‘We can’t build it all ourselves’: Saab opens up to defence tech startups
Summary
Saab, a top 10 European defense prime, is shifting its long-standing in-house technology development strategy to actively partner with startups. This change is driven by the rapid advancements in AI, space, and other defense technologies, which create capability gaps that Saab cannot fill alone. CTO Petter Bedoire highlights the need for external innovation, particularly in areas like AI-powered decision-making and sensor technology. Saab's defense budget is projected to increase significantly, with Sweden's defense spending expected to reach 2% of GDP by 2026, up from 1.3% in 2022. The company has already invested in AI-powered intelligence firm Helsing and acquired space startup Omnisys, demonstrating its commitment to integrating external solutions.
Key takeaway
For CTOs and VPs of Engineering in defense, your traditional in-house R&D model may be insufficient to keep pace with rapid technological shifts in AI and space. You should actively explore strategic partnerships, investments, and acquisitions of specialized startups to fill critical capability gaps and accelerate product development, ensuring your organization remains competitive and technologically advanced.
Key insights
Defense primes are increasingly partnering with startups to integrate rapidly evolving AI and space technologies.
Principles
- No single entity can build all necessary defense tech.
- Rapid tech advancement necessitates external partnerships.
- Defense budgets are increasing, driving innovation.
Method
Saab's strategy involves identifying capability gaps, actively seeking out startups with relevant technologies (e.g., AI, sensors), and integrating their solutions through investments, acquisitions, and partnerships to enhance its offerings.
In practice
- Invest in AI-powered intelligence solutions.
- Acquire specialized space technology startups.
- Form partnerships for advanced sensor development.
Topics
- Defence Technology
- AI Startups
- Strategic Partnerships
- Military AI
- Defence Budgets
Best for: CTO, VP of Engineering/Data, Executive, Entrepreneur, Investor, Director of AI/ML
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Editorial summary, takeaway, and curation by AIssential. Original article published by Sifted.