May 2026 Edition

May was a momentous month in the defense tech world. Anduril closed the largest defense tech venture round in history, the U.S. Space Force named the 12 companies building the Golden Dome architecture (we now have positions in two of them), and the U.S.-Iran ceasefire moved from fragile to nearly final with a peace framework taking shape around the Strait of Hormuz reopening. International capital is pouring into U.S. defense tech in a structural shift of how the category is perceived.

For deeper analysis on the industry, my Substack Investing in Organized Chaos continues to publish on these themes. Recent posts have covered turbine backlogs, attritable engine needs, and the defense supply chain. Each piece connects directly back to where we invest and how Cyrus is positioned.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

Arbor Energy

Arbor continued advancing its 1MW ATLAS pilot. The company was selected by the Department of Energy for the Carbon Negative Shot pilot program, deploying ATLAS as a Carbon Removal and Storage demonstration designed to permanently remove 50k to 70k metric tons of CO2 per year at scale. With Nishad Pai now having joined as the Chief Commercial Officer, the team is actively negotiating hyperscaler contracts against the GridMarket framework announced in March.

Icarus

Icarus continued advancing its stratospheric flight test campaign. They’re currently executing against a 12 month SOCOM pilot contract and are in preparation for a formal U.S. Army demonstration scheduled for August 2026. The company has been heads down and hard at work as they work towards this demonstration.

Volund Manufacturing

Volund continues to scale manufacturing operations following their AS9100 certification. CEO Eric Hostetler appeared on the Black Flag fund’s podcast this month to discuss scaling production post-certification and deepening defense prime contractor relationships. The macro environment is continuing to compound in Volund’s favor with the U.S. facing a projected 7,000 unit turbojet engine deficit in 2026 alone.

Investment Opportunities & Updates

Our SPV positions continue to demonstrate significant momentum:

Anduril Industries

Three landmark milestones occurred this month. Most importantly the company officially closed their $5B Series H round at a $61B post-money valuation co-led by Thrive and Andreessen Horowitz. This is the largest defense tech venture round in history, doubling the company’s valuation from $30.5B in June 2025. Their total funding raised is now in excess of $11B.

If that wasn’t enough on May 13, Anduril signed a framework agreement with the Department of War to deliver a minimum of 3,000 cruise missiles to the Army at a minimum cadence of 1,000 units per year. Their first deliveries are scheduled for the first half of 2027. To secure propulsion, Anduril also deployed $75M of private capital to stand up its own solid rocket motor facility in Mississippi.

Lastly, on May 4th Anduril publicly named its Golden Dome Space Based Interceptor Team, with Impulse Space (also one of our investments) confirmed as a named subcontractor alongside Inversion Space, K2 Space, Sandia National Labs, and Voyager Technologies. Anduril and Palantir are also collaborating on Golden Dome’s command and control software layer, with software trials targeted for this summer.

Anduril’s Roadrunner Interceptor

Antares Nuclear

Antares continues to execute on their path to Mark-0 first criticality at Idaho National Laboratory. Following their Documented Safety Analysis approval last month, the program is now in the DOE Readiness Review phase, the last administrative gate before reactor startup. CEO Jordan Bramble has publicly stated that the team holds a comfortable margin against the July 4th criticality target. The DOE Reactor Pilot Program is targeting at least three advanced reactor criticality events by Independence Day, and Antares is among the leading candidates to be first.

An Antares engineer assembling their Mark-0 reactor at Idaho National Laboratory (INL)

Chaos Inc.

Chaos’ VANQUISH system has now reached TRL-9 designation. Their distributed network architecture enables the detection and tracking of unmanned aerial systems, aircraft, and missile threats up to 10 minutes faster than traditional radars at ranges up to 250 km. Following their inclusion in the U.S. Army’s G-TEAD Marketplace, Chaos is maintaining an active on-site presence with deployed units across NATO partners to provide training, integration, and rapid software updates based on operator feedback and real world events.

Congressman Jake Ellzey visiting Chaos Industries

Critical Loop

Following their closed Series A, Critical Loop has accelerated their commercial development. The company deployed approximately 50 MWh of microgrids in 2025 and is on track to deploy up to 100 MWh in 2026. Active projects now include a permanent 4 MWh storage installation at the San Diego International Airport, a 30 MWh movable fleet for utility emergency outages, and a partnership with Terawatt Infrastructure to manage grid load limits at EV fleet charging hubs. Critical Loop is also one of the first companies positioned to capitalize on CPUC’s February 2026 mandate directing SoCal Edison and PG&E to file “flexible service connection” tariffs. A policy shift that formally allows behind the meter microgrids to bypass traditional substation queues. Expansion into other grid-constrained regions is now underway.

Gitai - Our Latest Investment

Cyrus is pleased to announce our latest investment into Gitai. Gitai is a space robotics company headquartered in Torrance California, led by CEO Sho Nakanose. The company builds vertically integrated robotic systems for in-orbit servicing and lunar surface infrastructure construction.

On May 4th, Gitai confirmed its selection by the U.S. Space Force Space Systems Command as one of 12 prime contractors for the Space Based Interceptor (SBI) program under Golden Dome. This same $3.2B contract pool includes Anduril, Lockheed Martin, Northrop Grumman, Raytheon, SpaceX, and others. We are thrilled to be able to support an incredible team actively shaping the future of space.

Gitai’s In-house developed satellite platform

Hemispheric AI

Hemispheric continues operating in stealth. The broader non-invasive BCI category is advancing rapidly as closed-loop systems transition from research-grade prototypes to FDA-reviewed clinical pathways. We expect emergence on the company's own timeline.

Impulse Space 

Impulse was confirmed as a named subcontractor on Anduril’s Golden Dome SBI team. This is a meaningful contract validation extending beyond the company’s civil space pipeline. Their VICTUS SURGO mission will be the first orbital operation of the Helios kick stage, and is targeted for this year on a SpaceX Falcon 9. Their newest Rigel engine continues to have regular hot fire testing at their Mojave facility.

Stoke Space

Stoke continued progressing toward Nova’s first launch from Cape Canaveral Launch Complex 14. As of this month the Nova rocket structure is now visible in the horizontal bay at their launch complex which is meaningful hardware progress at the site. Their Stage 1 structure shipped to Moses Lake on May 13th and the Zenith engine testing cadence has continued through this month. The company is still on track for their first launch this year.

Stoke Space’s Live testing in Moses Lake

Team & Strategy

Cyrus is pleased to welcome Elijah Nasseri to the team as our summer intern. Elijah will be supporting deal sourcing, portfolio research, and operations as we continue to scale through 2026. Please feel free to reach out and connect.

Market Insights

SpaceX Files for the Largest IPO in History

One announcement dominated the markets this month, on May 20th SpaceX publicly released its S-1 filing, formally setting the stage for a Nasdaq listing under the ticker SPCX. Reported valuation range is $1.75T-$2T, with a target raise of $40-$80B and a trading debut expected in mid-June. Twenty-three underwriters are leading the deal including Goldman Sachs, Morgan Stanley, Citigroup, JP Morgan, and BofA.

Defense tech and space infrastructure are no longer an emerging category looking for institutional validation, but now are an implicit foundational pillar of the public markets. SpaceX is one of the largest Golden Dome SBI awardees and operates in close adjacency to portfolio companies Impulse Space and Stoke Space. The market is now pricing the entire stack at scale, launch, propulsion, satellite communications, defense services, and orbital logistics. The capital appetite that was building privately is about to test itself publicly.

Per their S-1 SpaceX is being valued at roughly a 100x revenue multiple

International Capital is Reshaping the Defense Cap Table

The structural shift in 2026 is no longer just hyperscalers funding nuclear or the federal government funding manufacturing. It’s allied capital, sovereign wealth funds and government investment vehicles, all actively underwriting U.S. defense and dual-use technology.

The U.S.-Japan strategic investment tranche announced in March includes co-production planning for missiles and interceptor production in Japan, and a $40B GE Vernova Hitachi commitment for small modular reactor plants in Alabama and Tennessee. South Korea announced a government initiative supporting 100 defense focused startups by 2030. The EU’s €800B SAFE program is driving European purchases of U.S. defense tech at scale. Gulf sovereign wealth funds deployed $25B globally in Q1 2026 despite the Strait of Hormuz disruption.

Iran Ceasefire Moves Toward Peace Framework

This month, President Trump publicly stated that a deal with Iran has been “largely negotiated” with the Strait of Hormuz reopening as a central pillar. This follows coordinated discussions with Saudi Arabia, UAE, Qatar, Turkey, Egypt, Bahrain, and Israel. Iranian foreign ministry officials acknowledged “narrowing differences.” Brent crude dropped 5% upon the announcement as peace optimism took hold, though prices remain ~30% above pre-conflict levels.

The munitions consumption picture from the war is now clearer and underscores the multi-year replenishment opportunity. The U.S. fired over 1,000 Tomahawks, 1,100+ JASSMs, 40-70 Precision Strike Missiles, 1,000+ Patriot interceptors, and up to 290 THAAD interceptors. CSIS estimates replenishment timelines run roughly 3.5-4 years for these systems.

Until Next Time

May 2026 will be remembered as the month defense tech and the public markets formally collided. A $5B venture round at a $61B valuation. A $3.2B contract pool with two portfolio names inside it. A peace framework taking shape in the Middle East. A second sovereign capital wave from allies underwriting the architecture. The convergence of defense production and energy infrastructure isn't aspirational anymore, it's the dominant story in private markets.

If you're in LA, reach out. Always happy to connect.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Layers of Power: From Ground to Orbit

April 2026 Edition

Spring in defense tech is bringing physical infrastructure back to the US. The April milestones across the portfolio aren’t pitch deck claims; they’re concrete deliveries against multi-year roadmaps. Antares cleared its final regulatory gate before reactor startup. Anduril opened Arsenal-1 months ahead of schedule. The Space Force handed out $3.2B in Golden Dome contracts. And the FY2027 defense request at $1.5T is the largest since WW2. This gives the next four years a fiscal backbone of a caliber unimaginable when this fund was first formed.

For deeper analysis on the convergence we've been tracking, my Substack Investing in Organized Chaos continues to publish on these themes.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

Arbor Energy

Arbor announced a partnership with GridMarket on March 25 to deliver up to 5 GW of zero-emission baseload power to data centers, manufacturers, and infrastructure developers, with deployment beginning in 2029. The deal is anchored to Arbor's 25 MW HALCYON supercritical CO₂ turbine. The turbine is a modular, factory-built unit engineered to deploy meaningfully faster than traditional power infrastructure. A 5 GW supply commitment is one of the largest commercial signals in the company's history and slots Arbor squarely into the hyperscaler power buildout we've been tracking since the fund launched. The team continues to advance the ATLAS 1 MW pilot at El Segundo headquarters with first HALCYON delivery targeted for 2028 and gigawatt-scale manufacturing by 2030.

Arbor CEO Brad Hartwig Meeting with El Segundo Mayer Chris Pimentel

Icarus

Icarus continues stratospheric flight test campaigns and government engagement. In April the broader market validated the category: on April 11, Air Forces Central awarded a $270M IDIQ contract to a competing solar-powered ISR drone provider signaling DOD's deepening commitment to persistent overhead surveillance. This is exactly the gap Icarus's "cell towers in the sky" platform is built to fill at a fraction of satellite cost. CEO Henry Kwan and the team remain heads-down on flight testing ahead of the next demonstration cycle.

Volund Manufacturing

Volund achieved AS9100 certification this month on a fairly quick turnaround. This is the aerospace and defense industry’s quality management standard and contractual prerequisite before working with major primes. AS9100 builds on existing standards with additional requirements around traceability, counterfeit-parts prevention, and configuration control that is specific to aerospace and defense production. The certification formally credentials Volund’s facility for the prime contractor supplier pipeline.

Investment Opportunities & Updates

Our SPV positions continue to demonstrate significant momentum:

Anduril Industries

Two major milestones in this period. On March 23–24, Anduril officially commenced production of the YFQ-44A Fury Collaborative Combat Aircraft at Arsenal-1 in Pickaway County, Ohio months ahead of the original July 2026 target. COO Matthew Grimm publicly characterized the project as "running both ahead of schedule and under budget which is a rarity in the defense business." The $900M+ facility is designed to produce tens of thousands of autonomous systems per year, engineered as a fungible production floor that can shift between Fury, Roadrunner, and Barracuda based on DOD pull.

