San Diego, CA
Welcome to the new Fightertown USA: Inside San Diego's AI-powered unmanned aircraft boom
Nearly 40 years ago, Tom Cruise rode the streets of San Diego on a Kawasaki Ninja motorcycle, playing a hotshot Navy fighter pilot in the ’80s classic “Top Gun.”
In those days, Miramar, a neighborhood in northern San Diego, was home to a US Naval Air Station that housed the fighter pilot training program featured in the movie. In its heyday, the station was nicknamed Fightertown USA. But the program has since moved to another station, and its legacy in San Diego is a faint, fond memory.
In the past few years, a new Fightertown USA has ascended in its place, largely due to the steady rise of San Diego’s tech sector and a new era of aerial innovation.
The city is now home to several startups building technology known as unmanned aerial vehicles — AI-powered autonomous defense aircraft capable of combat, surveillance, and delivery in conflict zones. Other startups are building technologies in adjacent areas, like drone defense systems and cargo delivery-focused aircraft.
With such a rich history of aerial dynamism, it’s no surprise that San Diego has become a major hub of this technology.
“You can really track naval aviation, in all its combinations and permutations from its origins, to present day, to future, out of the San Diego ecosystem,” said Larsen Jensen, a former Navy SEAL and founder of the San Diego defense tech-focused venture capital firm Harpoon Ventures. “And the future of it is unmanned, autonomous systems that don’t have people being shot off an aircraft carrier, but autonomous drones.”
Startups in this space include Shield AI, the defense technology unicorn that investors recently valued at $2.7 billion, and newer startups like Firestorm, another autonomous defense aircraft builder.
More investors have also started to take notice of the defense tech sector as Palmer Luckey’s Anduril continues its steady climb to become a tech decacorn reportedly valued at $12.5 billion by investors. With more VCs warming up to defense tech after years of casting it aside, AI and autonomous aircraft have the potential to be a game-changing innovation, not only for the military but beyond.
“I fundamentally believe that AI and autonomy will yield multi-trillion-dollar technology giants the same way the internet has,” said Brandon Tseng, cofounder of Shield AI.
Defense, AI, and a warming reception from VCs
Long before AI became a household buzzword, Shield AI launched in San Diego.
“We picked our name in 2015 before it was a hot wave,” said Tseng. “My aha moment was essentially OK, this software technology called AI, it can now be run on physical systems.”
Tseng, a mechanical engineer and former Navy SEAL deployed in Afghanistan and the Persian Gulf, and his cofounder and brother Ryan, the startup’s CEO, presciently decided in 2015 that AI would be a cutting-edge technology for the military.
“It should be powering, commanding, maneuvering every single one of our assets, every drone, every fighter jet, every submarine, every ship,” Tseng said of his thoughts on AI at the time.
Nearly a decade later, Shield AI’s technology has become just as cutting-edge as Tseng had imagined in 2015 — possibly even more.
The startup’s main technology is an AI pilot called Hivemind, which can enable drones and aircraft to operate completely autonomously without a pilot or the need for GPS or other communications. Hivemind allows aircraft to complete missions and make tactical decisions in the field independently.
Hivemind has been in use since 2018, and Tseng said the AI pilot was used in Israel on October 8 of last year to rescue hostages after the Hamas attack. It’s also been used in missions to intercept millions of dollars worth of drugs in the Caribbean Sea, Tseng said. Shield’s AI fighter pilot tech was also on display when a pilotless fighter jet fitted with its AI squared off in a dogfight with a manned F-16.
Shield’s main customers are the US Department of Defense and “allied militaries.” The startup recently inked a $198 million contract with the Coast Guard and also works with the Navy, Air Force, and Marine Corps.
Shield AI
Shield also produces an autonomous aircraft called the V-BAT, a vertical take-off and landing (VTOL) aircraft, which can complete missions typically done by larger, more sophisticated drones. And there’s the Nova 2, a combat-ready autonomous drone that can 3D map terrains or search buildings.
The startup has been on a nearly decadelong journey to this point. When it launched, Tseng recalled a frigid reception from VCs in the Bay Area when trying to fundraise.
