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Army / navy in advancing AI and drones

This piece from Defense Tech and Acquisition does not merely report on new weapons; it signals a fundamental, high-stakes shift in how the United States intends to wage war. The most striking claim is not about a specific drone or missile, but the explicit declaration that the nation is moving from a peacetime posture to a "wartime footing" where civilian priorities are subordinated to state needs. For busy leaders tracking the global balance of power, the evidence here suggests that the bottleneck is no longer just technology, but the industrial capacity to scale it before a conflict begins.

The Industrial Base on a War Footing

The editors argue that the current defense strategy relies too heavily on the private sector's voluntary participation rather than direct state control. They posit that true readiness requires a massive injection of capital, suggesting a defense budget of "5% of GDP" to match Cold War levels. This is a bold number, one that would fundamentally reshape the American economy. The piece notes that the Department of Defense is dismantling the "overly deliberative and slow" requirements process to prioritize speed. As Secretary Hegseth is quoted in the text, "speed to delivery is now our operating principle."

Army / navy in advancing AI and drones

This pivot echoes the logic of the Defense Production Act of 1950, a Cold War-era tool designed to mobilize industry for existential threats. The article suggests we are returning to that mindset, but with a twist: relying on incentives and long-term contracts rather than coercion. The argument is that the U.S. must "ensure readiness from day one" rather than scrambling after a crisis erupts. However, this framing overlooks the human cost of such a rapid industrial mobilization. A wartime economy historically demands the subordination of consumer needs and labor allocation to the state, a reality that often translates to strained communities and diverted resources from social infrastructure.

"It is time for government and industry to get after it and put our industrial base on a wartime footing to operate with the speed, scale, and sustainment necessary to prevail in any future fight."

Critics might note that simply increasing spending does not guarantee resilience; the supply chains for critical components remain brittle, and the workforce for advanced manufacturing is not yet ready for a surge. The piece acknowledges the need for "workforce training" but treats it as a logistical checkbox rather than a profound societal challenge.

Rewriting the Rules of Engagement

The coverage turns sharply to the regulatory environment, arguing that current laws are strangling innovation. The editors highlight a push to rewrite the Federal Acquisition Regulations (FAR), which they claim are "most burdensome." Margaret Boatner, a policy vice president, is quoted saying, "This is a really rare opportunity to attack some of those requirements in the FAR that are most burdensome." The core of the argument is that the government's current classification of private investors as "contractors" creates a compliance web that kills investment before it starts.

The proposed solution is to unleash private capital by exempting financing partners from these regulations, allowing them to "sidestep red tape and deploy capital quickly." This approach aims to fix low munitions stockpiles and slow shipbuilding by making it easier for Wall Street to fund the industrial base. The logic is seductive: if you remove the friction, the money will flow, and the factories will run.

"Our defense industrial base is under strain—munitions stockpiles are low, supply chains are brittle, and outdated regulations are slowing down private investment."

Yet, this deregulation strategy carries significant risk. By prioritizing speed and capital flow, there is a danger that oversight mechanisms designed to prevent waste, fraud, and abuse could be eroded. The piece advocates for a "National Competitiveness Investment rating" to guide investors, but it remains unclear how this voluntary tool will prevent the very inefficiencies it seeks to cure.

The AI Race and the Digital Soldier

The article's most forward-looking section details the Pentagon's aggressive integration of artificial intelligence. The Department of Defense has launched a new portal, genai.mil, granting personnel access to frontier models like Google's Gemini and Anthropic's Claude. The goal is to create "Digital NCOs" and "Digital Staff Officers"—AI agents that can manage maintenance schedules, draft operational orders, and coordinate logistics without constant human intervention.

The editors describe this as a race for supremacy, noting that "the future of American warfare is here, and it's spelled AI." The vision includes "intelligent agentic workflows" where autonomous programs make decisions with minimal human involvement. This is not just about better chatbots; it is about embedding AI into the very fabric of command and control. The piece highlights that Special Operations Command is specifically seeking "agentic AI" that can "reason, adapt to their environments, and make their own decisions with human-like agency."

"The next phase is about turning the best of those chat‑based experiments into Digital NCOs and Digital Staff Officers embedded in real systems and workflows."

This rapid deployment raises profound ethical questions that the article touches on only lightly. If an AI agent makes a decision that leads to collateral damage, who is accountable? The push for "speed to delivery" and "autonomous programming" risks outpacing the development of robust ethical guardrails. The human cost of algorithmic warfare is not a technical glitch; it is a moral imperative that must be central to this transition.