On April 24, the U.S. Space Force awarded Anduril one of twelve Other Transaction Authority contracts $3.2B in total to develop space-based interceptor prototypes for Golden Dome. Anduril and Palantir are also collaborating on the program's underlying software and operating system layer.

Testing Anduril’s YFQ-44A “Fury”

Antares Nuclear

The clearest schedule convergence story in the portfolio this period. On April 7, the Department of Energy approved the Documented Safety Analysis for the Mark-0 demonstration reactor at Idaho National Laboratory. This is the final design and safety case sign-off and one of the last steps prior to fuel loading and startup. Antares has cleared every gate on or ahead of schedule, and CEO Jordan Bramble has publicly stated the team has comfortable margin against the July 4, 2026 criticality target.

On April 22, the Department of the Air Force selected Antares alongside Radiant and Westinghouse Government Services to develop and operate a microreactor under the Advanced Nuclear Power for Installations (ANPI) initiative. Under the ANPI model, Antares will own, build, and operate the R1 microreactor while the Air Force pays only for the electricity consumed, with R1 deployment targeted for 2028.

Chaos Inc.

Following its addition to the U.S. Army's G-TEAD Marketplace which allows any Army Service Component Command and NATO ally to procure CHAOS systems without a separate competition the company is supporting continued Army experimentation with VANQUISH distributed radar through 2026, providing on-site integration and rapid software updates based on soldier feedback. The strategic backdrop has only sharpened: the FY2027 budget requests $20.6 billion for Counter-Unmanned Systems, including $14.4B in mandatory funding for counter-drone development and deployment across 250+ sites.

Critical Loop

Critical Loop has officially closed their $26 million Series A in which we participated. The round was led by Conifer Infrastructure Partners and Hanover, with participation from Better Ventures, Climate Capital, Adapt Nation Capital, and Cyrus Ventures. The company’s total committed financing now stands at $49 million, and CEO Bala Ramamurthy framed the round around shortening time-to-power "from years to mere days" via the company's modular battery and Cygnus power controller. With grid interconnection processing times still averaging 53 months nationally, Critical Loop's bridging model is hitting an inflection point, and the round will support expansion beyond California into additional territories.

Critical Loop Receiving Love from Nasdaq Following their Round

Hemispheric AI

Hemispheric continues operating in stealth. The broader non-invasive BCI category is advancing rapidly as closed-loop systems transition from research-grade prototypes to FDA-reviewed clinical pathways. We expect emergence on the company's own timeline.

Impulse Space 

Impulse continues progressing its Helios kick stage and Mira orbital transfer vehicle programs. The VICTUS SURGO Tactically Responsive Space mission the first time Helios will operate on orbit, and a pivotal demonstration for the company's lunar cargo architecture is currently scheduled no earlier than Q4 2026. Engine testing cadence remains strong (Rigel and Helios-related milestones in April), and the company's collaboration with Anduril on Golden Dome space-based interceptor work has been a notable development given the new SBI contract environment.

Impulse Space’s new Rigel Engine

Stoke Space

Stoke remains on the runway to Nova's first launch from Cape Canaveral Launch Complex 14. Engine testing milestones including Zenith ZE12 trim and hot-fire tests generated strong public engagement. AstroForge remains the confirmed payload customer for the Nova demo flight. Stoke holds eligibility for the $5.6B NSSL Phase 3 Lane 1 umbrella contract once Nova achieves first launch.

Stoke Space’s Nova Rocket

Market Insights

The $1.5 Trillion Backbone

The Trump administration submitted the FY2027 defense request on April 3 for $1.5 trillion. This comprises $1.15T in discretionary funding and $350B in mandatory reconciliation spending. As a percentage of GDP, this approaches Korean War-era levels. Beyond the headline, the structural composition is what matters for the thesis:

• $53.6B "Drone Dominance" ($39.2B for autonomous systems procurement and production capacity, $14.4B for counter-UAS at 250+ sites)

• $30B+ for munitions replenishment (Patriot, Precision Strike Missile, Tomahawks)

• $32.8B for NNSA (+12% vs. FY2026)

• $18B for Golden Dome operationalization

The Iran war that began February 28 has depleted roughly half of U.S. THAAD and Patriot stockpiles within seven weeks, and the U.S. has fired over 1,000 Tomahawk cruise missiles which is approximately ten times the annual procurement rate. The replenishment requirement is no longer a planning exercise; it's an industrial mobilization. Multi-year, multi-billion-dollar production contracts will follow.

Selected Lines within the $1.5T Total Request

Golden Dome Begins to Take Shape

On April 24, the Space Force awarded $3.2B under Other Transaction Authority to twelve companies: Anduril, SpaceX, Lockheed Martin, Northrop Grumman, RTX, General Dynamics, Booz Allen Hamilton, True Anomaly, Turion Space, GITAI USA, Quindar, and Sci-Tec. They’ve all been tasked with developing space-based interceptor prototypes. The total Golden Dome program budget has risen to $185 billion, with the SHIELD Multiple-Award IDIQ ($151B ceiling, ~2,440 qualified vendors) serving as the primary contracting backbone. Companies must demonstrate space-based interceptor capability by 2028.

Hyperscalers Have Accepted They Must Own Their Power

In January 2026 alone, Meta signed deals with Vistra, Oklo, and TerraPower locking in over 6 GW of nuclear power. Microsoft's 20-year PPA at the restarted Three Mile Island, Amazon's 1,920 MW Susquehanna deal, and Google's 500 MW Kairos SMR fleet bring the running total to over 10 GW of new U.S. nuclear capacity contracted by hyperscalers in the past year. On April 28, Tooele County, Utah approved a 9 GW data center campus with on-site SMRs and gas generation. The structural implication is now widely accepted: tech giants must own their power plants to secure their computational future. Microreactor demand for AI infrastructure is the cleanest pull-through in the energy stack and Antares sits squarely at that intersection.

Until Next Time

The April 2026 chapter is one I'll come back to as a marker. The fund's thesis was built on the bet that the convergence of defense production and energy infrastructure would force the country to rebuild its physical backbone. Watching Antares enter its final pre-criticality gate, Anduril open Arsenal-1 ahead of schedule, and 5 GW of Arbor capacity get committed to data centers all in the same 45-day window is the convergence in motion.

The next two months should bring the most consequential portfolio milestone in the Cyrus’ investment history: Antares Mark-0 first criticality. Stay tuned.

If you're in LA, reach out. Always happy to connect.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Powering an Innovative Future

March 2026 Edition

As a Persian, I’m proud to see the US trying to free Iran

March was a defining month. Operation Epic Fury reshaped the defense landscape overnight, Iran's strikes destroyed over $1.4B in U.S. radar infrastructure, exposing exactly the vulnerabilities our portfolio is built to address. Oil surged past $100/barrel. And while legacy systems failed, our companies executed.

Arbor Energy announced a landmark 5GW partnership with GridMarket, their first major commercial deployment agreement. Anduril won a $20B Army enterprise contract, began Fury production at Arsenal-1 ahead of schedule, and was selected alongside Palantir to build the software backbone for Golden Dome. Antares remains on pace for July 4 criticality. The thesis isn't theoretical anymore, it's operational.

If you're in LA, reach out. Always happy to connect.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

Arbor Energy: This was Arbor's biggest month since their Series A. On March 25, the company announced a partnership with GridMarket to supply up to 5GW of baseload power via approximately 200 HALCYON turbines, a potential $1B deal. The agreement marks Arbor's pivot from carbon removal narrative to direct clean energy provider for AI infrastructure. CEO Brad Hartwig's February POWER Magazine interview confirmed the first 25MW turbine online by 2028, with manufacturing capacity reaching 1GW annually by 2030. The company also hired Nishad Pai as Chief Commercial Officer, formerly of Heirloom Carbon, Google, and Amazon, a signal that commercial pipeline development is now a core priority.

Arbor’s Pilot Machine at the San Bernardino Kelly Space Site

Icarus: The Iran conflict highlighted exactly the Icarus use case: persistent surveillance over contested airspace at a fraction of traditional ISR costs. At $100K per unit versus millions for legacy platforms, the economics are increasingly compelling to defense planners facing the Strait of Hormuz reality. The company continues building on seven-figure government revenue as the DOD's Drone Dominance Program accelerates the broader defense drone ecosystem.

Volund Manufacturing: Alpha Delta Ventures announced their first-ever investment in Volund this month, citing "meaningful early traction across dual-use customers" and a "software-first mentality to scale effectively." The Redondo Beach facility continues running qualification batches for defense primes. With Iran placing real-world stress on the defense industrial base, the urgency around domestic turbojet production has never been greater.

Investment Opportunities & Updates

Our SPV positions continue to demonstrate significant momentum:

Anduril Industries: March was arguably Anduril's most consequential month ever. On March 23, the company began production of the YFQ-44A Fury at Arsenal-1, three months ahead of schedule. On March 14, the Army awarded Anduril a 10-year enterprise contract worth up to $20B, one of the largest defense contracts ever awarded to a non-legacy prime. And on March 24, the Wall Street Journal reported that Anduril and Palantir are co-developing the software backbone for Golden Dome's $185B missile defense architecture, with legacy primes serving as subcontractors, a notable inversion of the traditional hierarchy. The company also announced the acquisition of ExoAnalytic Solutions, adding a 400-telescope global network for space domain awareness.

Anduril’s Arsenal-1 Facility: From Empty Room to Production Line in 8 Months

Antares Nuclear: The team remains on pace for July 4 criticality at Idaho National Laboratory. Iran's destruction of $1.4B in U.S. radar infrastructure dramatizes exactly the energy resilience problem Antares solves, distributed, deployable nuclear reactors for forward operating bases are now an urgent procurement priority rather than a theoretical capability. The 300,000 sq ft Torrance facility can produce dozens of microreactor units per year once qualified.

Antares’ Pilot Reactor Arriving at Idaho National Labs

Chaos Inc.: The Iran conflict delivered the most dramatic real-world validation of the distributed radar thesis in modern history. In the opening hours of Operation Epic Fury, Iran destroyed a $300M AN/TPY-2 THAAD radar in Jordan and a $1.1B AN/FPS-132 early warning radar in Qatar, precisely the centralized, single-point-of-failure systems that Chaos's architecture is designed to replace. The EU also published its Action Plan on Drone and Counter-Drone Security in February, establishing procurement frameworks that represent a meaningful expansion market for VANQUISH in the NATO theater.

Critical Loop: The company received a feature in the LA Business Journal's "Who's Who in Tech" series this month. CEO Bala Ramamurthy and co-founders spoke to the core thesis: mobile microgrids that bridge the gap between grid constraints and immediate power needs. With oil above $100/barrel and 2,300+ GW stuck in interconnection queues, the demand signal for flexible, deployable power solutions continues strengthening.

CEO Bala Ramamurthy Speaking at RE+ Texas

Hemispheric AI: The company remains quiet with plans to publicize their development and traction later this year. CEO Hagai Lalazar continues developing the "decoding-first" approach to non-invasive brain-computer interfaces, with applications spanning defense, healthcare, and human-machine teaming.

Impulse Space: On March 10, the company announced a new 20,000 sq ft manufacturing facility outside Boulder focused on GNC development for Mira and Helios, plus propulsion machining. Helios flights remain on schedule for 2026, with the first Caravan rideshare mission to GEO fully manifested. Anduril also confirmed an RPO mission partnership with Impulse targeting 2026.

Stoke Space: Cape Canaveral Launch Complex 14 is ready. March brought clean-pad aerial views and infrastructure readiness posts, the 121-foot umbilical tower is up, propellant farms installed, flag raised. Nova's first launch remains targeted for later this year, which would unlock competition for $5.6B in NSSL Phase 3 contracts. The $860M Series D extension continues fueling operational momentum.

Stoke’s Andromeda Flight Engine Being Shipped to the Moses Lake Test Site

Market Insights

Iran Exposes the Infrastructure Gap: Operation Epic Fury validated our thesis in real time. Iran's opening salvo destroyed over $1.4B in fixed radar infrastructure—systems that took decades to build, gone in hours. The lesson is clear: centralized, high-value assets are liabilities. Distributed systems, deployable power, and autonomous platforms are the future. Our portfolio is positioned accordingly.

