Kapta Space raises $24 million, saying it secured classified moving target indication contracts

Badland Batteries, a subsidiary of drone battery maker Packet Digital, opened its battery cell plant in Fargo, N.D., on Oct. 8.^{1, 4–5} The facility will manufacture lithium-ion cells, from electrode manufacturing through formation and aging, and Badland will be able to assemble packs at its facility a mile away.^{1, 6} The company says it has the capacity to increase production based on industry growth.¹

Badland called the opening the completion of the building.¹ When Packet Digital announced the factory in April 2024, it aimed to make cells for customers by the end of 2025.⁵ In April 2026, Packet Digital said cell production would begin that year; on Sept. 23, Badland put the start in October.^{2, 4} The company's Oct. 8 release says the plant will manufacture cells, without saying production has begun or naming a customer.¹

North Dakota's Clean Sustainable Energy Authority made a $17.4 million award toward the plant.⁵ Chief Executive Terri Zimmerman said the company invested nearly $100 million.^1–2

Navy money runs through the project. After a Navy contract phase covering plant design and construction, the company announced in May that it was awarded $9.8 million for Phase 3.³ In April it announced a $27 million Small Business Innovation Research Phase III contract from the Naval Air Warfare Center Aircraft Division to scale cell manufacturing.⁴

Gallatin AI, an El Segundo, Calif., maker of AI logistics software for the U.S. military, announced a $50 million Series A on Thursday. New and existing investors including 8VC and Silent Ventures backed the round. The company plans to grow its engineering team, speed product development and broaden its AI-enabled sustainment tools.¹

Gallatin says the round brings its total raised to $70 million, counting a 2024 seed.¹ Federal money on record is far smaller: about $2.3 million across five USAspending transactions.⁶ "Venture capital has allowed us to build Navigator to commercial standards before entering the government competition process," chief executive Woody Glier said in March.³

Gallatin's award announcements include two Small Business Innovation Research (SBIR) contracts, an other transaction agreement with the Army's III Armored Corps and a Defense Innovation Unit contract. None of those four announcements disclosed a dollar value.^2–5

The Air Force SBIR, a Phase I announced in September 2025, covers a six-month generative AI effort for humanitarian assistance and disaster relief logistics.² In March, Gallatin announced an Army Applications Laboratory contract under PORTAL, a Direct to Phase II SBIR, to develop Navigator and deliver a functional logistics planning prototype.³

The III Corps agreement, announced in June, is to deploy and refine Navigator in support of the corps' exercises and operational planning. Deliverables include a logistics common operating picture and predictive consumption algorithms across all classes of supply.⁴ In July, Gallatin announced the Defense Innovation Unit contract to bring AI-driven sustainment planning to U.S. Army Europe and Africa, with Scale AI as a named teammate.⁵