Watchtower Labs Raises $35M Seed

Watchtower Labs, a Bellevue, Washington-based defense technology company, has emerged from stealth with $35 million in seed funding to develop artificial intelligence software designed to streamline military logistics and operational planning. This round marks the first outside investment for the company.

Investors

This funding round was co-led by Shield Capital and Conviction. Additional participants included Founders Fund and In-Q-Tel.

Watchtower Labs Use of Funds

Watchtower Labs plans to use the new capital to grow its team, fulfill its existing military contracts, and expand its software platform beyond logistics into broader operational planning applications.

About Watchtower Labs

Founded by Akhil Iyer, Souren Aghajanyan, and John Morman, Watchtower Labs is a defense technology startup focused on building agentic AI and simulation tools. The company's platform allows military planners to use natural language to generate simulations and analyze logistical trade-offs for moving critical resources like fuel, munitions, and medical supplies.

Funding Details

Company Website: https://watchtowerlabs.ai

Company: Watchtower Labs
Raised: $35M
Round: Seed
Funding Date: October 2026
Lead Investor: Shield Capital, Conviction
Additional Investors: Founders Fund, In-Q-Tel
Software Category: Defense Technology
Source: https://www.geekwire.com/2026/ex-marine-and-microsoft-vets-launch-watchtower-labs-with-35m-to-bring-ai-to-military-logistics/