Blackwater founder Erik Prince launches air-defence systems company

Private military contractor Erik Prince has launched a new company that will provide hardware and operational management for air-defence systems in partnership with Ukrainian drone software group Swarmer, which he also backs.

Vectus Air Defense Systems marks Blackwater founder Prince’s latest foray into private military and security services. He has become a global security industry entrepreneur since the 2010 sale of the private contractor, which drew public anger over America’s use of excessive force by private contractors in Iraq.

The new venture will design, install and operate “layered air-defence networks” for customers under multiyear contracts, in what the company describes as an “air defence as a service” model, according to the company.

Prince is a non-executive chair of Swarmer, which went public in March. Swarmer has taken a 20 per cent equity stake in Vectus, while Prince’s representative said he owned the rest. There were discussions about “bringing in one or two additional investors” to the venture, he said.

Promoted as a cost-effective alternative to anti-ballistic missiles like the Patriot used against cheap drones in the Middle East conflict, Vectus’s systems would combine US, Ukrainian, Israeli and other technologies, including sensors, electronic warfare, interceptor drones and rapid-firing large-calibre guns.

“It’s clear that the threat is evolving rapidly and the demand for a private-sector solution is very strong,” Prince said in a statement. “We need to achieve a drastic reduction in the cost of defence.”

Swarmer, which says its software has supported more than 100,000 combat missions in Ukraine, will help develop counter-drone systems for the company, including technology allowing interceptor drones to operate in swarms.

“The economics of aerial threats have fundamentally changed,” Alex Fink, Swarmer’s president and US chief executive, said in a statement. “Defending against these threats requires a new cost structure.”

Prince has spent the past year meeting technology suppliers and potential customers in Ukraine, the Middle East, Africa and Latin America, said his spokesperson. “The service is best suited to large commercial/civilian assets, which don’t want to or can’t depend entirely on government,” he said.

The former Navy Seal has run various ventures including recruiting mercenaries for Abu Dhabi, defending ships against Somali pirates, and even advising the Chinese government on logistics and security for its overseas projects. Prince also runs Vectus Global, a private security company that runs anti-gang operations in Haiti, and operates in the Democratic Republic of Congo defending mines. The company is separate from Vectus Air Defence.