“Defense tech wasn’t a thing in 2015,” he said. The team met with 30 investors and got 30 nos.
Tseng added that many investors thought he and his team were embarking on a “noble mission” but that it sounded like a “horrible” market and business idea. Nowadays, that reception is a little warmer, Tseng admitted.
“The advice at the time is ‘It is too hard. You shouldn’t even try.’ And that was the status quo across venture investors across everybody,” said Jensen of Harpoon Ventures.
But with companies like Palantir and SpaceX having success in the past decade, and now Anduril and Shield AI ushering in another wave, investor enthusiasm for defense tech appears to be growing.
That warmer reception is welcome news for newer defense tech companies like Firestorm, a startup building autonomous aircraft that launched in 2022.
Firestorm’s cofounder and CTO Ian Muceus said that even just two years ago when the startup was raising its pre-seed round, defense tech-focused firms like Decisive Point, Marque Ventures, and Silent Ventures wrote checks for that round. But when they raised their seed round, more traditional VC firms participated. And now that the company is raising a Series A, it’s seeing more interest from traditional investors as well, Muceus said.
“On the whole, we’ve seen the entire VC community kind of lean a little bit more into defense tech,” he said.
Firestorm
Also based in San Diego, Firestorm has developed 3D printed modular aircraft that can be quickly tailored for specific missions or altered on the battlefield. These aircraft, called the Tempest, weigh 55 pounds and can fly autonomously but complete pre-planned mission sets — what Muceus calls choreographed autonomy.
Continuing a legacy of military aviation
In 1911, Glenn Curtiss, known as the “father of naval aviation,” demonstrated the first plane that could operate from land and water for the US Navy in San Diego. The A1-Triad plane became the first Navy aircraft, leading to the first aviation squadron established on North Island in San Diego Bay.
San Diego is now home to the US’s largest West Coast military presence, with Navy, Marine Corps, and Coast Guard bases. These bases and their talent and resources are key to the city’s economic engine.
For many startups building in defense tech in the city, they have access and proximity to the military — one of their main customers.
“I think it turned out to be a pretty ideal location to be building and running a company that is involved in defense,” said Grant Jordan, CEO of SkySafe, a startup developing drone detection and airspace management technology.
But being a VC-backed company based in San Diego — whose investors include Andreessen Horowitz and Founder Collective — Jordan said in 2016 when he was raising the company’s seed round, investors always asked if he would move the company up to the Bay Area. But he stuck to his guns and kept the company in the city.
These days, Jordan says the startup’s location isn’t much of an issue with investors. Being in San Diego means SkySafe has direct access to the Navy, one of its first customers, and was able to cultivate that relationship directly rather than trying to do it remotely.
Natilus, an early-stage aviation startup backed by investors including Tim Draper and Soma Capital, was initially based in the Bay Area. But cofounder and CEO Aleksey Matyushev said that quickly became an issue for what the startup was trying to build.
“It really became clear, especially when you think about defense and unmanned technologies, that the airspace surrounding the Bay Area is incredibly complicated,” Matyushev said.
Natilus
With three regional airports in the Bay Area — San Jose, San Francisco, and Oakland — Natilus considered moving further down in California’s Central Valley to cities like Vallejo for more open areas to field test and build its aircraft, he said.
But San Diego seemed to be a better fit with its access to open land and proximity to the ocean. Natilus relocated to the city in 2021.
Natilus is developing remote-piloted aircraft that can transport more cargo with no emissions. The startup has three prototypes in the pipeline but is first focusing on its smallest short-haul aircraft, the Kona, which will have an 85-foot wingspan and can transport payloads of 3.8 tons. Matyushev said the Kona is about 24 months away from a test flight in San Diego. Natilus’ other two aircraft in development are the Alisio, a domestic vehicle that will transport 60 tons of goods, and the Nordes, a transcontinental aircraft able to carry 100 tons of freight.
The startup also utilizes some of the city’s existing aviation infrastructure, like the world-class wind tunnel facility at nearby San Diego International Airport. And the startup has a 12,000 square feet manufacturing facility and an office at Brown Field Municipal Airport close by, where it plans to build its aircraft.
