activity spans drones, autonomy, C4ISR, cyber, space defense and munitions adjacencies - categories that were largely uninvestable five years ago.

The active investor mix runs across defense and dual-use specialists (Andreessen American Dynamism, Shield Capital, Founders Fund, 8VC, Lux), sovereign-backed defense vehicles, and the corporate venture arms of US and European primes - Lockheed Martin, RTX, Northrop Grumman, BAE Systems, Leonardo - where strategic alignment matters. FOCI, CFIUS and ITAR considerations shape investor selection in a way they don't anywhere else, and the cap table has to be structured with eventual government-customer scrutiny in mind. Flow has direct relationships with the specialist funds, sovereign investors and CVCs active in the category.

Flow has experience running VC fundraising processes for defense tech companies across unmanned systems and counter-UAS, C4ISR and software-defined warfare, space and satellite defense, defense electronics and sensors, and dual-use cyber and autonomy platforms. Our extensive investor network spans early-stage seed funds, growth-stage investors, and strategic and corporate VC arms.