Gaxos.ai Inc. (NASDAQ:GXAI) is expanding beyond AI content tools and into defense technology with a new strategic investment.
Gaxos Buys 19.99% Stake In Defense Tech Firm
The company announced on Tuesday that it acquired a 19.99% stake in America First Defense (AFD), a U.S.-based defense technology company.
The financial terms of the acquisition were not disclosed.
America First Defense is an American-owned defense technology company developing next-generation security platforms across both air and ground domains.
The company is focused on two high-priority categories: a detachable counter-drone system designed to neutralize hostile UAVs through precise protocol-level cyber attacks without collateral jamming, and a biomimetic soft robotics platform engineered for low-detection ground and subsurface operations.
The company is positioned to address rapidly expanding demand from the Department of War, Department of Homeland Security, border security, maritime security, municipal safety, and critical infrastructure operators.
Focus On American-Made, Scalable Defense Systems
With a strategy centered on American-made IP, scalable deployment economics, and mission-specific precision, America First Defense is aligned with a fast-growing defense market seeking cost-effective, all-domain systems purpose-built to counter modern autonomous threats.
Recent Byteplus Deal Strengthens AI Platform
Gaxos.ai recently finalized an agreement with Byteplus, the enterprise technology arm of ByteDance, TikTok's parent company.
Under the deal, Gaxos will secure preferred pricing and major discounts on ByteDance's advanced video generation models, allowing it to roll out AI features more quickly within Art-Gen, its AI image and video creation platform.
BytePlus will also give Gaxos early access to new releases when available, strengthening the partnership and supporting Gaxos' gross margins as usage grows.
GXAI Price Action: Gaxos.AI shares were down 5.26% at $1.08 during premarket trading on Tuesday. The stock is near its 52-week low of $1.00, according to Benzinga Pro data.
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