Between 2022 and 2023,” Professor Schwarz reported, U.S. federal contracts for military AI “nearly tripled, with a potential increase in the value of these contracts by 1,200 percent.”

According to J.P. Morgan, VC investment in military and aerospace companies amounted to $48 billion in 2024, and “Through the first half of 2025, venture investments into U.S.-based defense tech startups totaledroughly $38 billion and could very well exceed the 2021 peak ($55 billion) should the pace of investing remain constant through the end of the year.”

Profiting From Israel’s Genocide Many of the largest VCs that are funding cutting edge AI weapons development for the Pentagon — such as Founders Fund, Andreessen Horowitz, Lux Capital, General Catalyst, Hercules Capital, Shield Capital, and Sequoia Capital — are also investing in Israeli high-tech firms, thus profiting from Israel’s genocide in Gaza.

These investments are being made in spite of pleas by Francesca Albanese, UN special rapporteur on the situation in the occupied Palestinian territories, that all governments and corporations “completely abstain from, or end, their relationship with this [Israeli] economy of the occupation, especially as it has transformed into an economy of genocide.”