HENSOLDT and 21strategies Collaborate on Next-Generation AI for Defense Systems

The strategic collaboration will drive the development of next generation artificial intelligence (AI) and take HENSOLDT's AI competencies to a new level By Joseph Macey / 30 Jan 2023
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HENSOLDT and AI company 21strategies have agreed a strategic collaboration to drive the development of next-generation artificial intelligence (AI) for defense systems.

HENSOLDT will also participate in 21strategies’ financing round, providing a strong foundation for the cooperation. According to HENSOLDT, the agreed partnership will take its AI competencies to a new level. Because of the new AI approaches of the so-called Third Wave, such as cognitive AI, decisions in combat situations and the reaction to unknown threats can be decisively accelerated.

In addition, synergies result from the combination with HENSOLDT’s existing Open Source Intelligence (OSINT) competencies, which will further increase the performance of AI in the future.

The two companies are believed to be working closely together on GhostPlay, a project for the German Armed Forces Digitization and Technology Research Center (DTEC.Bw). GhostPlay creates a high-performance, synthetic simulation environment (= Ghost) in order to develop decision-making procedures taking into account different parameters (= Play) by means of AI and in interaction with opponents who have different profiles.

According to HENSOLDT, the technological approach of 21strategies complements its AI competencies and strengthens its performance profile in the areas of sensor management and cognitive electronic warfare. This includes, among other things, the development of multistatic and distributed sensor technology.

Celia Pelaz, Board Member and Chief Strategy Officer at HENSOLDT, said: “As a technology company in the defense industry, we have special requirements for AI. In order to optimally enable highly complex defense systems, we need to master artificial intelligence in its entire range. To this end, we develop many AI competencies in-house and supplement them in a very targeted manner by working with specialized partners such as 21strategies. As a strategic investor, we are able to provide the company with significant support in the defense sector and benefit from the targeted and rapid further development of the technology. Because we at HENSOLDT are convinced, the defence systems of tomorrow will be created at the interface of artificial intelligence with the deep knowledge of the application scenarios of our customers. The minority shareholding in 21strategies is the first of its kind at HENSOLDT. This is right in line with our policy of working with young and dynamic high-tech companies with strong cooperation potential.”

Yvonne Hofstetter, CEO and Co-Founder of 21strategies, added: “Already working for military research labs in the past, the 21strategies team had proliferated third-wave AI for currency and commodity hedging – these days, as you can see, more than ever a national security and preparedness issue. Through the successful cooperation with one of the most innovative representatives of the defense industry, we are once again making our AI tech stack available for defense as well. In doing so, it is of great concern to us to offer AI systems that meet our clients’ requirements for the legal and ethical compliance of AI. HENSOLDT will therefore also benefit greatly from our expertise with value-based engineering.”

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