The Insider

Defense technology contractors Booz Allen Hamilton and Palantir are entering a "co-creation partnership to accelerate defense mission innovation and help the U.S. maintain superiority against its adversaries," the companies announced Friday.

The move will build on previous “strategic collaborations” between Palantir and Booz Allen, and its initial focus will center on two “critical components,” the release said.

Those include driving information infrastructure modernization and secure interoperability, as well as the rapid acceleration of integrated warfighting operations through data-centric systems improving combined mission planning with U.S. allies and partners, according to the release.

“We’re partnering with Booz Allen Hamilton to create a future where AI-infused hardware keeps our allies safe and our enemies scared,” Alex Karp, Palantir co-founder and CEO, said in a statement accompanying the release.

Horacio Rozanski, chairman, CEO and president of Booz Allen, also praised the effort merging both companies’ comparative advantages and specializations in the defense contracting industry.

“Alex and I are creating new mission capabilities that leverage our companies’ unique technologies and expertise to close mission gaps at the speed of now. Our joint team created a prototype in only 45 days,” Rozanski said in a statement accompanying the release.

This Thursday INSIDER Daily Digest has news on the Space Force's Proliferated Low-Earth Orbit satellite-based services contract, the Army's Joint Light Tactical Vehicle program and more.

The Space Force's Proliferated Low-Earth Orbit satellite-based services contract value has been raised by a significant amount:

Space Force boosts pLEO spending cap from $900 million to $13 billion

The Space Force raised the ceiling on its Proliferated Low-Earth Orbit satellite-based services contract to $13 billion from $900 million, a senior official said during a Pentagon briefing.

The Army's Joint Light Tactical Vehicle program won't be compliant with the acquisition program baseline's estimate for full operational capability until a new APB is announced:

JLTV rebaselining delayed, acquisition report blames inadequate funding

The Joint Light Tactical Vehicle program has yet to rebaseline, an Army spokesperson said Wednesday, despite planning to do so this past June. Rebaselining has become common for the program in the past five years, which blames its woes on budget funding deficits.

Document: DOD modernized SAR on the Army's JLTV program

The Biden administration's outgoing national security adviser spoke this week at the Center for Strategic and International Studies:

Sullivan previews upcoming move to loosen missile technology exports

Outgoing national security adviser Jake Sullivan said today the Biden administration is putting the finishing touches on a last-minute effort to reform regulations governing the exportation of critical missile technologies to key U.S. allies.

A new collaboration is set to integrate OpenAI's AI models with Anduril's defense systems, as well as the latter’s Lattice open software integration platform:

OpenAI, Anduril to partner for delivery of 'improved' C-UAS capabilities to warfighter

Defense contractor Anduril and artificial intelligence startup OpenAI are entering a "strategic partnership" aimed at delivering improved counter-drone capabilities to the U.S. and allied militaries, the companies announced Wednesday.

A newly acquired metal fabrication facility will prioritize constructing submarine modules first, followed by aircraft carrier modules, according to an HII spokesperson:

HII acquires metal fabrication company's assets to meet 'generational demand' for subs

Shipbuilder HII announced today that it will acquire metal fabrication facilities and equipment from South Carolina-based company W International.

Last but by no means least, the latest CMMC news from our colleagues at Inside Cybersecurity:

CMMC accreditation body drives toward December launch of several deliverables to formally kick off program

The accreditation body behind the Pentagon's Cybersecurity Maturity Model Certification program is working to achieve several milestones ahead of the Dec. 16 effective date for the first rulemaking that will formally launch the initiative.

This Wednesday INSIDER Daily Digest has news on Japan's efforts to develop an upgraded Aegis-equipped warship and more.

