Department of Government Efficiency: Ex-DOGE Team Launches AI Cyber Startup Cathedral

When the Department of Government Efficiency (DOGE) swept through federal agencies in 2025, it left a trail of cost-cutting and workforce restructuring that reshaped the public sector. Now, four of its alumni are applying that same intensity to a different domain: national security. They have launched Cathedral, a startup that aims to build AI-driven cyber capabilities for the U.S. military, and they have the backing of two of Silicon Valley's most influential venture firms.

Cathedral has raised $160 million in a funding round that values the company at $1.4 billion, according to sources familiar with the deal. The round was led by Andreessen Horowitz and Sequoia Capital, with each firm securing a seat on the board. The founders — Gavin Kliger, Luke Farritor, Marko Elez, and Jack Stein — previously served as officials within DOGE, the temporary agency tasked with modernizing federal technology and reducing government waste.

The startup's mission is explicit: to sign contracts with the U.S. government and use artificial intelligence to bolster both offensive and defensive cyber operations, particularly against rivals such as China. Cathedral is also exploring the acquisition of a data center or a partnership with a provider to secure dedicated computing power for its operations. The company's name, valuation, and Elez's involvement had not been disclosed prior to this report.

The investment signals a broader trend. Andreessen Horowitz also led a recent funding round for another DOGE-founded startup, Special, which aims to bring the department's cost-cutting ethos into the corporate world. The pattern suggests that venture capital sees value in the operational discipline and government connections forged during DOGE's tenure.

Cathedral maintains ties to the Trump administration, a relationship that could become a liability if the political winds shift. Experts cited in reports note that any change in administration could bring increased scrutiny to the company's government contracts. For now, however, the momentum is on Cathedral's side.

The startup's focus on AI for military cyber operations places it at the intersection of two high-stakes domains. The U.S. military has been investing heavily in AI for everything from intelligence analysis to autonomous systems, and cybersecurity remains a critical vulnerability. Cathedral's founders are betting that their experience in government efficiency — streamlining processes, cutting costs, and deploying technology at scale — translates directly to building effective cyber tools for the Pentagon.

Not everyone is convinced. Questions about political ties and security risks linger, as noted in the reporting. The company's close association with a specific administration could complicate its ability to win contracts under a future government. And the cybersecurity industry is crowded with well-funded incumbents and startups alike, all vying for the same defense dollars.

Still, the $160 million raise and the involvement of Andreessen Horowitz and Sequoia Capital give Cathedral a strong starting position. The company will need to demonstrate that its AI capabilities are not just theoretical but operationally effective against sophisticated adversaries. If it succeeds, Cathedral could become a template for how former government officials translate public-sector reform into private-sector innovation.

For now, the startup is in stealth mode, building its technology and preparing to pursue government contracts. The founders have not publicly detailed their product roadmap, but the ambition is clear: to become a central player in the U.S. military's AI cyber strategy. Whether Cathedral can deliver on that promise will depend on execution, political stability, and the ever-evolving threat landscape.