Leidos Acquires Kudu Dynamics, Advancing AI Capabilities for Cyber Warfighters

Leidos (NYSE:LDOS) announced today that it has acquired Kudu Dynamics, accelerating Leidos' rapid scaling of artificial intelligence (AI)-enabled cyber capabilities for defense, intelligence and homeland security customers.

Leidos’ extensive current AI-enabled cyber offerings arm users with the rapid capability and scale needed to automate vulnerability detection, enhance novel defenses, neutralize attacker advantages and evade adversary defenses. Acquiring Kudu Dynamics will accelerate Leidos’ strategy for AI-enabled offensive cyber, electromagnetic spectrum operations and vulnerability research. 

Founded in 2013, Kudu Dynamics has rapidly grown its work across the Department of Defense, leading the industry in automated targeting, scalable hardware reverse engineering and the generation of other non-kinetic effects.

“Kudu’s ability to generate new cyber capabilities with AI perfectly complements our strategy to rapidly grow differentiated offensive cyber technology capabilities,” said Leidos Chief Executive Officer Tom Bell. “This acquisition underlines Leidos’s commitment to continue to build smarter full-spectrum cyber capabilities, so that the U.S. and its allies dominate the cyber warfighting domain.”

“We’re excited to deliver the next level of capabilities to our customers as we bring together the highly innovative cyber professionals and disruptive technologies of Kudu with the scale, resources and experience of Leidos,” said Kudu Dynamics’ Founder and CEO Mike Frantzen. “In Leidos, we’ve found a partner who shares our ethic of purposeful innovation in support of our nation’s most critical missions.”

The Kudu Dynamics purchase marks Leidos’ first acquisition in two-and-a-half years. Increasing investment in the company’s already formidable cyber capabilities is among the five strategic growth pillars of its new NorthStar 2030 strategy, developed through a year of deep strategic thinking in 2024. 

The approximately $300 million all-cash acquisition closed May 23.