On Nov. 27, the Missile Defense Agency awarded Lockheed Martin a contract modification that adds to previous awards of $963 million on behalf of the Japan Ministry of Defense for a new Aegis system:

Japan expands scope of Lockheed work on new Aegis vessel to $1.5 billion

Japan's project to defend its territory from ballistic missile attack with a new Aegis-equipped ship is now a $1.5 billion project for Lockheed Martin after the Missile Defense Agency on Tokyo's behalf last week awarded a potential $579 million contract modification to extend development efforts by two years.

A Government Accountability Office report issued this week "examines the extent to which (1) the Navy and Marine Corps are addressing challenges with fleet availability; (2) the Navy is addressing maintenance challenges; and (3) the Navy is positioned to meet its fleet size requirements into the future":

GAO: 'Poor condition' and reduced availability of amphibious ships poses risk for Navy, Marine Corps

With half of the Navy's amphibious fleet in "poor condition," the ships are not on track to meet their expected service lives, according to the government's top watchdog.

Document: GAO report on the Navy's amphibious ship fleet

American Rheinmetall Vehicles, a subsidiary of Rheinmetall based in the United States, will manage the recently acquired Loc Performance Products:

Rheinmetall acquires Loc Performance Products, moves further into U.S. ground vehicles market

Rheinmetall AG officially closed on its $950 billion purchase of Loc Performance Products, LLC on Nov. 29, a move aimed at strengthening the Düsseldorf-based vendor's hand in the United States' ground vehicles market, according to a Monday announcement.

Another recent GAO report finds "the Air Force plans to eventually deploy an entire wing from an airbase rather than individuals from multiple wings and airbases. But it hasn't assessed whether bases will have enough staff to operate when units deploy -- to fill jobs like guarding entrances or providing security. Also, it hasn't set timeframes for its efforts":

GAO: Air Force AFFORGEN process still a work in progress

The Air Force has not wrung out all the wrinkles in its new force generation model which seeks to change the way the service deploys to be better prepared to deter China in a potential conflict, according to the government's top watchdog.

Document: GAO report on Air Force unit deployment readiness

OMB has submitted "anomalies" lists that include spending exemptions related to Ukrainian military aid and the U.S. submarine industrial base:

Ukraine and submarines headline Pentagon's CR 'anomalies' request

The White House is seeking tens of billions of dollars in spending exemptions related to Ukrainian military aid and the U.S. submarine industrial base when Congress returns from its break to begin debating passage of a stopgap continuing resolution to avert a partial government shutdown slated for next month, according to a document obtained by Inside Defense.

Document: OMB's CR anomalies lists

The Chief Digital and Artificial Intelligence Office awarded Anduril a $100 million other transaction agreement to scale its "edge data integration services capabilities," the Defense Department announced Tuesday.

The three-year, fixed amount production agreement will enable Anduril to scale its Edge Data Mesh, which is “already operational across multiple services and combatant commands,” according to a company statement.

The Edge Data Mesh is powered by the company’s Lattice open software integration platform -- an artificial intelligence system which was also recently incorporated into the Army’s Integrated Visual Augmentation System.

The CDAO agreement “will accelerate the expansion of the mesh to increase access to decentralized, distributed and disconnected systems,” according to Anduril.

As part of the agreement, estimated for completion by November 2028, $33 million in fiscal year 2024 and FY-25 research, development testing and evaluation funds have been obligated at the time of the award.

The Biden administration announced a $725 million aid package for Ukraine today that includes air defense capabilities, rocket system munitions, artillery rounds and anti-tank weapons.

The package, funded via Presidential Drawdown Authority, includes:

• Munitions for National Advanced Surface-to-Air Missile Systems (NASAMS);
• Stinger missiles;
• Counter-Unmanned Aerial Systems (c-UAS) munitions;
• Ammunition for High Mobility Artillery Rocket Systems (HIMARS);
• 155mm and 105mm artillery ammunition;
• Unmanned Aerial Systems (UAS);
• Non-persistent land mines;
• Tube-launched, Optically tracked, Wire-guided (TOW) missiles;
• Javelin and AT-4 anti-armor systems;
• Small arms and ammunition;
• Demolitions equipment and munitions;
• Equipment to protect critical national infrastructure; and
• Spare parts, ancillary equipment, services, training, and transportation.

