Shield AI has agreed to acquire radar maker Echodyne in a $5.3-billion deal that will expand its counter-drone and sensing capabilities.
The acquisition will bring Echodyne’s software-defined radar technology into Shield AI’s Mission Systems business, complementing its existing autonomy software, unmanned aircraft, and simulation products.
Echodyne’s radars are integrated into hundreds of counter-drone and security systems used by defense, government, and commercial customers in more than 40 countries, according to the companies.
Of the $5.3 billion transaction value, $4.8 billion will be paid and issued at closing, while up to another $500 million is contingent on Echodyne meeting agreed performance targets.
The companies expect to complete the acquisition in early 2027, subject to regulatory approvals and other customary conditions.
Echodyne will retain its existing team and continue selling its Metamaterials Electronically Scanned Array (MESA) radars as standalone products. CEO Eben Frankenberg will remain responsible for the company’s products, manufacturing operations, and customer relationships.
“The acquisition of Echodyne dramatically accelerates our efforts to meet growing customer demand for multi-mission capabilities, provides increased access to a rapidly expanding counter-drone industry, and further diversifies our revenue streams with sustained, compelling growth for the combined company,” Shield AI CEO Gary Steele said.
Echodyne’s Radar Portfolio Spans Defense and Civilian Markets
Based in Kirkland, Washington, Echodyne develops compact, solid-state radar systems using its patented MESA technology. The electronically scanned radars are designed to detect, track, and classify objects across different operating environments.
Its product portfolio includes EchoShield, a medium-range radar for fixed and mobile deployments; EchoGuard, a short-range system designed for portable and fixed use; and EchoFlight, a compact radar for airborne applications. The company also offers EchoWare software for radar management and system integration.
In defense applications, the radars provide tracking data for counter-drone systems, remote weapon stations, and other platforms. They can also support force protection, intelligence, surveillance, and reconnaissance operations, and mobile airspace monitoring.
“Hundreds of customers rely on our radars to detect and track drones, protect people and infrastructure, secure borders, and ensure safe airspace operations,” Frankenberg said.
“By joining Shield, we’re creating a company with the size and breadth to deliver even more value to our broad range of defense, government, and commercial customers around the globe.”