Oil Prices Surge: Brent crude spiked above $100/barrel following the Strait of Hormuz disruptions, with recent prices hovering around $99-100. The volatility is accelerating hyperscaler interest in fuel-flexible and grid-independent power solutions—exactly Arbor's positioning.

Prices spiked following Operation Epic Fury before partial de-escalation

Drone Warfare at Scale: Iran and its proxies have launched an estimated 2,000+ Shahed-type drones during the conflict, with some penetrating defenses and damaging infrastructure. The cost asymmetry is brutal: ~$30K attack drones versus missiles costing multiples more to intercept. Interception rates of 85-96% sound impressive until you calculate the economics at scale. This is the Chaos thesis playing out in real time.

Global Defense Spending Accelerates: The conflict has triggered defense spending increases across NATO, Gulf states, and Asia-Pacific. The EU published its Action Plan on Drone and Counter-Drone Security. Countries whose systems proved obsolete are now procurement customers. The addressable market for distributed radar, counter-drone systems, and resilient power infrastructure is expanding rapidly.

Until Next Time

March proved the thesis. Fixed infrastructure failed. Distributed systems, deployable power, and autonomous platforms are no longer theoretical advantages,they're operational necessities validated under fire.

Arbor landed a 5GW deal. Anduril won $20B in contracts and started Fury production ahead of schedule. Antares is months from criticality. Chaos's distributed radar architecture is being discussed in Senate Armed Services hearings. The convergence is here.

If you're in LA, reach out. Always happy to connect.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Modern Conflict Requires Modern Protection

February 2026 Edition

2 down 10 to go

February was a portfolio milestone month, that coupled with escalating geopolitical tension in the middle east and we’re already off to an intense start to the year. The U.S. military buildup in the Middle East is now the largest since the 2003 Iraq invasion, with two carrier strike groups deployed and F-22s positioned in Israel. Meanwhile, defense tech is pumping out new iterations to bring the latest tech to the fight as soon as possible.

This month Anduril's autonomous fighter co-pilot Fury completed its first weapons integration test flight, a defining moment for the Collaborative Combat Aircraft program. The company is also poised to raise a new $8B funding round at a $60B valuation. Stoke Space extended its Series D to $860M as Nova approaches first launch, and Arbor's CEO detailed HALCYON's path to 1GW annual production capacity by 2030 in a POWER Magazine feature.

For anyone seeing their investments grow and thinking, wow I need to figure out a better tax strategy, check out my latest Substack post "It's Not What You Make, It's What You Keep" on Investing in Organized Chaos.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

Arbor Energy: CEO Brad Hartwig provided an extensive interview to POWER Magazine this month detailing their HALCYON plant design and market positioning. Each modular 25MW unit can be linked to produce 100MW to 1GW+ of continuous output, with the first turbine targeted online by 2028 and manufacturing capacity reaching 1GW annually by 2030. Brad confirmed active discussions with hyperscalers, noting that 5+ year procurement backlogs for traditional turbines are driving urgency.

Icarus: Post Y-Combinator, the company announced a hiring push with 8 engineers joining a team that includes former SpaceX, Tesla, and TOPGUN members. The company continues building on its seven-figure government revenue base as the DOD's Drone Dominance Program advances toward 200,000+ platform acquisitions.

Volund Manufacturing: The Redondo Beach facility continues running qualification batches for defense prime contractors as the company works toward Q1 LOI closures. The strategic positioning strengthens as the Pentagon's Drone Dominance Program and the Army's million-drone procurement goal create massive demand for attritable propulsion systems.

Volund CEO Eric Hostetler presenting at their factory opening

Investment Opportunities & Updates

Our SPV positions continue to demonstrate significant momentum:

Anduril Industries: Other than the fact the company is raising an $8B funding round, they recently completed their first first weapons integration test flight for their Fury aircraft. The Air Force plans to field over 1,000 CCAs, with a production decision expected this year. Meanwhile, Arsenal-1 construction advances in Ohio, Building 1 walls are rising and production remains on track for Q2. Additional February wins include a $23.9M USMC Bolt-M contract for 600+ loitering munitions and a $43.7M DPA Title III award for solid rocket motor production expansion.

Anduril’s Fury in flight (video linked here)

Antares Nuclear: Following their DOE PDSA approval, the team is executing toward July 4 criticality at Idaho National Laboratory. This month they signed an MOU with the University of South Carolina Aiken for workforce development as Antares expands operations in the state. The company is closing final reactor design and completing qualification of heat pipes, heat exchangers, and power conversion systems. If that wasn’t enough, they just expanded into the remainder of their facility now occupying over 300,000 square feet.

For anyone trying to understand the scale of the full Antares facility

Chaos Inc.: Chaos while continuing to primarily operate in stealth, continues supporting Army experimentation with VANQUISH distributed radar systems. The company is providing on-site training, integration support, and rapid product iterations based on operator feedback. With drone threats dominating Middle East operations, the demand signal for distributed early-warning radar has never been stronger.

Critical Loop: The company showcased microgrid deployments at DISTRIBUTECH 2026 in San Diego, where 20,000+ energy professionals gathered to discuss grid modernization and DER integration. Critical Loop has begun implementing mobile microgrids with defense contractors, with aspirations to deploy at remote military installations.

Hemispheric AI: CEO Hagai Lalazar participated in a BrainMind panel on foundational models for EEG and neural bio-signals alongside AI experts including Tom Gruber (co-founder of Siri). The company also began recruiting for an Alzheimer's disease observational study, signaling progress on healthcare applications.

Impulse Space: LEO Express-3 has been announced as the first mission for the upgraded Mira vehicle design, validating improved systems ahead of GEO flights beginning this year. Helios flights remain on schedule for 2026, with the first Caravan rideshare mission to GEO fully manifested. Commercial partnerships continue expanding, SES and Infinite Orbits have signed multi-launch GEO transport agreements beginning 2027.

Impulse’s Helios Tank

Stoke Space: This month, Stoke announced a $350M extension to its Series D, bringing the round total to $860M and lifetime funding to $1.34B. CEO Andy Lapsa stated the additional capital will "accelerate future elements of its product roadmap." At Cape Canaveral, Launch Complex 14 reconstruction is nearly complete, the 121-foot umbilical tower is up, propellant farms are installed, and pad activation is imminent. Nova's first launch is expected later this year, which would unlock competition for $5.6B in NSSL Phase 3 contracts.

Stoke Space’s Nova Rocket

Market Insights

Iran Tensions Peak: The U.S. military buildup in the Middle East is the largest since 2003. Two carrier strike groups are deployed, F-22s are positioned in Israel, and reports indicate the U.S. is prepared to strike Iran "within days." Indirect talks in Muscat and Geneva have produced only preliminary progress. This backdrop validates persistent demand for missile defense, counter-drone technology, ISR platforms, and deployable energy solutions across our portfolio.

Golden Dome Advances: The $151B SHIELD contract vehicle now includes over 2,400 qualified vendors. Midcourse interceptor solicitations posted in December are expected to yield awards shortly. $25B is already allocated to Golden Dome projects, with $5.6B directed specifically to space-based intercept capabilities. Anduril, alongside Northrop Grumman, Lockheed Martin, and True Anomaly, received initial boost-phase interceptor prototype contracts.

Defense Tech Funding Surge (Again): Defense tech VC deals reached $49.1B in 2025, nearly doubling from 2024. Manufacturing-focused investment rose to $4.7B across 39 deals. The emphasis is shifting from invention to execution, companies that convert facilities into repeatable output will capture both capital and contract velocity. Exits jumped to $54.4B from $18.2B the prior year.

Per Pitchbook, 2025 saw record funding as defense tech focus shifts from prototyping to production

Until Next Time

The convergence we've been tracking is accelerating. Iran tensions are proving the demand signal for everything from missile defense to deployable power. Defense tech funding nearly doubled in a single year, and our portfolio companies are passing milestones like Lewis Hamilton in the new Ferrari F1 car. Antares is months from criticality, Stoke just raised $860M, and Arbor is charting a path to gigawatt-scale production.

I'll be at Tectonic Defense in March, reach out if you'll be there.

Thank you for your continued support.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Autonomy Defending Infrastructure

January 2026 Edition

Is it still ok to say Happy New Year?

This month has already felt like 12 with everything that’s happened thus far. 2026 is off to a hot start. President Trump proposed a $1.5T defense budget for FY 2027, which would mean a 66% increase that would reshape the American industrial base. Iran tensions have escalated with carrier strike groups deployed and “fingers on triggers” rhetoric from both sides. Meta locked in 6.6GW of nuclear capacity in a single week, and the Cyrus portfolio companies continue crushing milestones against this backdrop.

This month Antares Nuclear received DOE safety approval for July, a major milestone towards reaching criticality, and Anduril’s Arsenal-1 factory confirmed Q2 production targets as construction progresses in Ohio.

On a personal note, I started writing down my perspectives on investing for anyone curious as to how I think about the opportunities I see. Check out Investing in Organized Chaos if you’re interested in some longer form thoughts on how deploy capital.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

Arbor Energy: The ATLAS 1MW pilot system is pushing through its final commissioning stages, and the team is executing on pre-ignition protocols ahead of their first fire. The company is planning to allow site visits to the test facility to watch demonstrations happen in real time.

Icarus: Since winning Y Combinator’s Fall 2025 Product Showcase in December, Icarus has maintained momentum building on its growing government revenue base. The DoD’s $1B “Drone Dominance” initiative targeting 340,000 units by 2027 creates significant tailwinds for persistent ISR (intelligence, surveillance, reconnaissance) platforms.

Volund Manufacturing: The Redondo Beach facility continues running qualification batches for defense prime contractors. Volund is on track to close several LOIs early in Q1 2026. Investors interested in the company’s progress feel free to reach out about an upcoming open house at their facility.

Volund’s Demonstrator Throttle

Investment Opportunities & Updates

Our SPV positions continue to demonstrate significant momentum:

Anduril Industries: Arsenal-1 is taking shape. One year after site selection near Columbus, Ohio, Anduril confirmed construction is progressing at “software speed.” The facility will produce the “Fury” autonomous fighter for the Air Force’s CCA program, with production slated for Q2 2026. The company also received a $10M Space Force boost-phase interceptor prototype contract (say that ten times fast) and announced a Boeing partnership for the Army’s IFPC Increment 2 interceptor program.

A glimpse at the progress of Arsenal-1

Antares Nuclear: On January 26, the DOE approved Antares’ Preliminary Documented Safety Analysis for Mark-0, their demonstration reactor. They’re on track to achieve criticality before July 4, 2026, and if successful will become the first nuclear startup this century to bring a reactor critical. CEO Jordan Bramble described this as “the most significant milestone of the entire process” as they aim to make history.

The Antares team working on their heat pipes

Chaos Inc.: Following their G-TEAD Marketplace selection in December after their work in Germany, Chaos is now positioned for rapid Army procurement of their VANQUISH distributed radar systems. The company is continuing to support the Army’s experimentation with on-site training and rapid product iterations based on their feedback.

Critical Loop: Our latest investment is into a company delivering mobile power to energy constrained sites. Founded by CEO Bala Ramamurthy (ex. SpaceX), the company’s UL-certified power control system addresses the 2,000+ GW stuck in interconnection queues. Their mobile battery solutions mean that hyperscalers and customers now have a path to power capacity while waiting for the ever slow long-term infrastructure to catch up.

Hemispheric AI: CEO Hagai Lalazar was featured in Forbes this past December, outlining the company’s decoding first approach to non-invasive brain computer interfaces. Further details on the company are slated to be announced this year with applications spanning defense, healthcare, and human machine teaming.

Impulse Space: Ending out the year Impulse executed a successful autonomous rendezvous during the LEO Express-2 mission. In layman’s terms, this was an an industry first and they did it all using only a lightweight camera and some closed-loop software. The company’s lunar cargo architecture is slated to expand to offer 3-ton payload delivery by 2028.

Impulse’s Mira Vehicle

Stoke Space: The company’s Nova rocket development is progressing smoothly with a successful FTS test in January and ongoing testing of their Zenith engine at Moses Lake. Their Cape Canaveral Launch Complex 14 construction remains on schedule for use in early 2026. Their first launch is targeted before the end of the year which would unlock competition for $5.6B in NSSL Phase 3 contracts.

Market Insights

$1.5 Trillion Defense Budget Proposed: On January 7th, President Trump announced a proposed FY2027 defense budget of $1.5T, a 66% increase over the FY2026 target of $901B. While numerous budget analysts question the feasibility, the signal is clear: defense spending is accelerating, with autonomous systems, counter drone systems, and missile defense as priorities.

