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Damocles was a top PMC in the United States, based around California and under Cartel influence.

During Covert Ops, it is discovered that Yueng Corporation, abusing Raul Escobedo's connections, delivered various types of technology to Damocles (including but not limited to launch codes on Peacekeeper missiles), who would have threatened the US government into submission. With the intel acquired, Chimera was able to swiftly alert the US government, averting a potential disaster. The next mission, Sword of Damocles, sees Greg C. Schafer assaulting and destroying Damocles for their involvement, with orders from James T. Whittel.

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