Being in San Diego means Natilus and other defense startups benefit from the talent pipeline from big defense companies with a major city presence. General Atomics calls the city home, and other companies that are prime defense contractors with the US government, like Northrop Grumman, RTX, and Lockheed Martin, have large presences in the city.
That pipeline continues to feed into the San Diego tech ecosystem, feeding and driving the aerial innovation it has become known for over a century.
“San Diego has always been doing this,” Jensen said. “It’s going to continue to be doing this.”
San Diego, CA
San Diego Padres to sell team to investor group led by Kwanza Jones and José E. Feliciano, who will become the second Latino owner in baseball | Fortune
The San Diego Padres have reached an agreement to sell control of the team to an investor group led by Kwanza Jones and José E. Feliciano.
The family of late owner Peter Seidler formally announced the deal Saturday. The sale must still be approved by Major League Baseball.
The deal with private equity billionaire Feliciano and his wife took shape last month at an MLB-record valuation of $3.9 billion. The Padres’ announcement of the deal didn’t give specifics on the members of the investor group or the purchase price.
“The Padres are more than a baseball team; they are a unifying force in San Diego, rooted in community, connection and belonging,” Jones and Feliciano said in a joint statement. “As life and business partners, and as a family, we are honored to lead this next chapter together. We have worked hard for everything we have achieved, and we have built it together. We see that same spirit in this team and its fans, and we know what it takes to win. We are committed to showing up, listening and earning the trust of this community while building on the strong foundation established by the Seidler family.
“This is about more than baseball — it’s about boosting the pride, energy, and connection that define the Padres, investing in community, deepening belonging and ensuring this team remains accessible and endures for generations. We are all in — with the goal of bringing a World Series championship to San Diego.”
Seidler’s family began to explore a sale of the Padres last November, two years after the death of the popular Peter Seidler, who became the Padres’ primary owner in 2020. His brother, John Seidler, has served as the Padres’ chairman since his death.
“When I became control person, my goal was to continue building on our recent success in pursuit of a World Series championship for the city of San Diego and our faithful fans,” John Seidler said in a statement. “As I pass the baton to Kwanza and José, I do so with full confidence that they share that vision as well as the Padres’ deep commitment to San Diego. It’s what the team, our fans and the community deserve. Our family loves this team.”
Peter Seidler joined the Padres’ ownership group in 2012 when John Moores sold the team for $800 million to a group headed by Ron Fowler. Seidler took over and immediately endeared himself to San Diego’s fans with his aggressive financial backing of general manager A.J. Preller, who built a team that has reached the playoffs in four of the past six years.
The Padres have been a hot ticket for several years as San Diego’s only team in the four biggest North American sports leagues, ranking second in the majors in attendance last season. Preller’s roster is off to another strong start this season, sitting second in the NL West at 19-12 heading into a home game against the Chicago White Sox on Saturday night.
Jones and Feliciano already got a start on their new endeavor last month when they traveled to Mexico City to watch the Padres’ international series against the Arizona Diamondbacks. The couple was spotted sitting with Padres CEO Erik Greupner.
Feliciano will become the second Latino owner in baseball, joining Los Angeles Angels owner Arte Moreno. Latino and Hispanic players comprise roughly 30% of major league rosters.
San Diego, CA
New audit breaks down the City of San Diego’s response on homeless encampment clean-ups
SAN DIEGO (KGTV) — A new report from the City of San Diego Auditor details how the City has addressed the clearing of homeless encampments since the passage of the Unsafe Camping Ordinance.
The audit looked to address five main questions:
- Did the unsheltered population decrease in the City of San Diego since the implementation of the Unsafe Camping Ordinance?
- Did the unsheltered population move from downtown to other areas of the City of San Diego after the implementation of the Unsafe Camping Ordinance?
- Did the number of citations, arrests, and prosecutions for encampments increase after the Unsafe Camping Ordinance?
- Did City departments work and coordinate in their response to encampments after the implementation of the Ordinance, in accordance with the goals in the preamble of the Ordinance?
- Does the City equitably store personal items from abatements?
It also showed that the overall unsheltered population in the City hasn’t declined by much since the ordinance went into effect, even though it appears that fewer people are living on the streets.