The package is the Biden administration’s 71st PDA tranche since August 2021. Under PDA, the United States transfers weapons directly to Ukraine.

Officials from the White House and Pentagon have both said the Biden administration is committed to moving its remaining $5 billion or so in PDA aid to Ukraine before President-elect Trump, who has been critical of U.S. aid to Ukraine, is sworn in on Jan. 20.

The administration, however, still has about $2 billion in Ukraine Security Assistance Initiative funds, which are used to finance long-term weapons contracts that may not be able to be spent in time, according to a report in the Wall Street Journal.

Meanwhile, the White House has sent Congress a request for an additional $24 billion in military aid to Ukraine, which is expected to draw opposition from many Republican lawmakers, especially in the House.

Heorhii Tykhyi, a spokesman for Ukraine's foreign ministry, recently told reporters in Kyiv that surging foreign military aid has become more important than the conscription of new soldiers.

“We are now in the situation when we need more equipment to arm all the people that have already been mobilized, and we think the first priority is to send quicker, faster military aid,” he said.

This Monday INSIDER Daily Digest has news on the Air Force's unit deployment readiness plans, the latest funding "anomalies" list submitted by the White House to Congress and more.

A new Government Accountability Office report finds "the Air Force plans to eventually deploy an entire wing from an airbase rather than individuals from multiple wings and airbases. But it hasn't assessed whether bases will have enough staff to operate when units deploy -- to fill jobs like guarding entrances or providing security. Also, it hasn't set timeframes for its efforts":

GAO: Air Force AFFORGEN process still a work in progress

The Air Force has not wrung out all the wrinkles in its new force generation model which seeks to change the way the service deploys to be better prepared to deter China in a potential conflict, according to the government's top watchdog.

Document: GAO report on Air Force unit deployment readiness

The White House Office of Management and Budget has submitted "anomalies" lists that includes spending exemptions related to Ukrainian military aid and the U.S. submarine industrial base:

Ukraine and submarines headline Pentagon's CR 'anomalies' request

The White House is seeking tens of billions of dollars in spending exemptions related to Ukrainian military aid and the U.S. submarine industrial base when Congress returns from its break to begin debating passage of a stopgap continuing resolution to avert a partial government shutdown slated for next month, according to a document obtained by Inside Defense.

Document: OMB's CR anomalies lists

Analysts and defense company executives who spoke with Inside Defense said there is palpable discomfort in the contracting community driven by the uncertainty of guessing what could happen to specific weapons programs targeted by Donald Trump, soon to again be the world's most powerful man, and Elon Musk, the world's richest man:

Defense contractors warned against 'headline risk' and 'sacrificial lambs' amid Musk tweets

Defense contractors, especially those with highly visible Pentagon programs that are behind schedule and over budget, are being advised to lay low and prepare to make offerings at the altar of President-elect Trump's new Department of Government Efficiency advisory commission led by tech billionaires Elon Musk and Vivek Ramaswamy.

Our colleagues at Inside AI Policy recently interviewed Paladin Capital Group leader Michael Steed:

Paladin investment group leader advocates for cyber in tech principles targeted at new administration

Paladin Capital Group leader Michael Steed says technologists and the tech investment community should have a much-needed seat at the cyber and artificial intelligence policymaking table in the incoming Trump administration.

The Air Force has yet to give the rocket its stamp of approval as United Launch Alliance is still investigating an anomaly with one of its solid-rocket boosters in its Cert-2 flight in early October:

ULA not ready to launch planned Space Force missions this year

United Launch Alliance won't complete the two scheduled Space Force launches on its Vulcan rocket until early next year, potentially months later than planned, a company spokeswoman confirmed.