In some ways, the prospects for a technology company entering the defense business have never looked better. Last year saw record global military spending exceeding $2 trillion for the first time, while the U.S. spent $801 billion on the military.

New defense technology companies, such as Anduril Industries Inc. and Epirus Inc., have raised hundreds of millions of dollars at valuations surpassing a billion dollars. They are also starting to win major government contracts.

Originally published in Law360 - September 9, 2022.