FY 2027 reflects the impact of the Trump administration’s proposal

Iran Tensions Escalate: The USS Abraham Lincoln carrier strike group deployed to the Middle East as Trump warned “time is running out” for a nuclear deal. Iran responded that forces are prepared “with their fingers on the trigger.” The 2026 National Defense Strategy acknowledges Iran is rebuilding conventional forces, expanding addressable markets for missile defense and counter drone systems, amongst ongoing political turmoil.

Hyperscaler Nuclear Deals Accelerate: Meta announced agreements with Vistra, Oklo, and TerraPower to procure up to 6.6GW of nuclear capacity by 2035, the sector’s largest deal to date. With U.S. data center demand reaching 75.8GW in 2026 (up 22%) and 2,000+ GW stuck in interconnection queues, distributed generation solutions and off the grid solutions are becoming increasingly strategic.

Until Next Time

The convergence we’ve been tracking is no longer a thesis, it’s consensus. The $1.5 trillion budget proposal, Meta’s 6.6GW nuclear commitment, and Golden Dome’s $151 billion contract vehicle all point to the same conclusion, infrastructure will determine the winner.

Thank you for your continued support, here’s to a strong 2026.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Powering the Future

December 2025 Edition

Happy Holidays from Cyrus Ventures

As we close out 2025, this edition of Radar reflects on a year that validated our core thesis: infrastructure determines destiny. The convergence of AI compute demands, defense production needs, and energy grid requirements isn't theoretical, it's now driving record capital flows across every sector we touch.

December Highlights:

• Antares Nuclear closed a $96M Series B to accelerate its microreactor demonstration timeline

• Anduril secured a prime position on the $151B Golden Dome SHIELD contract vehicle

• Icarus won the YC Fall 2025 Product Showcase and confirmed seven-figure government revenue

• Impulse Space executed a successful autonomous rendezvous mission, validating critical orbital logistics capabilities

2025 Year in Review: The numbers tell the story. U.S. defense tech funding hit $19 billion, nearly doubling 2024. Hyperscaler infrastructure spending surged to $405 billion. Golden Dome alone allocated $25 billion, clearing over 1,000 vendors for a $151 billion contract pool. Our portfolio companies publicly raised hundreds of millions of dollars, won contracts across every service branch, and moved from concept to hardware.

Infrastructure is no longer a supporting player. It's the main event.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

Arbor Energy

Fuel-flexible supercritical CO₂ turbine technology

The 1MW ATLAS pilot system at Arbor's El Segundo headquarters is in final commissioning stages, with the team executing pre-ignition protocols ahead of first fire. The $55M Series A closed in October continues to fund both the pilot completion and development of HALCYON, the 25MW commercial system designed for hyperscaler deployment.

Arbor's $41M carbon removal offtake agreement with Frontier (backed by Alphabet, Meta, and Stripe) remains the anchor for commercial deployment, positioning the company at the intersection of AI energy demand and decarbonization.

2025 Milestones: $55M Series A (Oct) • $41M Frontier offtake (Q3) • ATLAS pilot construction completed (Nov) • HALCYON development accelerated

Arbor’s Christmas Test Skid (December 2024)

Icarus

 Solar-powered stratospheric drones

December was a breakout month for Icarus. At Y Combinator's Fall 2025 Demo Day on December 2, the company won the F25 Group 1 Product Showcase, a significant validation of both the technology and Henry's vision for "cell towers in the sky."

During the presentation, leadership confirmed Icarus is already generating seven figures in revenue from U.S. government contracts, a remarkable milestone for a company positioning a six-figure drone as a persistent, low-cost alternative to satellites costing millions.

The investor roster now includes Taro Fukuyama and Pioneer Fund, both of whom have publicly endorsed the strategic value of stratospheric connectivity for defense infrastructure.

2025 Milestones: Pre-Seed Extension closed (Apr) • Army flight demonstrations (Aug) • YC Fall 2025 batch • Demo Day winner (Dec) • 7-figure government revenue confirmed

Icarus Balloon Test Launch (July 2025)

Volund Manufacturing

Attritable gas turbine manufacturing

Volund continues to operationalize its Redondo Beach facility, running qualification batches for prospective defense prime contractors. The company's automated production line is purpose-built to address the 7,000-unit turbojet deficit in the U.S. defense industrial base, a gap that becomes more acute as attritable systems move from concept to doctrine.

No new contracts were publicly announced in December, but the company is on track to close on several LOIs and similar opportunities early into Q1 2026. The strategic positioning remains strong as DOD invests billions in drone manufacturing capacity with a goal of producing one million units by 2027.

2025 Milestones: Cyrus investment closed (Jul) • Redondo Beach facility online (Sep) • Demo engine testing with primes (Q4)

Volund Testing Their Demonstrator Engine (August 2025)

Investment Opportunities & Updates

Our SPV positions demonstrated significant momentum this year:

Anduril Industries

Autonomous defense systems

Anduril closed 2025 with a landmark win: selection as a prime contractor on the $151 billion SHIELD IDIQ contract vehicle for Golden Dome, the administration's layered missile defense architecture. The company also received a ~$10 million prototype contract from U.S. Space Force to develop boost-phase space-based interceptors—competing directly against Lockheed Martin and Northrop Grumman.

This caps a year that saw Anduril double its valuation to $30.5B, break ground on the 5-million-square-foot Arsenal-1 factory in Ohio, and win over $900 million in new contracts including the $642M Marine Corps counter-drone award and $99.6M Army NGC2 prototype.

Anduril’s Founder Palmer Luckey Standing with their Omen VTOL (November 2025)

Antares Nuclear 

Microreactors for defense and space

Antares closed a $96 million Series B on December 3, led by Shine Capital with participation from Caffeinated Capital and Alt Capital. The funding accelerates construction of the Mark-0 demonstration reactor at Idaho National Laboratory, targeting criticality before July 4, 2026.

The company maintains active development contracts with U.S. Air Force, Space Force, DIU, and NASA (for lunar surface power concepts). The December 2 NRC approval of TerraPower's Kemmerer project signals a more favorable regulatory environment for advanced reactor companies—a tailwind for Antares as it approaches its critical demonstration milestone.

Antares’ Reactor Rendering

Chaos Inc.

Distributed radar systems

Fresh off its $510 million raise in November, Chaos secured selection for the U.S. Army's G-TEAD Marketplace on December 16. This designation enables rapid procurement of VANQUISH distributed radar systems by Army Service Component Commands and NATO allies.

The selection follows successful participation in Project Flytrap 4.5 in Germany (November-December), where Chaos demonstrated its Coherent Distributed Network (CDN) technology in a live, contested electronic warfare environment against NATO partners.

Chaos’ Radar Rendering

Hemispheric AI

Non-invasive brain-computer interface

CEO Hagai Lalazar was featured in Forbes on December 7, detailing Hemispheric's "decoding-first" approach to brain-computer interfaces. The strategy differentiates the company from invasive competitors by focusing on advanced signal processing of non-invasive data rather than surgical implants.

The company remains in stealth regarding specific defense partnerships and FDA regulatory timelines, with plans to emerge publicly in 2026.

Personally Testing Hemispheric’s Systems with CTO Gidi Littwin

Impulse Space

In-space transportation

On December 15, Impulse Space executed a successful Autonomous Rendezvous and Proximity Operation (RPO) during the LEO Express-2 mission. The Mira orbital transfer vehicle maneuvered to within 1.2 kilometers of a target object using software from partner Starfish Space.

This capability—high-thrust autonomous maneuvering—is foundational for the company's lunar cargo architecture targeting 3-ton payload delivery by 2028, as well as future inspection and servicing missions.

Impulse Space’s Leo-Express 2 Cracking Jokes

Stoke Space

Reusable rockets

Construction at Cape Canaveral Launch Complex 14 remains on schedule for early 2026 activation. The team is deploying Series D capital to finalize first-stage reuse hardware for the Nova rocket, which will be fully reusable from day one.

Stoke's Spring 2025 selection for NSSL Phase 3 makes the company eligible to compete for up to $5.6 billion in national security launch contracts—a significant validation of the technology roadmap.

Stoke Space’s Zenith Engine Test Burn

Team & Strategy

The Value Beyond Capital

2025 reinforced what we've always believed: in defense tech and energy infrastructure, relationships compound faster than returns.

This year, our venture partners, Andrew Shapiro, Neil Mason, Meharban Sobti, and Bob Urberger, provided technical diligence that prevented costly missteps and identified opportunities others missed to our entire portfolio.

The fund's positioning at the intersection of AI compute, defense production, and energy infrastructure isn't just a thesis, it's a network effect. Every portfolio company strengthens connections to the others. Every LP relationship opens doors that benefit the entire ecosystem.

As we enter 2026, that network continues to expand.

Market Insights

We’ve been saying infrastructure determine destiny. Here's how 2025 proved it.

Defense Tech: From Niche to National Priority

U.S. defense tech startups closed 2025 with $19 billion in funding, a figure that seemed improbable even two years ago when the sector raised just $5 billion. The growth wasn't linear; it was exponential, with 2024's $10 billion serving as the inflection point. AI/ML applications captured 60% of capital as autonomous systems moved from prototypes to production contracts. Counter-drone, space defense, and hypersonics rounded out the surge.

The largest rounds tell the story: Anduril ($2.5B), Saronic ($600M), Chaos Industries ($510M). These aren't seed bets, they're growth rounds backing companies with revenue, contracts, and production capacity.

Five years. 850% growth. Defense tech is no longer a niche—it's a category.

Energy Infrastructure: The Hidden Bottleneck

Hyperscaler capital expenditure exceeded $405 billion in 2025, with Microsoft, Amazon, Google, Meta, and Oracle all racing to secure reliable power for AI compute. Nuclear commitments alone topped $50 billion as data center demand projections for 2026 reached 500-600 TWh globally.

Yet the grid can't keep pace. U.S. utilities invested $208 billion in infrastructure, but over 10,300 projects remain stuck in interconnection queues, a 5-7 year backlog representing 2.6 terawatts of stranded capacity. This bottleneck creates asymmetric opportunity for companies that can deliver power outside traditional grid constraints.

Golden Dome: Defense Meets Infrastructure

The administration's layered missile defense initiative allocated $25 billion in 2025, culminating in December's clearance of 1,014 vendors for a $151 billion contract pool. Space-based sensors and interceptors are now the priority, with contracts flowing to both legacy primes and insurgent defense tech companies. The program exemplifies the convergence we've been tracking: advanced manufacturing, AI-enabled systems, and energy-intensive production capacity all intersecting at scale.

The Correlation That Matters

Underlying all of this is a pattern as old as industrialization: energy abundance enables national wealth. The R-squared correlation between energy consumption per capita and GDP per capita remains approximately 0.8 globally, meaning energy access explains 80% of the variance in economic output.

Countries that invested in energy infrastructure over the past two decades (South Korea, China, Norway) saw GDP growth follow. Those that underinvested stagnated. The same logic now applies to AI infrastructure, defense production, and grid capacity. The nations and companies that build will lead; those that don't will depend on those who do.

Energy Abundance Drives Economic Output

Data: World Bank (GDP, 2024), IEA/Our World in Data (energy, 2024). Outliers exist—Singapore achieves high GDP with moderate energy through service-economy efficiency; Saudi Arabia shows high consumption with mid-tier GDP due to subsidies—but the pattern holds.

Until Next Time

2025 was a year of validation. The thesis held. The portfolio delivered. The convergence we anticipated—AI compute, defense production, energy infrastructure—is now consensus.

But consensus creates competition. The question for 2026 isn't whether these sectors will grow; it's who will capture the value. We believe the answer lies in relationships, speed, and positioning at critical nodes in the infrastructure stack.

Cyrus enters the new year with a strong portfolio, an expanding network, and a pipeline of opportunities that reflect everything we've learned. We're grateful for your partnership and excited for what's ahead.

Wishing you and yours a peaceful holiday season and a prosperous 2026.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Building Tomorrow: Foundation First

November 2025 Edition

November delivered landmark validation across our portfolio and SPV positions as defense infrastructure moved from thesis to execution. Anduril’s selection for the Army’s next-generation counter-UAS fire control system displaced an incumbent prime contractor, while Chaos Industries' $510M raise at $4.5B valuation marked a significant markup from our July position. The Pentagon awarded initial Golden Dome space-based interceptor prototype contracts, with Anduril among the recipients.

