Shield AI joins $800M US Navy ISR Initiative with VTOL drone fleet

April 23, 2026, by Fatima Bahtić

Shield AI has been selected by the US Navy to provide contractor-owned, contractor-operated (COCO) intelligence, surveillance, and reconnaissance (ISR) services in support of naval and joint force operations.

Under the Navy’s initiative to expand and modernize ISR capabilities, Shield AI will compete for up to $800 million in task orders alongside other selected industry partners. The company plans to deliver persistent ISR using its V-BAT vertical take-off and landing (VTOL) uncrewed aircraft system (UAS).

V-BAT is a Group 3 VTOL uncrewed aircraft system with a ducted-fan design, more than 12 hours of endurance, and a heavy-fuel engine. It is actively operating at sea and from land-based sites with the US Coast Guard and US Marine Corps, including deployments from navy ships.

The UAS is designed for contested electronic warfare environments. Its single-engine, enclosed-rotor configuration will enable unassisted launch and recovery from ship decks and austere locations, supporting persistent ISR with a small, highly expeditionary footprint and minimal logistics requirements, according to ShieldAI.

“V-BAT has delivered more operational outcomes than any other Group 3 VTOL UAS. We’ve interdicted over 100,000 lbs of narcotics in the Caribbean and Pacific. V-BAT has executed hundreds of targeting operations in Ukraine, where GPS and communications are jammed during every mission, and we have delivered substantial outcomes in the Middle East and with our allies and partners,” said Brandon Tseng, Shield AI’s co-founder, president and a former Navy Surface Warfare Officer and SEAL.

“We aren’t just bringing the V-BAT product and service to the Navy; we’re bringing a world-class team with a wealth of operational experience and the ability to produce undeniable outcomes for our warfighters.”