Booz Allen Ventures, the investment arm of IT consultancy Booz Allen, has made a significant investment in Shift5, an onboard data business based in Arlington, VA. Shift5, founded in 2019 by former US Army Cyber Command officials, specializes in protecting commercial transportation systems and military platforms from operational failures and operational technology cyber risks.
Shift5's software employs a combination of rules-based detection and powerful machine learning algorithms to detect anomalies directly on vehicles using onboard serial data. This approach enables real-time monitoring and threat detection while also facilitating centralized data storage either on-premises or in the cloud for further analysis and operational efficiency. As more data is collected, Shift5's anomaly detection rules can be refined and improved, bolstering the system's overall effectiveness.
The company's client base spans commercial airlines, rail networks, and various branches of the US military, including combatant commanders. Brad Medairy, Executive Vice President and leader of Booz Allen's national cyber business, emphasizes the critical importance of protecting key infrastructure sectors from cyber threats.
Medairy explains that adversaries perceive the federal government, intelligence agencies, the military, and infrastructure sectors as a unified and target-rich environment, constituting a single cyber battlespace.
By investing in Shift5, Booz Allen aims to stay ahead of adversaries and enhance the resilience and preparedness of weapon systems, thus safeguarding the United States' strategic advantage.
Moore Strategic Ventures led Booz Allen's $83 million Series B investment round in Shift5. With this new funding, Shift5's total venture capital reaches $108 million, enabling the company to expand its operations and further develop its innovative solutions.
Josh Lospinoso, CEO and co-founder of Shift5, highlights the partnership with Booz Allen as a transformative opportunity for their defense, aviation, and rail customers. The collaboration will enable these industries to leverage and analyze the previously inaccessible onboard data from their fleets, reducing decision latency and proactively addressing critical cybersecurity and operational risks.
By gaining insights from this data, operators can modernize legacy systems, build next-generation fleets, and enhance the readiness and availability of critical operational technology systems.
This investment aligns with Booz Allen's strategic focus on venture capital investments in defense, AI and machine learning, cybersecurity, and deep technology. Last summer, the company established a $100 million venture capital arm dedicated to supporting startups in these domains at the seed, Series A, and Series B stages.
The partnership between Booz Allen and Shift5 holds great promise for improving decision-making, reducing risks, and enabling the modernization of critical infrastructure systems.
