Defense Tech Firm Anduril Reaches $90 Billion Valuation, Offers Employee Stock Sales

American defense technology company Anduril is experiencing significant growth, recently allowing employees and former employees to sell shares at a company valuation of approximately $90 billion. This represents a nearly 50% increase from its valuation of $61 billion just five months prior. Founded in 2017, Anduril develops autonomous combat systems, drones, missiles, and artificial intelligence software for the battlefield.

The company is also adopting a compensation model common in large tech firms, where employees receive stock as part of their pay. This allows them to cash in some holdings as the company's valuation rises, even while it remains privately held. Anduril is facilitating the sale of up to $1.3 billion in stock at $94.80 per share, with the offer open until November 9. For the first time, employees and former employees from 16 countries are eligible to participate, expanding beyond previous limitations to the U.S., UK, and Australia.

Anduril was founded by Palmer Luckey, who previously founded Oculus, the virtual reality company sold to Facebook for about $2 billion in 2014. Luckey shifted his focus to the defense industry, aiming to disrupt the traditional, long-established sector dominated by companies like Lockheed Martin. Anduril's approach involves developing products proactively, leveraging software and AI, and aiming for rapid mass production, contrasting with the lengthy, expensive development cycles often dictated by military specifications.

Key products include the Fury autonomous combat drone designed to operate alongside manned aircraft, and the Roadrunner autonomous vertical takeoff and landing aircraft. The company also develops unmanned surface vessels, surveillance systems, attack drones, and missiles. Its core technology, Lattice, is a software platform that integrates various sensors and weapon systems to coordinate autonomous operations, enabling armies to manage numerous autonomous assets without individual operators for each.

The company's rapid growth is supported by recent conflicts highlighting the need for affordable drones and rapid manufacturing capabilities. Anduril's revenues reached approximately $2.2 billion in 2025, nearly doubling from the previous year, with projections for the current year at around $4.3 billion. In May, it raised $5 billion at a $61 billion valuation, with investors including Thrive Capital, Andreessen Horowitz, and Founders Fund.

Anduril has secured a significant agreement with the U.S. Army, potentially worth up to $20 billion over ten years for software, hardware, and services. Additionally, the company is investing $3.7 billion to build a submarine component manufacturing facility in Baltimore with the U.S. Navy. Despite its impressive growth and valuation, Anduril remains unprofitable, with its high valuation reflecting expectations of sustained rapid growth rather than current performance. The company's business model, which involves significant capital investment in manufacturing and inventory, carries financial risks if products do not secure substantial orders.

Anduril's success has also attracted attention in Israel, with the company exploring local operations and partnerships with Israeli defense firms in areas like drones, robotics, and autonomous systems. This presents both a potential major client and a competitor for Israeli industry, potentially drawing talent away.