“What we did see was at the same time that this ordinance went through, that our safe sleeping went online, and that was an opportunity to get hundreds of people into our safe sleeping,” Franklin Coopersmith, Deputy Dir. of Environmental Services Department, City of San Diego, said.
Coopersmith’s department is tasked with clearing homeless encampments.
ABC 10News spoke with him about the audit and the five questions that it aimed to answer.
Coopersmith and the audit explain that those safe sleeping sites are still technically considered unsheltered, according to the Department of Housing and Urban Development.
“Our safe sleeping is not considered an official shelter, so it is still considered unsheltered,” Coopersmith said. “Though when the public looks, they don’t see as many people on the street is because they’re in these places where we designate that they can go in. We have shelter there. We have resources, we have beds for them.”
When it comes to the movement out of Downtown San Diego, the audit said there’s not enough data to show that reports of encampments in other areas, but are not ruling it out. The report found that arrests and citations increased.
The report also found that Get It Done request times for encampments from both the San Diego Police Department and Environmental Services went down since the ordinance.
“With this ordinance, we work closely with the neighborhood policing, which has the HOT team, the homeless outreach team,” Coopersmith said. “I mean, that was a great tool in addition to homeless outreach workers, you have this hot team that’s out there that’s able to make contact and get people into shelter just as easily as an outreach worker is.”
The audit says the city could do a better job at storing personal items found in encampments. Coopersmith’s department agrees with and plans to make things more accessible and review how other cities store those items.
“I think we did a really good job pointing out that homelessness is extremely complicated. There are many needs out there and a single ordinance is not what’s going to solve it,” Coopersmith said.
Homelessness service provider People Assistance The Homeless, also known as PATH San Diego, sent ABC 10News the following statement after the release of the audit:
“PATH participated in the City’s audit of the Unsafe Camping Ordinance with the goal of improving outreach outcomes and supporting healthy, safe public spaces. We maintain strong working relationships with partners across the region, including the City of San Diego, and we look forward to continuing this collaboration.
No one should be living unsheltered or in encampments. That is why PATH focuses on providing outreach and street-based case management to help our unhoused neighbors move indoors and onto a path toward stable housing. Effective outreach requires time, trust, and coordination. We have consistently advocated for outreach to serve as the first step when clearing and addressing encampments in public spaces.
Our experience shows that providing at least 72 hours’ notice, ideally up to one week, leads to better outcomes. This timeframe allows outreach teams to build connections and link individuals to appropriate services and shelter. When dedicated shelter beds are available for a specific encampment and immediate placement is offered, acceptance rates increase significantly. When adequate notice and time are not provided prior to sweeps, significant setbacks occur in our efforts, as individuals often lose critical documents and service connections necessary for securing housing.
We hope our additional feedback will be taken into consideration as we continue working to support unsheltered San Diegans in transitioning off the streets and into stable housing. “
The report also states that as shelter referrals increased, including safe sleeping, with the ordinance going into effect, space was limited, so most of those requests couldn’t be met.
Paul Armstrong from the San Diego Rescue Mission said that more beds would be more helpful.
“But also, I think we need to look at the relationship between outreach and the shelter system. And as our shelter system turns into long-term housing, how much turnover is happening in our shelter system?” Armstrong said. Because that’s part of it is we need a high-functioning shelter system that’s integrated with outreach.”
San Diego, CA
County homelessness drops by 1%, but unsheltered numbers drop by double-digits
SAN DIEGO (CNS) — The number of unsheltered homeless across San Diego County declined by 11% this year, but sheltered homelessness increased by 12%, according to the results of the 2026 Point-in-Time Count released Friday.
The PITC is conducted every January by the Regional Task Force on Homelessness and is a one-day snapshot of the region’s homeless population.
All told, homelessness across the region decreased by 1%, from 9,905 individuals in 2025 to 9,803 in 2026.
“This is what progress looks like,” said RTFH CEO Tamera Kohler. “We’re seeing good results where we’ve made investments. As a region, we still do not have enough housing resources — there are no more housing vouchers, and HUD funding is uncertain. So the investments have been in diversion, sheltering and encampment resolutions. When we have adequate investments, we can reduce unsheltered homelessness.”
