The missing key for defense innovation? A good coworking space

Sarah Pearson, director of commercial engagement for the Defense Innovation Unit, often keeps secrets from startups her team recruits due to bureaucracy and security clearance delays. To address this, a startup called Nooks is creating a network of high-tech, espionage-proof facilities where startups can handle classified information. Nooks was founded by former Navy pilot Sean Blackman and two fellow aviators to solve the paradox of needing a contract to build a SCIF (sensitive compartmented information facility) but not having the funds without a contract. Nooks just raised a $25 million Series A round and plans to launch its first three locations this year. The idea is to offer classified infrastructure as a service, allowing startups faster entry into military innovation and the military a broader talent pool. Traditional SCIFs are like buying a home, and Nooks is more like Airbnb for classified work. The demand for SCIF access is growing, and the government is taking note, but the challenge remains how fast the government can get more startups in the right, highly-secure rooms.