Meanwhile, hyperscalers deployed over $100B in Q3 datacenter capital expenditure alone, reinforcing the energy infrastructure bottleneck driving our Arbor and Antares investments. The convergence we've been positioning for isn't theoretical—it's generating contracts, valuations, and validation in real time.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

• Arbor Energy: Initial testing has begun on the company’s pilot system, moving them closer to their targeted December activation. The pilot represents a critical proof point for their fuel-flexible, zero-emission turbine technology as hyperscaler energy demands continue accelerating.

Technician Robert Hodge and Sr. Turbomachinery Engineer Michael Lucas with the Turbocompressor

• Icarus: The company attracted notable new investors following their Y Combinator momentum, including Taro Fukuyama (founder of Fond, acquired; GP at Rise Capital). Fukuyama agrees with our thesis and is quoted saying that Icarus solves “a massive gap in our defense infrastructure”.

• Volund Manufacturing: The factory has nearly all new equipment installed as the team prepares for scaled production. Leadership is expanding to support the company’s next phase of development as they continue addressing the critical turbine production bottleneck in the U.S.

Investment Opportunities & Updates

Our SPV positions demonstrated significant momentum this month:

• Anduril Industries: November was transformational. The U.S. Army selected Anduril for the Integrated Battle Command System Maneuver (IBCS-M) program, establishing their Lattice software as the next-generation fire control platform for counter-UAS missions—displacing Northrop Grumman's legacy system. Additionally, Anduril secured a $140M NNSA contract for counter-drone systems across four sites and received a $10M Golden Dome prototype contract for space-based interceptors alongside Northrop Grumman, Lockheed Martin, and True Anomaly. On top of it all, the company also announced a partnership with HD Hyundai Heavy Industries to build autonomous warships and announced their new product Omen.

Anduril’s Fixed Wing Omen Vehicle

• Antares Nuclear: CEO Jordan Bramble spoke at the SC Nuclear Summit, sharing Antares’ progress toward deployable microreactors. The team also completed their Electrically Heated Demonstration Unit (EDU), a key technical milestone on the path to their July 2026 critical demonstration.

Antares Team Installing Heat Pipes into their Electrical Demonstration Unit

• Chaos Inc.: The company raised $510M led by Valor Equity Partners, reaching a $4.5B valuation—a meaningful markup from our July position when we participated in their Series C at $2B. Antonio Gracias (longtime Musk business partner) joined the board. With Russia launching over 5,600 drones into Ukraine in September alone, Chaos Inc.'s distributed detection technology addresses an urgent operational need.

• Hemispheric AI: Our SPV in this non-invasive brain-computer interface (BCI) company has closed. The team is already seeing interest from prominent defense industry players for prospective partnerships, validating the dual-use potential of their technology platform.

• Impulse Space: The company unveiled comprehensive lunar cargo architecture in October, targeting 3-ton payload delivery to the lunar surface by 2028. This addresses a critical gap between NASA's CLPS program (hundreds of kilograms) and Human Landing Systems (20+ tons), positioning Impulse for the missing middle tier of lunar logistics.

• Stoke Space: Cape Canaveral Launch Complex 14 construction has achieved remarkable progress. The flame trench, launch mount, umbilical tower, and propellant farms are complete. Lightning towers are taking shape with pad activation targeted for early 2026. VP of Launch Jonathan Lund noted it may be "the fastest pad build—from concept to operation—that anyone's seen for this size of launch vehicle."

Team & Strategy

November reinforced that our relationship-driven approach continues generating access beyond what capital alone provides. Portfolio companies secured not just funding but critical government selections, strategic partnerships, and investor validation from operators who understand the defense landscape.

The infrastructure thesis has moved from forward-looking to present tense. When hyperscalers deploy $100B+ quarterly on datacenters while defense primes lose fire control contracts to software-native entrants, the market is signaling where value creation will concentrate. We remain focused on the picks and shovels of this convergence.

Market Insights

November's data validated the infrastructure convergence at the core of our thesis.

• Hyperscaler AI Infrastructure Race: Q3 2025 datacenter capital expenditure hit unprecedented levels as the major cloud providers compete to build AI capacity. Amazon led with $35.1B (raising full-year guidance to $125B), Microsoft deployed $34.9B (up 74% year-over-year), Alphabet invested approximately $23B (their third upward 2025 revision to $91-93B), and Meta contributed roughly $11B. Combined, the four majors are tracking toward $370-405B in 2025 infrastructure spending—nearly double 2024 levels. This capital intensity explains the urgency behind nuclear commitments and clean baseload solutions like Arbor's technology.

Q3 2025 CapEx nearly doubled 2024 Levels

• Golden Dome Moves from Appropriation to Execution: Following the $24.4B FY25 reconciliation appropriation, the Pentagon awarded initial prototype contracts in November. Space-based sensors ($7.2B) and boost-phase intercept systems ($5.6B) received the largest allocations, with non-kinetic defense, hypersonic countermeasures, and ground-based radar rounding out the funding. Anduril, Northrop Grumman, Lockheed Martin, and True Anomaly received initial $10M prototype awards, with a $340M prize pool for on-orbit test completion and production contracts potentially reaching $1.8-3.4B annually.

The Forward Year 2025 $24.4B Golden Dome Budget Broken Out

Until Next Time

As November closes and the year winds down, I want to wish everyone a warm Thanksgiving. Take time to enjoy family, reflect on what you're grateful for, and recharge before the final push into year-end.

The momentum across new U.S. hardtech startups has exceeded expectations this year. I'm grateful for the trust our investors place in Cyrus Ventures and the exceptional founders building the physical backbone of American competitiveness.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Protecting the American Empire

October 2025 Edition

Welcome to the October edition of Cyrus Ventures Radar. This month delivered extraordinary validation as Cyrus portfolio companies secured over $100M in combined funding while the Pentagon launched the Army Janus Program for military microreactors. Arbor Energy’s strategic pivot to fuel-flexible turbines, Antares Nuclear’s DOE Pilot selection, and Icarus joining Y Combinator demonstrate our portfolio’s strategic positioning at the intersection of AI power demands and defense modernization. The infrastructure race isn’t coming, it’s already here, and we’re helping build its foundation.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

• Arbor Energy: Closed a $55M Series A co-led by Lowercarbon Capital and Voyager Ventures with participation from Marathon Petroleum Corporation. The company announced their system will be fuel-flexible, capable of utilizing both biomass and natural gas with nearly no emissions, directly addressing AI’s explosive power demands. Their pilot is expected to turn on in December with commercial deployment targeted for 2028.

• Icarus: Joined Y Combinator’s Fall 2025 batch, gaining access to the world’s premier accelerator network ahead of December’s Demo Day. The company continues generating strong revenue while testing their vehicles in the stratosphere.

  

  Henry Kwan (Icarus CEO) Winning the Product Showcase for Y Combinator’s Fall Class

• Volund Manufacturing: CEO Eric Hostetler delivered a keynote at the Hudson Institute revealing a 7,000 unit turbojet market deficit for 2026 alone. The company’s manufacturing approach addresses core bottlenecks limiting the U.S. stockpile expansion. The team is actively hiring a Founding Turbomachinery Engineer so if you’re interested reach out!

Eric Hostetler (Volund CEO) Showcasing his New Equipment

Investment Opportunities & Updates

We’ve secured strategic access to several transformative opportunities while our existing investments continue their momentum:

New Strategic Positions:

• Hemispheric AI: We finalized our allocation in a breakthrough non-invasive brain-computer interface company. The team includes exited founders who previously co-created FaceID (sold to Apple) and CEO Hagai Lalazar who is a PhD in Computational Neuroscience. The system has compelling applications ranging from identification to healthcare, defense, and more.

Recent Investment Traction:

• Anduril Industries: Unveiled EagleEye AI headsets at AUSA securing ~$160M Army contract while announcing partnerships with Meta, General Dynamics, and Poland’s PGZ. Palmer Luckey confirmed IPO plans as the company sits at a $30B+ valuation.

• Antares Nuclear: Antares filed a notice for nearly $80M in additional funding while securing a selection for the DOE Nuclear Reactor Pilot Program. With first critical demonstration targeted for July 2026 and military deployments by 2028, they’re leading the charge in deployable nuclear power. The Cyrus team celebrated these milestones with the Antares team over lunch on Halloween!

Cyrus Team Treats Antares Team to Kabob on Halloween to Celebrate our Investment

• Chaos Inc.: Announced a partnership with Forterra to integrate their VANQUISH distributed radar with autonomous vehicles, with demonstrations scheduled for Army xTech Program.

• Impulse Space: Continues operations with Mira missions and Helios stage development targeting a late 2026 debut. The company is continuing to expand on their 30+ signed contracts as their pipeline swells.

Impulse’s Mira Vehicle Getting Ready for Launch

• Stoke Space: Stoke Space announced their latest $510M round led by U.S. Innovative Technology Fund bringing the company’s total funding to over $900M. The capital will accelerate their fully reusable Nova rocket development and Launch Complex 14 development at Cape Canaveral.

Stoke Space Completes Stage 2 of Structural Qualification for their Nova Rocket

Team & Strategy

October reinforced that relationships deliver more than just pure capital. Our portfolio companies secured not just funding but critical government program positions and strategic partnerships that can transform their already impressive trajectories. The infrastructure thesis continues to gain validation as AI’s power appetite, defense modernization urgency, and nuclear renaissance continues to converge with companies like Antares Nuclear.

Looking ahead, I’ll be attending the Payload Space Conference November 5th-6th, continuing to identify opportunities where infrastructure bottlenecks create venture-scale opportunities.

Market Insights

October’s market movements validated every aspect of our thesis as defense contracts and nuclear commitments reached unprecedented scales.

• Manufacturing Renaissance Addresses Critical Defense Bottlenecks: Volund CEO Eric Hostetler discussed a 7,000 unit turbojet deficit for 2026 alone, while only 8-9 U.S. foundries can produce aerospace-grade castings. Expansion continues to accelerate as AS Aerospace’s 90k sqft Palmdale facility, Anduril’s 5M sqft Ohio Arsenal, and the Army’s distributed Skyfoundry network are targeting tens of thousands of units annually.

Six million square feet coming online in an attempt to address the growing deficit

• Golden Dome Creates Multi-Hundred Billion Dollar Missile Defense Market: The Pentagon secured $24.5B initial funding for space based interceptors with testing by 2028 and costs estimates have been updated to range from $160B to $3.6T over the next 20 years. Near-term competition has intensified as Voyager acquired ExoTerra for propulsion systems and Lockheed targeting 2028 on-orbit demonstrations.

• Army Janus Program Accelerates Military Nuclear Deployment: The October 14th announcement targets operational microreactors at nine installations by September 2028, with Antares Nuclear selected alongside other competitors in the running for 3-10 MW deployments. The program’s NASA COTS style milestone payments and $2-5B procurement opportunity will transform nuclear from concept to reality.

• Natural Gas Bridges the AI Power Gap: AI datacenters will need only 2-6% of U.S. daily natural gas production by 2030, easily accommodated by existing infrastructure while grid connections require 5-7 year waits. This reality drove Marathon Petroleum’s strategic investment in Arbor and explains Chevron & GE’s 4 GW partnership. Natural gas with carbon capture is one of the only solutions that can scale within AI’s timeline.

AI needs just 6% of natural gas capacity by 2030

Until Next Time

October’s extraordinary momentum, from massive funding rounds to flagship government programs, demonstrates that infrastructure truly determines destiny. While others debate whether AI, defense, or energy represents the best opportunity, we’re backing the picks and shovels of all three.

Our value beyond dollars approach continues generating trust and access that transforms promising technologies into category defining companies, after all, who doesn’t want a fresh Persian lunch for the whole team? The best investments aren’t just about superior technology, it’s also about backing teams that partners want to work with and governments want to trust.

The best deals still come from relationships built on trust, and there's no substitute for meeting face-to-face, so reach out if your team also wants to discuss the future over a plate of kabob.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Automated Infrastructure Defines Tomorrow

September 2025 Edition

Welcome to the September edition of Cyrus Ventures Radar. This month marks an inflection point as nuclear energy deals exceed $100B globally. Arbor Energy advanced partnerships with industry giants and prospective customers, Icarus began generating revenue and is on track for more before year end, and our newest investment in Antares Nuclear positions us at the epicenter of the SMR revolution. The convergence of AI compute demands and production scaling confirms what we’ve known all along: infrastructure determines winners.

