# Watchtower Labs raises $35 million to expand military planning tools The seed round backs a logistics prototype contractor planning to expand beyond sustainment. Co-lead investor Shield Capital incubated the company. Published 2026-10-23 by TGOs. Canonical: https://tgos.io/news/2026/10/23/watchtower-labs-raises-35-million-to-expand-military-planning/ Watchtower Labs emerged from stealth on Oct. 21, 2026, with $35 million in seed financing led by Shield Capital and Conviction, with Founders Fund participating.[1] The company is starting with logistics planning and already holds a government prototype contract.[1][2] It says the financing will support team growth, more applications, and continued testing and deployment as its technology extends beyond sustainment into broader operational planning.[1] Shield's involvement extends beyond the financing: Watchtower was incubated within the venture firm, and Shield founder and managing partner Raj Shah chairs the company.[1] Watchtower's co-founders include Akhil Iyer, a former Marine special operations officer and Shield investor, alongside Souren Aghajanyan and John Morman.[1] The Defense Innovation Unit awarded prototype contracts to Watchtower and Air Space Intelligence in January 2026 under its Joint Sustainment Decision Tool program, following a competitive commercial solutions opening assessment.[2] ## Why it matters DIU says the vendors will deliver logistics planning tools to monitor and forecast requirements for munitions, fuel, medical materiel and spare parts.[2] Integration with mission partners will be an early priority during the prototype period, according to DIU.[2] ## Sources 1. Watchtower Labs press release, PR Newswire, Oct. 21, 2026 2. DIU: Three Contracts Awarded To Modernize Decision-Making for DoW’s Joint Logistics Enterprise (updated July 9, 2026)