A US-Israeli Defence Venture Has Put Its Own Price Tag at $5bn

VisionWave Holdings, a United States company, and AIPHEX Ltd of Israel have launched a Nevada-based joint venture valued internally at about $5 billion to develop next-generation defence and space technologies, the two announced on Wednesday. The venture combines VisionWave's Evolved Intelligence platform and autonomous aerial systems with AIPHEX's combat-proven multiphysics artificial intelligence and radar systems, alongside contributions from two American firms, GBT Tokenize Corp and GBT Technologies.

Each of the two lead partners will hold nearly 47% of the new entity, which will pursue defence contracts in the United States and internationally. Eleven designated projects are already in advanced talks. VisionWave's chief executive, Noam Kenig, called the deal a step towards "large-scale defence and space contracts".

What the $5 billion figure actually is

The headline number is the part most likely to be misread, and the partners were explicit about it. The full announcement, carried by StockTitan, states that the $5 billion is an internal valuation framework used solely to allocate equity between the partners: not a contract value, not a market appraisal, and not a formal assessment by any third party.

The same filing sets out the split precisely: VisionWave 46.76%, AIPHEX 46.76%, GBT Tokenize 6.08% and GBT Technologies 0.40%. It also discloses conditions that rarely make headlines: the venture has a seven-year renewable term and terminates automatically if it generates no revenue within 12 months. VisionWave trades on Nasdaq under the ticker VWAV.

GovCon Executive, covering the announcement for the US government contracting sector, reported the same ownership percentages and repeated that the roughly $5 billion figure is an internal assessment rather than an external market valuation. It also recorded a pipeline of 11 projects in advanced negotiation and 13 further projects under discussion with third parties, and valued the patent portfolio contributed by GBT Tokenize (covering semiconductors, photonics and AI) at around $300 million.

What each side is bringing

VisionWave's contribution is described as radio-frequency-to-image sensing, multi-modal data fusion and multi-domain autonomy. AIPHEX brings neuromorphic four-dimensional radar and multi-physics AI. In plain terms, the two halves are sensing and interpretation: hardware that detects objects in contested environments, and software that decides what those detections mean fast enough to act on.

Why Israeli defence technology is in demand

Israeli defence exports have risen sharply. The Times of Israel, reporting Defence Ministry figures in June 2025, said exports reached nearly $14.8 billion in 2024, up from $13 billion in 2023 and roughly double the $7.5–8.5 billion range of 2018–20, a fourth consecutive annual record. Missiles, rockets and air defence systems made up 48% of the total, with radar and electronic warfare a further 8%. Europe took 54% of exports, up from 35% the previous year, a shift the ministry attributed to demand following Russia's invasion of Ukraine.

What is still unclear

No contract has been announced. The partners did not name any of the 11 designated projects, identify the customers involved, or say what any of them would be worth if signed. The announcement gave no revenue projection, no capital commitment from either side beyond the equity split, and no timetable for when the venture expects its first award.