Parry Labs Raises $80M As Defense Tech Remains On A Tear

Defense tech startup Parry Labs completed an $80 million raise — the company’s first institutional investment round and just the latest in a string of big rounds to defense tech firms.

The round was led by Capitol Meridian Partners and included participation from True Ventures, 3Wire Partners and Teamworthy Ventures.

The Alexandria, Virginia-based company creates digital systems for the defense industry that include mission-critical software and advanced AI. The startup’s software stack helps defense clients with edge computing and electronic warfare products.

“The Parry team is leading the way defense customers can leverage digital engineering and open systems to provide new capabilities to the warfighter at the speed of need,” said founder and CEO John Parkes.

Defense tech on the offensive

The round is just the most recent for defense tech startups.

Earlier this month, Anduril Industries made headlines when it raised another $1.5 billion — matching its own record for the largest defense tech round ever and catapulting total funding numbers to likely new highs.

Just last week, McLean, Virginia-based Defcon AI, which developed an AI-powered decision tool for military logistics planning, raised a $44 million seed round led by Bessemer Venture Partners.

Other companies, such as defense software developer Helsing and autonomous surface vessels maker Saronic also raised huge nine-figure rounds.

Venture funding for defense tech startups is ready to set new records. So far in 2024, defense tech startups have raised $2.5 billion — per Crunchbase data — nearly matching the record high of $2.6 billion set in 2022. Last year, such startups collected only $2.1 billion total.