The 2026 count found 5,108 individuals living unsheltered, down from 5,714 last year, while 4,695 people were in shelters or transitional housing, up from 4,191.
The information collected is used to apply for federal and state funding to help people experiencing homelessness.
The number of unsheltered homeless dropped dramatically in several cities: 64.1% in Santee, 39.5% in El Cajon, 30% in Encinitas, 25% in La Mesa and 24.5% in Chula Vista.
In San Diego, which as the largest city in the county has a correspondingly large population of homeless residents, those unsheltered declined by 6.6%.
One of the region’s most pressing concerns is the increase in senior homelessness. Older adults make up 33% of the unsheltered population, up from 29% last year, and more than half are experiencing homelessness for the first time. The oldest individual RTFH volunteers engaged on the morning of this year’s count was an 86-year-old Latina woman in Chula Vista.
“It has to be a top-priority population,” Kohler said.
Serving Seniors President & CEO Melinda Forstey says the trend continues to show an increasing impact from homelessness on San Diego county’s older adults.
“While it is encouraging to see that overall homelessness has declined, the continued rise in homelessness among older adults is deeply concerning,” Forstey said. “Once again this year, older adults now make up one third of the region’s homeless population.”
Deacon Jim Vargas, president and CEO at Father Joe’s Villages — one of the region’s largest homelessness services providers — said the region should be doing better.
“We are disappointed to see that overall progress has stalled, with no change in the total number of people experiencing homelessness in our region, even as we’ve continued to invest in solutions,” he said. “More concerning, the data shows a growing crisis among older adults. This year, even more seniors fell into homelessness for the first time, continuing a troubling trend. This is a challenge for which our community is not prepared.”
Possible cuts to San Diego’s homelessness funds in the fiscal year 2027 budget also had Vargas concerned about loss of resources.
“As our population ages, we must act swiftly to prevent seniors from losing their homes and to provide targeted services that meet their unique needs,” he said. “Focusing on prevention, diversion, health care and housing is key to addressing homelessness. It is a travesty for anyone to spend their golden years on the streets.”
Positive developments from this year’s count include a 12% drop in unsheltered veterans, 26% decline in unsheltered transitional-age youth (18-24) and a 14% decrease in people living in vehicles.
“San Diegans should be encouraged by this progress,” said RTFH Board Chair Veronica Dela Rosa. “We are seeing results from targeted investments and strong regional collaboration. But we must stay focused and continue investing in what works.”
A total of 80% of people experiencing homelessness said they became homeless in San Diego County, “underscoring that this is primarily a local challenge driven by housing costs and economic pressures,” a RTFH statement read.
The data released Friday continues a trend of declining homelessness. In 2025, the number of people experiencing homelessness in San Diego County dropped by 7%, and dropped by about 14% in the city of San Diego.
“Progress like this doesn’t happen by accident,” said Continuum of Care Advisory Board Chair Akilah Templeton. “It reflects the work of service providers, outreach teams, local governments and volunteers across the region. At the same time, we must continue expanding housing and services to meet the scale of the need.”
Copyright 2026, City News Service, Inc.
-
San Francisco, CA12 minutes agoSF’s Union Square showing signs of recovery, though some challenges remain
-
Dallas, TX18 minutes agoFC Dallas vs New York Red Bulls: Lineup notes 📝
-
Miami, FL24 minutes agoMercedes’ Kimi Antonelli continues strong form with Miami Grand Prix Pole
-
Boston, MA30 minutes agoWith Jayson Tatum out, Celtics debut brand-new starting lineup in Game 7
-
Denver, CO36 minutes ago2026 Denver Supercross Results
-
Seattle, WA42 minutes agoSeattle Mariners call up pitcher from Double-A
-
San Diego, CA48 minutes agoSan Diego Padres to sell team to investor group led by Kwanza Jones and José E. Feliciano, who will become the second Latino owner in baseball | Fortune
-
Milwaukee, WI54 minutes agoAscension Wisconsin held its one-day Medical Mission at Home event in Milwaukee, Racine, and Appleton