Securing the Supply Chain

Finally, the piece addresses the geopolitical necessity of decoupling from adversarial supply chains. It reports that the intelligence community is now tasked with monitoring global supply chains to "mitigate vulnerabilities and threats to American security." This includes a focus on critical minerals, highlighted by a recent discovery in Utah of high-grade deposits of lithium, germanium, and other rare elements essential for modern electronics and weapons.

The argument here is that economic security is national security. By monitoring where goods are shipped and produced, the U.S. hopes to prevent adversaries from holding critical technologies hostage. The discovery in Utah is framed as a "gold mine" that could reduce reliance on foreign sources for rubidium and cesium.

"The U.S. intelligence community should monitor global supply chains as part of a sweeping goal to decouple the nation's economy from foreign adversaries and advance American economic interests."

While the strategic logic is sound, the execution is fraught with complexity. Decoupling global supply chains is not merely a policy switch; it is a decades-long economic restructuring that could raise costs and slow innovation. The piece assumes that domestic production can quickly fill the gap, ignoring the time and capital required to build a new mining and refining infrastructure from scratch.

Bottom Line

Defense Tech and Acquisition makes a compelling case that the United States is attempting a historic pivot from a peacetime industrial model to a wartime footing, driven by the urgent need to scale AI and munitions production. The strongest part of this argument is the clear identification of regulatory friction as a primary bottleneck to national security. However, the piece's biggest vulnerability is its optimistic assumption that capital and speed alone can solve deep-seated structural issues in the workforce and supply chain, often glossing over the profound human and ethical costs of accelerating the machinery of war. Readers should watch closely to see if the promised "speed to delivery" comes at the expense of the very oversight needed to prevent catastrophic errors in an AI-driven battlefield.

Deep Dives

Explore these related deep dives:

  • Defense Production Act of 1950

    The article explicitly mentions DPA powers as a key tool for mobilizing the industrial base. Understanding the history and scope of this Cold War-era legislation—how it was used during Korean War mobilization and recently during COVID-19—provides crucial context for current defense industrial policy debates.

  • Military–industrial complex

    The article discusses the relationship between private capital, defense contractors, and government procurement. Eisenhower's famous warning and the historical evolution of this relationship provides essential background for understanding current debates about FAR regulations and private investment in defense.

  • Unmanned surface vehicle

    The article mentions the Navy going 'full speed ahead on USVs' and China developing drone motherships. Understanding the technical capabilities, current deployments, and strategic implications of unmanned surface vehicles helps contextualize this naval transformation.

Sources

Army / navy in advancing AI and drones

Welcome to the latest edition of Defense Tech and Acquisition.

DoW pursues a wartime footing with focused tech and private capital.

SECWAR harnessing AI for DoD and new AI EO for fed government.

Army transformation includes more drones and AI to formation

Navy is full speed ahead on USVs and a Golden Fleet

Air Force awards new missile contracts to NGC for SiAW and AARGM.

Space Force continues reoptimization plan and works on ops-qcq integration.

Gen Guetlein shares that Golden Dome has a plan…and lots of risks.

China pushing ahead with drone motherships and nuclear UUVs.

Putting the Industrial Base on a Wartime Footing.

Jerry McGinn and Cynthia Cook

Given that the U.S. industrial base is overwhelmingly comprised of private sector firms, the DoW relies on incentives, procurement reforms, investment, and targeted authorities, including tools like long-term contracts, subsidies, workforce training, and Defense Production Act (DPA) powers, rather than coercion or commandeering of industries.

By contrast, a wartime economy occurs when the state directly shapes production, labor allocation, and consumption, and where consumer priorities are subordinated to the needs of the state.

There are three steps to putting the industrial base on a war footing.

Spend more on defense. Getting to 5% of GDP would put the U.S. in line with Cold War or Gulf War defense levels that would enable greater numbers of forces, increased procurement of weapons systems, and greater investments in readiness.

Invest in the systems and platforms that will be required at the outset of a conflict, ensuring readiness from day one. As Secretary Hegseth stated, “speed to delivery is now our operating principle,” The DOD’s disestablishment of the overly deliberative and slow JCIDS, the creation of a 2-to-production standard, and numerous other initiatives are focused on speed to delivery and scale.

Sustainment—the ability to maintain, repair, and replace adequate levels of capabilities needed to prevail in prolonged conflict. This requires decisions today to ensure that the U.S. successfully sustains a resilient, surge-ready defense industrial base to succeed during a high-intensity conflict in the Indo-Pacific.

It is time for government and industry to get after it and put our industrial base on a wartime footing to operate with the speed, scale, and sustainment necessary to prevail in any future fight.

Jerry also discussed their paper on the DefAero pod.

Pentagon Weighs Consolidation of DIU Tech Portfolio.

Emil Michael, the DoW’s CTO, said his office is assessing ...