Portfolio Spotlight

Cyrus is proud to support transformative companies building the physical backbone of American dominance:

• Arbor Energy: Deepening strategic relationships with multiple industry giants including prospective customers who are actively exploring their clean gas turbine technology. The company continues to field inquiries from energy primes seeking alternatives to the 5+ year backlogs plaguing incumbents. With these partnerships advancing, Arbor remains positioned for a transformative announcement that could reshape the competitive landscape.

• Icarus: The company has begun generating revenue and is on track to close on even more before year end. Their stratospheric platform continues opening doors in both defense and telecom sectors, and the company is on track to make a big announcement within the next few weeks. The revenue traction validates market demand for persistent high-altitude capabilities as they ship out their first birds to DoD customers.

• Volund Manufacturing: The company is in conversations with prospective customers while bringing parts of their new Redondo Beach facility online. Their automated manufacturing systems for attritable gas turbines has piqued the interest of several large players engaging the company in private conversations. Attritable systems have proven to be a critical production bottleneck that Volund is proving themselves capable of solving.

Volund Manufacturing Testing their Demo Engine

Investment Opportunities & Updates

We’ve secured strategic access to several transformative opportunities while our existing investments continue their momentum:

New Strategic Positions:

• Antares Nuclear: Recently closed our investment as the company finalizes their Series B raise, which was oversubscribed with demand for their government-centric approach to micro SMRs. Their selection for DOE’s Reactor Pilot Program and HALEU fuel allocation positions them to achieve criticality by 2026. We are further proud to back a company with Cyrus Advisor Neil Mason at the helm of the engineering team.

  

  Antares Nuclear’s Electrically Heated Test Rig

Recent Investment Traction:

• Anduril Industries: Secured $350M+ in new contracts including ~$160M for the Soldier Borne Mission Command program with Meta, positioning them at the center of human-machine teaming. Construction at their 5 million square foot Ohio Arsenal-1 facility continues on schedule, representing the largest job creation project in Ohio history.

  

  First Deliveries of Anduril’s Ghost Shark XL to the Australian Navy

• Chaos Inc.: Following successful Middle East deployments, the company is continuing testing on their Astria counter-drone systems at Eglin Air Force Base. Their field-proven technology positions them perfectly as they continue to eat away at the growing counter drone market.

• Impulse Space: Impulse announced their Anduril partnership for GEO rendezvous operations and unveiled same-day orbital delivery capabilities. Their Helios kick stage officially can deliver payloads to GEO in under 24 hours versus months for traditional systems.

• Stoke Space: Stoke’s Cape Canaveral Launch Complex 14 continues to show rapid progress with flame diverters installed and integration hangars nearing completion. Their selection for the $5.6B NSSL Phase 3 program validates the immense demand for a fully reusable architecture as essential for future launch cadence requirements.

Stoke’s Zenith Rocket Test Fire at Moses Lake Facility

Team & Strategy

The Cyrus team's expertise and networks proved invaluable in evaluating nuclear opportunities and understanding the true demand convergence of AI compute and defense production. Their relationships opened doors to oversubscribed rounds while their technical insights helped identify which companies can actually deliver on their ambitious promises leading to our investment in Antares Nuclear.

I’ll be attending numerous happy hours, conferences, and dinners during LA’s Deep Tech Week in October. If you’re interested in meeting during that time, please reach out. Additionally, I’ll be attending the Payload Space Conference in November, continuing to build the relationships that give our portfolio companies unfair advantages.

Cyrus Team Dinner Action Shot Courtesy of Neil Mason’s Photography

Market Insights

September’s developments continued to validate our thesis that infrastructure, not algorithms will determine winners.

• US-UK Nuclear Partnership Unlocks $100B for AI Power: The Atlantic Partnership for Advanced Nuclear Energy represents the largest transatlantic nuclear cooperation since the 1950s. Centerpiece deals include Centrica’s agreement for 12 X-energy reactors (960 MW) and Holtec’s $15B SMR development.

12x Increase from 2023 Baseline

• Pentagon Adopts VC-Style Acquisition at Scale: The Army’s $750M annual FUZE program launches with former VC executive Daniel Driscoll driving “spiralized development” replacing 20-year linear programs. Combined with Replicator delivering hundreds of autonomous systems with 75% from non-traditional contractors, the defense acquisition revolution has made a big step forward.

On track to approach record levels with Q4 still ahead

• AI Infrastructure Crisis Forces Trillion-Dollar Realignment: Nvidia’s $100B partnership with OpenAI for 10 gigawatts of datacenter capacity reveals AI’s fundamental constraint: power, not compute. September’s $200B+ in datacenter announcements confirms that infrastructure determines competitive advantage as Virginia faces potential 100-fold increase in blackouts by 2030.

• Defense Production Renaissance: Europe targets 2 million artillery shells annually by year-end while Anduril breaks the 50-year solid rocket motor duopoly. With the Pentagon identifying 200,000+ suppliers lacking visibility into foreign dependencies, reshoring production becomes a national security imperative creating unprecedented opportunities.

Until Next Time

The September inflection point confirms what we’ve been building toward: the convergence of AI compute demands and defense production scaling creates a generational investment opportunity. Modern entrepreneurs are building the picks and shovels for the next American empire and we’re here to do our part. Arbor’s power generation, Volund’s manufacturing automation, Antares’ micro reactors, and our other positions in proven winners position us perfectly for the infrastructure race ahead.

If you’re planning to visit Los Angeles this fall or attending any Deep Tech Week events, I’d love to meet up. The best deals still come from relationships built on trust, and there's no substitute for meeting face-to-face.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Industrial Empire: The Automated Factory Revolution

August 2025 Edition

Welcome to the August edition of Cyrus Ventures Radar. This month we celebrate Arbor Energy's landmark term sheet, validation that our portfolio is solving the AI infrastructure crisis. Our newest addition, Volund Manufacturing, is already testing attritable gas turbine capabilities with prospective customers, and Icarus' successful Army demonstration has opened the doors in both defense and telecom sectors. Our thesis has never been more relevant as the Pentagon awards its first $800M contracts directly to consumer AI companies.

Portfolio Spotlight

Cyrus is proud to support innovative companies in defense tech and energy:

• Arbor Energy: Signed a multi-year power purchase term sheet, a remarkable achievement for clean gas turbine technology. With incumbents like GE, Siemens, and Mitsubishi facing 5+ year backlogs, Arbor is fielding inquiries from energy industry giants seeking gas-agnostic solutions. The company remains on track for a transformative public announcement by year end.

Engineer Jeremie Ylvisaker working on Arbor’s test skid

• Icarus: Following their successful Army demonstration in August, CEO Henry has been shuttling between El Segundo and DC, meeting with representatives to expand applications of their stratospheric technology. The company additionally partnered with HII, fully integrating HII’s sensors with their Apollo platform to bring deep sensing to the stratosphere.

  

  Icarus x HII Collaborative Meetup

• Volund Manufacturing: Our investment has closed as the company accelerates deployment of its proprietary manufacturing automation. They're actively testing their attritable gas turbines with potential customers while expanding their facility with new hardware. As defense production struggles to meet demand, and critical components constraining everything from missiles to turbines, Volund's order-of-magnitude cost reductions become increasingly strategic.

Investment Opportunities & Updates

We’ve secured strategic access to several transformative opportunities while our existing investments continue their momentum:

New Strategic Positions:

• We’re participating in rounds for Antares Nuclear and potentially Stoke Space, positioning ahead of the nuclear renaissance and space logistics revolution

• Arbor Energy follow-on allocation secured as investor demand surges following their hyperscaler agreement

• Strategic access secured to OpenAI, Anthropic, and Apptronik, representing the AI and robotics platforms reshaping every industry

Recent Investment Traction:

• Anduril Industries: Anduril opened their Mississippi solid rocket motor factory, breaking a 50-year duopoly with 6K motors/year in capacity estimated by 2026. They additionally established offices in Taiwan and Seoul as they continue to expand internationally. Separately, the company recently announced that they will be a sponsor to the Nascar Cup Series.

• Chaos Inc.: The company remains deployed in the middle east as they continue deepening their customer relationships in discretion due to security constraints.

• Impulse Space: Impulse unveiled their upgraded Mira vehicle which boasts a 25% improvement in delta-v (improved maneuverability). They were additionally awarded dual Orbital Transfer studies by NASA and fully booked out their rideshare capacity for Q3 2026.

• Stoke Space: The company announced their 2x revenue growth in the first half of 2025. Their Cape Canaveral site has shown rapid progress with its structural framework, and their Nova rocket remains on track for early 2026 operations.

Manufacturing for Stoke’s Nova Rocket in Full Swing

Team & Strategy

The Cyrus team's collective experience continues to prove invaluable in after Volund's technology and confirming acute production capacity needs across defense sectors. This same expertise helps us navigate the converging AI-energy crisis where every hyperscaler needs power solutions yesterday.

I'll be attending SoCal Deep Tech Week events in September and the Payload Space Conference in November, continuing to build the relationships that give our portfolio companies unfair advantages.

Anduril’s Nascar Cup Series Sponsorship

Market Insights

The technology-defense landscape shifted fundamentally this summer with developments that validate our investment thesis:

• Pentagon Embraces Silicon Valley AI: The Chief Digital and AI Office awarded unprecedented $200M contracts each to Google, xAI, Anthropic, and OpenAI—the first time the military has contracted directly with consumer AI companies at this scale. These deals focus on agentic AI workflows and LLMs for intelligence and warfighting, signaling a permanent shift from traditional defense contractors.

• Grid Infrastructure at Breaking Point: Virginia's "Data Center Alley" faces 7-year interconnection timelines with the PJM queue (renewable energy projects backlog) containing 202 GW of stalled renewable projects. Nine governors demand reforms as the 2,600 GW national queue, double America's entire installed capacity, threatens to strangle both AI and reindustrialization ambitions.

Grid Queue = Projects Waiting Years for Connection

• Supply Chain Vulnerabilities Exposed: The Pentagon identified 200,000+ defense suppliers with limited visibility into foreign dependencies. America had zero TNT production until recently and produces only 18,000 propellant charges monthly versus 40,000 shells, revealing decades of industrial atrophy that funding alone cannot quickly reverse.

The Reality of U.S. Defense Production

• Humanoid Robotics Reaches Escape Velocity: Figure AI's $39.5B valuation, up 15x from 2024, signals commercial viability as production costs dropped 40% to $30-150k per unit. With Tesla targeting 1 million units annually and Apptronik's $350M round validating multi-vendor markets, Goldman Sachs revised projections to $38B by 2035, 6x their previous estimate.

Until Next Time

The AI revolution's dirty secret is infrastructure, you can't run GPT-5 without gigawatts, can't deploy robots without manufacturing, and can't defend assets without production capacity. This is precisely why we invested in Arbor's power generation, Volund's manufacturing automation, and Icarus' dual-use platforms. Others may chase AI application layer valuations, but they’re building the picks and shovels for the next American empire.

As Figure's valuation proves, markets are pricing in transformation, not iteration. Our fund structure allows us to move decisively when these inflection points emerge, bringing both capital and strategic value to accelerate our portfolio's growth.

If you're planning to visit Los Angeles this fall, I’d love to meet and discuss all things Energy, Defense, Infrastructure and AI. The best deals still come from relationships built on trust, and there's no substitute for meeting face-to-face.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

U.S. Energy Supremacy: Powering the AI Revolution

July 2025 Edition

Welcome to the July edition of Cyrus Ventures Radar. This month marks a pivotal moment as we welcome Volund Manufacturing to our portfolio—a company solving the defense industry's most critical challenge: mass production. While Anduril and peers are developing cutting-edge systems, Volund enables their scale, starting with significant cost reductions in turbine manufacturing. Our existing portfolio continues its momentum with Icarus preparing for August Army demonstrations and Arbor Energy entering into new advanced investor and contract conversations with energy industry goliaths. The broader market continues to validate our thesis as defense tech companies raised $3.3B in recent weeks while the Pentagon committed $200B to new initiatives.

