Business | Schumpeter

AI-wielding tech firms are giving a new shape to modern warfare

Ukraine is a testing ground for companies like Anduril and Palantir

Much of the Western military hardware used in Ukraine sounds familiar to any student of 20th-century warfare: surface-to-air missiles, anti-tank weapons, rocket launchers and howitzers. But Ukraine’s use of Western information technology, including artificial intelligence (ai) and autonomous surveillance systems, has also had a powerful, if less visible, impact on Russian forces. Commercial vendors supply Ukrainian troops with satellites, sensors, unmanned drones and software. The products provide reams of battlefield data which are condensed into apps to help soldiers on the ground target the enemy. One American defence official calls them, appreciatively, “Uber for artillery”.

Behind this new form of warfare are some of the most unconventional minds in American tech. Everyone knows about Elon Musk, whose rocket company SpaceX put Starlink satellites at the service of Ukraine (though he has now restricted access from the battlefield). Your columnist recently met two other iconoclastic entrepreneurs. One is Palmer Luckey, a 30-year-old who in 2017 co-founded Anduril, a maker of surveillance towers, drones, unmanned submarines and an AI-driven system that supports them, called Lattice. With his trademark flip-flops, Hawaiian shirts and goatee, he is an atypical defence contractor (Tony Stark, Marvel’s gadget-obsessed “Iron Man”, springs to mind). Yet the startup is already shaking up the traditional model of military procurement in America. In its short life, it has won contracts in America and Australia. It provides autonomous systems to Ukraine. When it last raised money in December, it was valued at $8.5bn.

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This article appeared in the Business section of the print edition under the headline "The data geeks of war"

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