EDGE Group, the Abu Dhabi-based defense conglomerate, has announced a significant investment in Israeli technology firm Thirdeye Systems Ltd., marking a major collaboration in defense technology.
The $22 million deal includes a direct equity investment and the formation of a new joint venture, highlighting growing technological cooperation between the UAE and Israel.
Under the terms of the agreement, EDGE will initially invest $10 million to acquire a 30% stake in Thirdeye Systems, a company specializing in AI-powered electro-optical systems. The partnership will expand through a joint venture, with EDGE committing an additional $12 million and taking a 51% controlling stake. Thirdeye Systems will retain 43% ownership, while a third party will hold the remaining 6%.
The joint venture aims to leverage Thirdeye Systems' intellectual property to develop and market advanced electro-optical object recognition systems, particularly focusing on unmanned aerial vehicle detection. This collaboration comes at a time when drone detection and defense capabilities are becoming increasingly crucial in modern warfare scenarios.
"This transaction reflects our confidence in Thirdeye Systems' solutions, which provide a critical layer of protection in unmanned aerial vehicle detection," said Rodrigo Torres, EDGE Group President and CFO. "We believe this collaboration would benefit both parties and accelerate the development of new products to enhance identification capabilities in the evolving modern warfare."
Strategic significance
Thirdeye Systems' CEO, Lior Segal, expressed enthusiasm about the partnership, emphasizing its strategic significance. "This technological and security partnership sends a strong message about the capabilities of our AI-driven products and their contribution to national security," Segal stated. "Aligning efforts with a company of EDGE's caliber presents a significant opportunity to advance innovative technological solutions."
The collaboration brings together EDGE Group's extensive global reach, serving 140 countries with an order backlog of $12.8 billion, and Thirdeye Systems' expertise in AI-based optical systems and autonomous tools. Founded in 2010, Thirdeye Systems has established itself as a pioneer in edge AI applications and real-time image processing technology, particularly in the defense and security sectors.
For EDGE Group, which ranks among the world's top 25 military suppliers and employs over 12,000 people across 25 companies, this partnership aligns with its mission to deliver innovative defense solutions while expanding its technological capabilities. The deal is expected to enhance both companies' positions in the global defense market, particularly in the rapidly growing field of autonomous systems and AI-driven security solutions.