Portfolio Spotlight

Cyrus is proud to support innovative companies in defense tech and energy:

• Volund Manufacturing: Our newest portfolio company addresses what I believe is one of the defense sector’s greatest vulnerabilities: manufacturing capability. Volund is achieving orders of magnitude reductions in turbine production through proprietary automation developed by founders with experience from Apple and Anduril. As the DoD shifts from exquisite systems to mass-produced attritable platforms, Volund’s technology becomes mission-critical.

Meeting with Volund co-founders Ken Spaulding (L) and Eric Hostetler (M) at their new facility

• Arbor Energy: Negotiations are progressing nicely on their hyperscaler contract, and now several large new players have begun to approach Arbor with interest in their gas turbine technology. With 5-7 year backlogs from incumbents, major energy companies have begun indicating strong interest in Arbor’s turbine technology. The company remains on track for a transformative announcement by year end.

• Icarus: Momentum accelerates as Icarus prepares for their August Army demonstration following successful SOCOM presentations. The company secured a 12-month pilot contract with SOCOM and is continuously testing their vehicle in the stratosphere as they can now achieve 48-hour continuous flights. The work they’re doing is opening up countless possibilities for both the defense and commercial connectivity sectors.

Icarus team testing their stratospheric vehicle via balloon launch

Investment Opportunities & Updates

I’m working to secure allocations in several high-profile opportunities and wanted to provide some key updates from recent investments:

Emerging Opportunities : I’m actively pursuing allocations in OpenAI, Anthropic, and Apptronik for interested investors. In regards to OpenAI we are making strong inroads into opportunities that would allow us to avoid potential issues relating to the Microsoft antitrust lawsuit and dilution risk. If you have interest in any of those companies please reach out and I can give you the latest information on allocation availability.

Recent Investment Traction:

• Chaos Inc.: We just closed an SPV for a portion of their Series C round. The $275M round was led by Accel and NEA, accelerating their transition from prototype to scaled production of their revolutionary sensing and counter-drone systems.

• Anduril Industries: The company secured a $100M Army contract for Next-Gen Command & Control systems this month. They further benefitted from new legislation granting them an effective monopoly of $6B+ in border surveillance technology.

• Impulse Space: Their LEO Express-2 mission continues successful payload deployments as they prepare for 2027 Helios missions transporting 4-ton satellites to GEO in under 8 hours. .

• Stoke Space: Major progress at Cape Canaveral’s Launch Complex 14 with July flyovers revealing completed supported structures, tower construction, and flame trench preparation. The company’s aggressive hiring (48 open positions) signals imminent East Coast operations as they target orbital flights in the coming 12 months.

Anduril’s successful flight test of their 100M Barracuda missile

Team & Strategy

Our team proved instrumental in validating Volund’s technology and market opportunity. With their manufacturing expertise and DoD experience the Cyrus team was able to both validate Volund’s cost reduction capabilities, as well as confirm the acute need for production capacity. This is one of the many ways that the Cyrus team is able to leverage decades of collective experience to identify and validate breakthrough opportunities before broader market recognition.

I recently attended the Reindustrialize Detroit conference, where industry leaders gathered to discuss the convergence of defense, manufacturing, and technology. At the conference Ambassador Greer announced a $1.4T in reshoring commitments since the election, adding to the momentum in American industrial policy. The bulk of conversation was highlighting how companies addressing manufacturing bottlenecks (like Volund) will capture outsized value as America rebuilds its industrial base. Palmer Luckey’s interview conducted through a Foundation robot, was just a small glimpse into the enormous ongoing development happening in these sectors.

Palmer Luckey (Anduril Co-Founder) being interviewed through a robot

Market Insights

Here are notable developments from recent months across defense and energy:

• Golden Dome Secures Additional $13B: Congress approved another $13B for the missile defense initiative in July, bringing total funding up to $175B. This program’s open architecture creates opportunities for multiple vendors rather than single-source contracts. Impulse Space and Chaos Inc. are actively pursuing contracts for various capacities of sensors.

• Defense Manufacturing Crisis Deepens: The Pentagon halted Patriot missile shipments to allies due to critically low U.S. stockpiles. Currently 155mm shell production reached 40,000 monthly versus the 100,000 target. This gap further proves out the necessity of companies like Volund.

U.S. Manufacturing Investment Commitments Surge Following CHIPS Act & IRA

• AI Data Center Demand Overwhelms Grid: Data centers are now projected to consume up to 12% of U.S. electricity by 2028, driving Meta to sign a 1.1GW nuclear deal. Natural gas turbine manufacturers are reporting 5 year + backlogs with prices tripling. This energy crunch has driven significant traction to Arbor and their power production capabilities.

24:1 Ratio of Tech Companies’ AI Contracts vs Traditional Defense in 2025

Until Next Time

What is happening right now in the U.S. market is why I named this fund after Cyrus the Great, as we’re participating in the construction of a new American empire, this time built on manufacturing and autonomous systems rather than ancient armies. Our fund structure allows us to move quickly and decisively when we’re bullish and bring in numerous capital and industry partners help aid in portfolio company growth.

If you're planning to visit Los Angeles in the coming weeks and would like to discuss our strategy and emerging opportunities, please reach out. As always, I believe successful investments grow from relationships built on trust, and there's no substitute for meeting face-to-face.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

American Manufacturing Renaissance: The New Industrial Empire

June 2025 Edition

This edition celebrates Icarus winning the SOF Week pitch competition and their expansion into a new El Segundo facility where they hosted Mayor Chris Pimentel for Tacos and Beers. Arbor's progress toward in their hyperscaler contract redlines and evaluating a new defense manufacturing opportunity. Recent successes include closing the Chaos Inc. SPV and impressive traction across our previous investments. Plus insights on Honda's space ambitions, the $20B+ nuclear gold rush, and how global conflicts are reshaping defense tech opportunities.

Portfolio Spotlight

Cyrus is proud to support innovative companies in defense tech and energy:

• Arbor Energy: Our portfolio company continues advancing toward a major announcement with their hyperscaler partner. Testing sites are on track, and the contract negotiation process is proceeding smoothly. We expect significant positive developments by year-end along with plenty of opportunity to reinvest in upcoming rounds.

• Icarus: Continued momentum after the team won the SOF Week Pitch Competition. Trailing customer feedback reflected that "Icarus is a unique solution with promise." They've successfully moved to Phase II of defense program (IWTSD) worth millions, and hosted the mayor of El Segundo in their new space which provides 5x more room for scaled production.

• Emerging: We’re in active term sheet discussions with an emerging defense manufacturing company which we hope to announce next month! The team aligns with our thesis and technical criteria and we look forward to welcoming them to the portfolio!

Icarus’ official test pilot reaches for the stars!

Investment Opportunities & Recent Successes

I’m working to secure allocations in several high-profile opportunities and wanted to provide some key updates from recent investments:

Emerging Opportunities : I’m actively pursuing allocations in OpenAI, XAI, and Apptronik for interested investors. While these allocations aren’t guaranteed, early conversations are promising and I will keep all interested investors updated as the opportunities continue to develop.

Recent Investment Traction:

• Chaos Inc.: We just closed an SPV for a portion of their Series C round. With former CIA Director George Tenet joining as Executive Chairman, the company has remarkably achieved a program of record in just 3 years - nearly unprecedented in defense tech.

• Anduril Industries: The company secured a $642M Navy contract for counter-drone systems this month and partnered with German defense giant Rheinmetall to expand into European markets. Their Arsenal-1 facility in Ohio remains on track for July 2026 production start.

• Impulse Space: Fresh off announcing their multi-launch agreement with SES in May, Impulse's latest Helios vehicle will transport 4-ton satellites from LEO to GEO in just 8 hours versus months with traditional propulsion. Their first mission is scheduled for 2027.

• Stoke Space: Stoke achieved a critical milestone with their first Zenith engine hot-fire test on June 5, becoming only the second entity after SpaceX to successfully test a full-flow staged combustion engine. The company is on track for orbital test flights by end of 2025.

Impulse Space’s Helios vehicle concept - enabling rapid 8-hour transfers to orbit for SES satellites

Team & Strategy

Our team continues to provide invaluable insights as we evaluate opportunities in both defense tech and energy markets. Their deep industry knowledge has been instrumental in identifying promising companies while helping us avoid investments in teams that lack the technical depth to execute.

Excitingly, one of the Cyrus advisors is exploring the formation of a new venture, which speaks to the entrepreneurial energy within our network. I’ll share more as this develops, but it's a testament to the caliber of talent on the team and the opportunities they see in the market along with their capacity to execute on it.

The Cyrus team got together for food and drinks to celebrate the fund’s recent traction!

Market Insights

Here are notable developments from recent months across defense and energy:

• Honda's Surprise Space Entry: Honda successfully launched and landed its first reusable rocket on June 17, reaching 271 meters in a 56-second flight. This positions Honda alongside Toyota in Japan's push to double its space industry to $55B by 2030, validating the growing convergence of automotive and aerospace technologies.

• Tech Giants Commit $20B+ to Nuclear Power: The AI energy crisis has catalyzed unprecedented nuclear investments. Microsoft leads with a $16B+ commitment to restart Three Mile Island, while Google secured 2.3GW across partnerships with Kairos Power and Elementl. Meta signed for 1.1GW from Illinois' Clinton plant, and Amazon invested $1.15B+ including $500M in X-energy. This nuclear renaissance directly validates Arbor Energy's market timing.

Commitments span 2027-2039

• Defense Spending Surge from Global Conflicts: The Israel-Iran escalation, Ukraine war, and South China Sea tensions have created a generational opportunity for defense tech. Israel's defense budget surged 65% to $46.5B, while regional spending hit $243B. U.S. defense stocks gained 3-5% during recent conflicts, with companies like Rafael achieving 27% revenue growth. The combat validation of missile defense systems and rapid munitions depletion are driving massive follow-on orders.

Anduril leads at over 5x the nearest competitor

• Golden Dome & Market Acceleration: The Golden Dome missile defense program continues gaining momentum with bipartisan support for $24.7B in initial funding. Combined with record defense tech valuations (Anduril at $30.5B, Chaos at $2B) and accelerating contract awards, the sector offers exceptional growth potential for patient capital.

Until Next Time

The convergence of AI, energy infrastructure, and global security challenges is creating unprecedented opportunities for forward-thinking investors. From Icarus' government validation to the nuclear gold rush driven by hyperscaler demand, we're seeing our investment theses play out in real-time.

I'll be attending the Reindustrialize conference in Detroit this July - if you're planning to attend and would like to discuss our strategy and emerging opportunities, please reach out. As always, I believe successful investments grow from relationships built on trust, and there's no substitute for meeting face-to-face.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Modern Empire Rising: From El Segundo to Space

May 2025 Edition

This edition covers my panel at the Ignition Nuclear Investment Summit in New York, where I discussed how venture capital evaluates nuclear opportunities. We’re celebrating closing our Arbor Energy investment, now in redlines for a >$1B power contract with a major hyperscaler, and Icarus’ recent momentum sparked by funding from Naval Ravikant (AngeList founder). Active SPVs include Stoke Space and a defense tech Series C partnership. Plus, some Golden Dome developments and market insights as we approach the halfway point of the year.

Portfolio Spotlight

Cyrus is proud to support innovative companies in defense tech and energy:

• Arbor Energy: We’ve officially closed our investment in Arbor Energy, which is currently negotiating final contract terms with a hyperscaler for a >$1B, 20-year clean power supply agreement to their data centers. An announcement expected by year-end will coincide with a new funding round.

• Icarus: Our portfolio company Icarus just secured additional funding from Naval Ravikant, founder of AngelList, demonstrating strong momentum and further external validation of their approach. Combined with their recent achievements reaching the stratosphere and winning awards at SOF Week, they’re well-positioned to land some substantial government contracts.

Celebrating a win with Icarus CEO Henry Kwan after their SOF Week presentation

• Stoke Space & Defense SPVs: Through the fund’s venture partnerships, Cyrus maintains active allocations in Stoke Space and a large defense tech Series C, separate from our portfolio.

  • Stoke Space recently won a $5.3B NSSL contract alongside Rocketlab, and has secured a >$1B commercial pipeline. They’re targeting their first vehicle launch by late 2025 or early 2026.

  • We’ve also revived an opportunity to invest in a Series C for Chaos Inc., alongside Washington Harbour Partners and their GP Mina Faltas. Notably, former CIA Director George Tenet has joined as Executive Chairman of the Board, bringing significant strategic oversight to a company that has remarkably secured a program of record in just 3 years of existence.

