As for cost, each Army Leonidas unit currently runs in the “low eight figures,” Lowery told me. Defense contract pricing can be opaque, but Epirus delivered four units for its $66 million initial contract, giving a back-of-napkin price around $16.5 million each. For comparison, Stinger missiles from Raytheon, which soldiers shoot at enemy aircraft or drones from a shoulder-mounted launcher, cost hundreds of thousands of dollars a pop, meaning the Leonidas could start costing less (and keep shooting) after it downs the first wave of a swarm.
Raytheon’s radar, reversed
Epirus is part of a new wave of venture-capital-backed defense companies trying to change the way weapons are created—and the way the Pentagon buys them. The largest defense companies, firms like Raytheon, Boeing, Northrop Grumman, and Lockheed Martin, typically develop new weapons in response to research grants and cost-plus contracts, in which the US Department of Defense guarantees a certain profit margin to firms building products that match their laundry list of technical specifications. These programs have kept the military supplied with cutting-edge weapons for decades, but the results may be exquisite pieces of military machinery delivered years late and billions of dollars over budget.
Rather than building to minutely detailed specs, the new crop of military contractors aim to produce products on a quick time frame to solve a problem and then fine-tune them as they pitch to the military. The model, pioneered by Palantir and SpaceX, has since propelled companies like Anduril, Shield AI, and dozens of other smaller startups into the business of war as venture capital piles tens of billions of dollars into defense.
Like Anduril, Epirus has direct Palantir roots; it was cofounded by Joe Lonsdale, who also cofounded Palantir, and John Tenet, Lonsdale’s colleague at the time at his venture fund, 8VC. (Tenet, the son of former CIA director George Tenet, may have inspired the company’s name—the elder Tenet’s parents were born in the Epirus region in the northwest of Greece. But the company more often says it’s a reference to the pseudo-mythological Epirus Bow from the 2011 fantasy action movie Immortals, which never runs out of arrows.)
While Epirus is doing business in the new mode, its roots are in the old—specifically in Raytheon, a pioneer in the field of microwave technology. Cofounded by MIT professor Vannevar Bush in 1922, it manufactured vacuum tubes, like those found in old radios. But the company became synonymous with electronic defense during World War II, when Bush spun up a lab to develop early microwave radar technology invented by the British into a workable product, and Raytheon then began mass-producing microwave tubes—known as magnetrons—for the US war effort. By the end of the war in 1945, Raytheon was making 80% of the magnetrons powering Allied radar across the world.
EPIRUS
Large tubes remained the best way to emit high-power microwaves for more than half a century, handily outperforming silicon-based solid-state amplifiers. They’re still around—the microwave on your kitchen counter runs on a vacuum tube magnetron. But tubes have downsides: They’re hot, they’re big, and they require upkeep. (In fact, the other microwave drone zapper currently in the Pentagon pipeline, the Tactical High-power Operational Responder, or THOR, still relies on a physical vacuum tube. It’s reported to be effective at downing drones in tests but takes up a whole shipping container and needs a dish antenna to zap its targets.)
By the 2000s, new methods of building solid-state amplifiers out of materials like gallium nitride started to mature and were able to handle more power than silicon without melting or shorting out. The US Navy spent hundreds of millions of dollars on cutting-edge microwave contracts, one for a project at Raytheon called Next Generation Jammer—geared specifically toward designing a new way to make high-powered microwaves that work at extremely long distances.
Lowery, the Epirus CEO, began his career working on nuclear reactors on Navy aircraft carriers before he became the chief engineer for Next Generation Jammer at Raytheon in 2010. There, he and his team worked on a system that relied on many of the same fundamentals that now power the Leonidas—using the same type of amplifier material and antenna setup to fry the electronics of a small target at much closer range rather than disrupting the radar of a target hundreds of miles away.
