Dear Team,

As we near the end of the calendar year, I want to take a moment to reflect on everything we’ve accomplished together. 2025 was an extraordinary year for Shield AI, marked by record-breaking achievements with the Coast Guard, the launch of a new autonomous aircraft, and countless milestones in between. At every step, each of you played an essential role in making 2025 the year it was.

I came into Shield AI in May with a background in building business in tech, not defense. Despite being new to defense, from the beginning, I knew that entering this industry and this company was a chance to be part of something far greater than just myself. What initially drew me to Shield was the mission-focused work we’re doing. I’ve been fortunate to work at some amazing companies with great missions, but Shield AI stands out amongst the rest with a mission so aligned to what is fundamentally important in the world – to save the lives of service members and civilians.

I saw how Brandon and Ryan built this company through that mission-first lens. Their relentless work ethic, hands-on problem-solving mindset, and commitment to delivering technology that truly serves the customer shaped a culture deeply aligned with my own values. They created a company driven by purpose and integrity, and one uniquely positioned to disrupt the aerospace and defense market with AI-powered intelligent systems. That was a mission and a team I knew I wanted to join.

Since joining, that assessment has only become clearer. Seeing how our mission manifests into tangible outcomes has been the most inspiring aspect for me so far. I immediately think of the impact we are seeing in Ukraine and with the U.S. Coast Guard. Visiting a Coast Guard cutter this year and observing firsthand the environment where V-BAT operates only reinforced how incredible the work you are all doing is. It’s one thing to read about the strategic importance of vertical takeoff and landing (VTOL), it’s another to watch V-BAT land precisely on a ship with limited space and then hear directly from the crew how that compact capability fills a critical gap that in turn allows them to fulfill their missions.

Our impact shows up not just in what we hear from customers, but in the day-to-day realities our teams see in the field. I’ve had the opportunity to sit in on several pre-deployment and operational briefings with the V-BAT team in Ukraine, where recent missions are reviewed in detail and upcoming operations are discussed. Hearing those briefings firsthand has given me a clear view into how our teams are operating V-BAT, what is unfolding on the ground, and the tangible impact their work is having.

As we reflect on 2025, I want to remind you of this mission impact we are having globally across all our solutions. V-BAT is deployed around the world, achieving real results every day. From fighting wildfires in Bulgaria, to helping the U.S. Coast Guard interdict a record volume of narcotics, to saving lives on the frontlines in Ukraine through autonomous ISR, V-BAT has made a tangible difference in critical missions this year. Hivemind has now piloted more than fifteen different platforms, expanded into the maritime domain, and is on a trajectory to soon extend into space. This progress represents years of innovation and a relentless drive to redefine what intelligent, mission autonomy can do. And while X-BAT is still early in its development, the team’s exceptional work in designing a revolutionary product, delivering a standout launch, and demonstrating its potential is already generating significant customer interest. The foundation being built today will fuel its momentum in the years ahead.

Very quickly in my time here, I realized that many companies talk about real-world results but often rely on smoke and mirrors. Our work is different. Our success is real. I’ve seen and heard it firsthand from our customers, and you should all be incredibly proud of your role in delivering it. From the production line to the front lines, every part of the business is crucial to delivering mission impact. No matter your role, you have a place in delivering mission outcomes.

One of the things that I think about frequently is the commitment that Brandon and Ryan made when building Shield to be a company that provided an opportunity for people to do their best work. As we enter 2026, we will continue to build on our commitment to an amazing employee experience. That experience is rooted in our values and our culture, but also in our employee programs. In 2026, you have our continued commitment to building an amazing employee experience through programs, communications, and career development and opportunities.

As we close out our fiscal third quarter this week, we need to continue to stay focused on finishing our year strong. We can do that by simply delivering for our customers and meeting the commitments we’ve made.

So, I want to extend my sincerest gratitude to all of you for making 2025 the year it was for Shield AI. Thank you for your hard work and dedication. Thank you for your curiosity that drives our innovation. Thank you for putting your trust in my leadership. Thank you for dedicating your lives to protecting service members and civilians.

Let’s make 2026 even better.

Gary Steele

CEO