Arbor Energy’s synthetic gas combustion in action

Team & Strategy

This month, I had the honor of speaking on a panel at the Ignition Nuclear Investment Summit in New York, representing the venture perspective on nuclear sector investing. We discussed China’s influence, hyperscalers’ growing demand for clean consistent energy, and key regulatory and timing concerns - further highlighting non-traditional energy opportunities like Arbor.

Jordan Yashari at Ignition Nuclear Investment Summit

Market Insights

Here are notable developments from recent months across defense and energy:

• Golden Dome Funding Acceleration: On May 20, 2025, President Trump announced selection of a $175B design for the Golden Dome missile defense system and named Space Force General Michael Guetlein as program manager. Lawmakers have proposed $24.7 billion in initial funding as part of a $150 billion defense reconciliation bill to accelerate space-based sensor and interceptor deployment. This follows strong bipartisan support for enhancing space-based missile defense capabilities.

• International Defense Collaboration: During the May 2025 announcement, Trump stated that Canada had "called us and they want to be a part of it," with Canadian representatives negotiating possible participation as part of larger trade and security negotiations. Japan continues advancing its Glide Phase Interceptor collaboration with the U.S., demonstrating growing allied commitment to counter China's hypersonic developments.

• Hyperscaler Nuclear Energy Surge: Major hyperscalers continue accelerating nuclear investments, with Google signing deals with Kairos Power for small modular reactor development and Microsoft’s 20-year agreement with Constellation Energy to restart Three Mile Island’s reactor. Recent analysis suggests nuclear energy could supply up to 10% of U.S. data center energy demand by 2035, as usage could increase fivefold to reach 176 gigawatts. Per the chart below, major tech companies are committing to substantial nuclear capacity, with Amazon leading at 5 GW by 2039, validating the massive market opportunity Arbor Energy is positioned to capture.

Clean power capacity by company (GW)

• Defense Contract Momentum: Large defense contracts continue flowing, with notable awards including Lockheed Martin's $742 million contract for High Mobility Artillery Rocket Systems production. Contract values from Q1 2025 have already exceeded over half the total value of all 2024 wins, indicating accelerating defense spending.

• SMR Technology Development: The nuclear industry faces timing challenges, with tech companies signing nuclear deals but most projects unlikely to be operational until the early 2030s. However, Amazon Web Services is actively hiring principal nuclear engineers to evaluate SMRs and nuclear fuel strategy roadmaps, signaling serious long-term commitment to nuclear-powered data centers. The chart below illustrates this dramatic growth trajectory, with U.S. data center energy demand expected to quadruple by 2030.

400% growth expected by 2030

Until Next Time

Thank you for reading this edition. Cyrus Radar will return in June with more insights and opportunities. As the fund’s GP, I’ve been traveling to connect with investors—recently in Austin, Aspen, Las Vegas, Miami, and New York, with Detroit coming up next. If you’d like to meet in person to discuss the Cyrus strategy and opportunities; reach out by emailing me here. I believe successful businesses grow from relationships with people you know, like, and trust, and face-to-face meetings are the foundation in building those connections.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Building a Modern Empire: Defense Tech and Energy Innovation Inspired by Cyrus the Great

April 2025 Edition

Cyrus Ventures is continuing to make moves in the defense tech and energy sectors. This April update covers our upcoming Arbor Energy investment plus our recent backing of Icarus, Impulse Space, and Stoke Space. Several more promising deals are in the pipeline as we work through funding and terms.

Bob Urberger (co-founder of Radiant Nuclear) just joined our advisory team, bringing valuable technical expertise. I’ve also included market updates on thoughts on how these tariff discussions might affect our industries. Take a look!

Portfolio Spotlight

Cyrus is proud to support innovative companies in defense tech and energy:

• Arbor Energy Series A: Cyrus is finalizing an investment in Arbor Energy, with terms nearly set with the CEO for their Series A round. Arbor has secured the majority of funds needed from exceptional investors, including a large lead check from an Israeli climatech fund. A co-investment SPV is actively available—reach out to learn more about this opportunity.

• Icarus Pre-Seed Extension: Cyrus has closed its investment in Icarus, where the team is conducting flight tests in preparation for government demonstrations. Additionally the team has been maintaining positive conversations with potential purchasers pending successful stratospheric tests.

Icarus engineers Shaunak and Peter preparing a demo Apollo vehicle for a flight test

• Stoke Space & Impulse Space SPVs: Through the fund’s venture partnerships, Cyrus closed two SPVs into Stoke Space and Impulse Space, separate from our portfolio.

  • Stoke Space recently won a $5.3B NSSL contract alongside Rocketlab, and has a >$1B commercial pipeline. They’re aiming for a first vehicle launch by late 2025 or early 2026.

  • Impulse Space just closed a $250M raise led by Linse Capital and DFJ Growth, and is 2 for 2 on launched vehicle success with their Mira vehicle, which is actively conducting maneuvers in space.

Stoke Space vertical hotfire of their staged combustion engine

Team & Strategy

Cyrus partner’s are comprised of industry veterans to drive our investment strategy and portfolio success. This month, we welcomed new venture partner Bob Urberger, enhancing our expertise in aerospace and energy:

• Andrew Shapiro, CTO of Proteus Space: A satellite technology expert driving innovation in space systems engineering.

• Neil Mason, Chief of Mechanical at Antares Nuclear: A mechanical engineering expert advancing small modular reactor designs.

• Meharban Sobti, Founder of Eyehat Consulting: An electrical engineering and avionics specialist with deep experience in rocket technology.

• Bob Urberger, Co-founder and Former CTO of Radiant Nuclear: A computer engineering specialist and nuclear technology pioneer.

Cyrus leverages exclusive industry insights from our partners, many of whom have collaborated throughout their careers, providing unique access to insights on engineering talent. This has prevented investments in less capable teams and led to introductions to brilliant engineers starting new ventures, where Cyrus can be an early investor. Our advisors’ technical expertise allows us to ask founders critical questions, distinguishing those with well-thought-out growth strategies from the merely performative. This approach has already facilitated strategic partnerships for Icarus, accelerating their path to government demonstrations.

Impulse Space’s Helios Vehicle

Market Insights

Here are notable developments from recent months across defense and energy:

• Golden Dome Initiative: The Trump administration’s Golden Dome missile defense project, aiming to counter advanced missile threats with space-based interceptors, received a significant boost in a $150 billion funding increase proposed by the Armed Services Committees on April 27, 2025, per Breaking Defense. Of this, $25 billion is slated for the Golden Dome initiative, including $15 billion for satellites, sensors, launch infrastructure, and space-based interceptors.

• Anduril’s Counter-Drone Contract: In March 2025, Anduril secured a $642 million, 10-year contract with the U.S. Navy to deliver counter-drone systems for the Marine Corps, as reported by Defense One. This deal is one of many underscoring the growing importance of counter-unmanned aerial vehicles (UAVs).

• Defense Tech Contract Wins: Startups are notably winning increasingly larger contracts. Some recent notable wins (over $100M) include Shield AI’s $198 million contract with the U.S. Coast Guard in July 2024 for its V-BAT AI surveillance drones, Palantir’s $480 million contract in May 2024 for its Maven Smart System to enhance battlespace awareness, Anduril’s $250 million contract in October 2024 for its Roadrunner counter-drone interceptors, and Palantir’s $178 million deal in 2024 for the Army’s TITAN ground station program.

Over half the value of all 2024 contract wins has already been exceeded in just Q1 2025.

• U.S. vs. China Nuclear Power: The U.S. is accelerating nuclear innovation, with companies like Kairos Power and X-Energy selected by the Defense Innovation Unit to develop microreactors for military bases, per the DIU. Meanwhile, China’s nuclear capacity is growing rapidly, with 27 reactors under construction as of 2025, outpacing the U.S.’s 3, according to the World Nuclear Association. This gap highlights the urgency for U.S. investment in clean energy to maintain strategic leadership.

U.S. vs. China Nuclear Reactors Under Construction (2025)

Tariff Related Market Considerations: Cyrus’ U.S.-based portfolio company, Icarus, and future company Arbor Energy, source materials domestically, providing a moat against potential 2025 tariffs on imported technologies.

Until Next Time

Thank you for reading this edition. Cyrus will be back in May with more insights and opportunities. As the fund’s GP, I’ve been traveling to connect with investors—recently in Austin, Aspen, and Las Vegas, and soon heading to New York and Miami. If you’d like to meet in person to discuss the Cyrus strategy and opportunities; reach out by emailing me here. I believe successful businesses grow from relationships with people you know, like, and trust, and face-to-face meetings are the foundation in building those connections.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Building a Modern Empire: Defense Tech and Energy Innovation Inspired by Cyrus the Great

Welcome to Cyrus Ventures Radar

Welcome to the first edition of Cyrus Ventures Radar. This newsletter shares the latest moves, market insights, and investment opportunities from Cyrus Ventures in defense and energy—sectors shaping the future of innovation. From groundbreaking nuclear fusion tech to stratospheric drones and reusable rockets, this edition is packed with updates and opportunities you won’t want to miss. Each edition will highlight the fund’s activities, potential deals, and key industry trends. Let’s dive into what’s new and what’s next.

Fund Updates and Opportunities

Cyrus is backing Deep Tech founders with experienced teams, targeting opportunities in both defense and commercial markets. Here are two new investments with active co-investment opportunities:

• Arbor Energy’s Series A: We're supporting Arbor Energy's Series A round, a company converting organic material into clean electricity for data centers using rocket-propulsion technology.

• Icarus Pre-Seed Extension: We're also supporting Icarus's pre-seed round, a company developing solar-powered stratospheric drones that function as "cell towers in the sky," providing vast coverage at 1/250th the infrastructure cost of traditional networks.

Co-investment is actively available for both Arbor Energy and Icarus — reach out to discuss how you can join us in supporting these innovative teams.

Icarus Team Testing their 20-Foot Apollo Prototype

Additional SPV Opportunities

Cyrus is currently raising an SPV for the following aerospace opportunity, which offers a unique chance to invest in a later-stage company outside our fund’s primary focus:

• Stoke Space Series C Extension: Stoke Space, a company developing 100% reusable rockets to reduce the cost of space access, saw significant demand for its Series C round—this SAFE note is an overflow opportunity. The Cyrus family office is already heavily invested in Stoke , reflecting our confidence in their vision.
  Reach out to discuss how to get involved in this SPV — commitments close by March 31, 2025.

Stoke Space’s Nova Rocket Concept

Current Focus

Cyrus is in deep active discussions and review with 14 companies across defense and energy.

Key areas of interest include:

Current Pipeline Breakdown: Defense Tech and Energy Focus

As shown in the chart, Cyrus is heavily focused on defense tech opportunities. For example, Cyrus is exploring a defense tech company developing a next-gen maritime communication system to enhance secure naval operations. More updates will be shared as these conversations progress, including new potential investments in the coming months.

Market Insights

Here are notable developments from recent months across defense and energy:

• Defense Budget Proposal: The U.S. House passed a proposed FY2025 defense budget of $895 billion on March 7, 2025, though it faces Senate opposition over non-defense spending cuts, according to Reuters. This budget would bolster key areas like defense manufacturing and autonomous systems.

• Japan’s Defense Spending Increase: Japan approved a 9.4% increase in defense spending for FY2025, totaling $55 billion, as reported by The Diplomat in December 2024. This budget includes funds for Lockheed Martin F-35 jets and a new medium-range missile, reflecting global trends in defense investment.
  
  

  

  Japan’s Defense Budget Growth (The Diplomat, 2024)

• Nuclear Energy Push in India: In February 2025, India’s Union Budget 2025-26 introduced a Nuclear Energy Mission with a $2.4 billion investment to develop Small Modular Reactors (SMRs), aiming to operationalize five indigenous SMRs by 2033, per The Economic Times.

• Geothermal Energy Milestone: In January 2025, Fervo Energy completed a 400 MW geothermal project in Nevada, one of the largest of its kind, set to power over 300,000 homes by 2026, as reported by Bloomberg.

Until Next Time

Thank you for reading the first edition. Cyrus will be back in April with more insights and opportunities. Feel free to reach out with any questions or potential collaborations.
What trends are you watching in defense or energy? Reply to share your thoughts.

Regards,
Jordan Yashari
Founder & General Partner
Cyrus Ventures

Powering the skies with clean energy innovation… See you in April for more updates! 🌍