The Insider

Following delays and software defects, full-rate production has been approved for the F/A-18 E/F Infrared Search and Track system, according to a Navy spokesperson, with an acquisition decision memorandum scheduled to be signed this summer.

After achieving initial operational capability in November 2024, the IRST Block II program was scheduled to reach a full-rate production decision by January. However, this was pushed back due to delays in flight testing, according to a Government Accountability Office report released June 11.

These operational test delays were attributed to “software defects that caused IRST pods to falsely report overheating,” according to GAO’s annual weapon systems assessment. Now, these software issues have been resolved, the Navy spokesperson told Inside Defense.

Defense Department Director of Operational Test and Evaluation officials told GAO that the defect was easy to resolve and could have been fixed during developmental testing if that program had allocated more time for it, according to the report, which adds that this is the second time IRST had surpassed its baseline schedule in the past three years.

IRST Block II will allow Super Hornet squadrons to detect and track targets from a distance and in certain environments where radar may prove ineffective. Operational testing of the system was completed in the fourth quarter of fiscal year 2024, according to a report released by DOT&E in January.

The Senate, after a tie-breaking vote cast by Vice President Vance, has passed a massive budget reconciliation policy bill that, among numerous other provisions, includes $150 billion for the Defense Department.

The bill now returns to the House, where Republicans must pass it with their slim majority before sending it to President Trump, who has said he wants to sign the bill into law before July 4.

Senate Armed Services Committee Chairman Roger Wicker (R-MS) released a statement lauding the defense portion of the bill, which would make $150 billion available to DOD. The White House is planning to spend $113 billion of the total amount in fiscal year 2026.

“This defense funding represents a critical leap forward for our national security,” Wicker said. “This historic legislation includes funds to jump-start the Golden Dome system to protect the homeland, increase our supply of munitions, rapidly advance unmanned ships and drones, enhance military readiness, reestablish deterrence, and advance shipbuilding to produce a 21st-century naval fleet.”

Defense spending has never been part of reconciliation before and -- for legislative reasons -- is vague in terms of how DOD can spend the funds.

Wicker has made it a priority to get senior Pentagon officials, including Defense Secretary Pete Hegseth, to testify before the committee that they will “unequivocally” follow congressional intent when it comes to spending on specific programs.

Senate Democrats, meanwhile, uniformly opposed the bill. They were joined by Republican Sens. Susan Collins (ME), Rand Paul (KY) and Thom Tillis (NC).

The Army will allocate $108 million for a Vehicle Protection System suite that will fold three different capabilities under a new start in fiscal year 2026, according to recently released procurement budget documents.

The suite will include “active, reactive and passive protection capabilities,” to achieve “detection avoidance, threat detection, threat intercept and threat mitigation,” according to a description of the line item. It incorporates three capabilities: modular active protection systems (APS), signature management and top attack protection.

Top attack protection will receive the bulk of the VPS dollars as the Army plans to allocate $91.7 million for the “passive add-on armor,” which is placed over compartments and hatches of ground vehicles to shield crews against threats from above.

The funds will procure enough sets of top attack protection worth four Armored Brigade Combat Teams, according to the Army. The system is intended to cover the entire combat vehicle fleet and eventually other ground vehicles, too.

The suite also includes $15 million for signature management, which involves painting 389 Army combat vehicles to camouflage them from thermal sensors to reduce their detection likelihood.

That leaves just $852,000 in FY-26 for modular APS units with a laser warning receiver, designed to warn crews of any threats to the vehicle aided by lasers.

In FY-22, the Army invested $70.7 million into procuring 138 modular APS units with laser detection, plus 17 “additional spares,” the documents show.

This Monday INSIDER Daily Digest has news on the Space Force being put in charge of developing the Golden Dome missile defense system, the portions of the reconciliation bill that cover certain Army programs and more.

The Space Force will be in charge of developing the Golden Dome missile defense system:

Space Force, not MDA, tapped to lead SBI development; industry proposals due mid-July

A behind-the-scenes bureaucratic turf war over who should lead the Pentagon's space-based missile defense effort appears to have been settled: the Space Force -- not the Missile Defense Agency -- will spearhead development of interceptors to support the Trump administration's Golden Dome initiative.

The reconciliation bill portion of the Army budget covers integrated air and missile defense, munitions and supply chain, cyber, unaccompanied housing and depot maintenance, according to a summary of the budget. In the missile procurement portion of the budget, the Army is relying on a little more than $1.5 billion to come from reconciliation:

LTAMDS, PrSM among host of Army missile programs banking on reconciliation

The future of roughly a half-dozen Army missile procurement programs rests on the passage of the GOP reconciliation bill before Congress.

The Army wants to build a new command in Japan -- called Multi-Domain Command Japan -- and another at Joint Base Lewis-McChord, WA -- Multi-Domain Command Pacific -- as part of the service's transformation initiative:

Army to stand up two multidomain commands in Pacific under ATI directive

The Army is forming two commands in the Indo-Pacific theater to manage three multidomain task forces in the region as part of the service's transformation plan, the commanding general of U.S. Army Pacific announced late last week.

Keep an eye out in the coming months for a possible KC-46 production contract:

Next KC-46 production award could arrive 'within months'

As the current production contract for the KC-46 Pegasus tanker nears completion, the Air Force is now weighing the next steps for the program. A subsequent KC-46 production award decision could come "within months" pending an ongoing analysis, according to service Chief of Staff Gen. David Allvin.

The Pentagon is looking to update its Risk Management Framework:

DOD seeks feedback on revamping adoption of risk management framework

The Defense Department has released a request for information to get feedback on making reforms to the Risk Management Framework, the Pentagon's approach to address cyber risk management across its systems.

Document: DOD RFI for risk management framework revamp

The Defense Department is requesting $33.6 billion in classified spending for its military intelligence program, a $5.4 billion increase above what DOD sought for FY-25.

“The department determined that releasing this topline figure does not jeopardize any classified activities within the MIP,” DOD said. “No other MIP budget figures or program details will be released, as they remain classified for national security reasons.”

The Pentagon has not disclosed what Congress appropriated for military intelligence in FY-25, though it has said Congress appropriated $29.8 billion in FY-24.

This Thursday INSIDER Daily Digest has news on the E-7 Wedgetail program being canceled, Air Force fighter aircraft purchases and more.

(NOTE: The Pentagon and military services have begun releasing their fiscal year 2026 budget requests. Follow Defense Budget Alert for all the latest developments.)

A senior military official who briefed reporters on the condition of anonymity today said the E-7 Wedgetail program is being canceled because of cost growth and "significant delays" while the Pentagon seeks to address the Boeing-made aircraft's mission with space-based assets:

DOD cancels E-7 Wedgetail to fund space push

Senior defense officials today said the Pentagon is canceling the Air Force's E-7 Wedgetail program, setting the stage for a possible battle with the chairman of the powerful House Appropriations Committee.

The notion that the Air Force needs to obtain at least 72 new fighters yearly to meet global mission requirements and uphold air dominance was determined by the Biden administration -- but even then it was a tough goal to meet:

Air Force stated goal of purchasing 72 fighters annually is 'not currently achievable'

The Air Force is only requesting to buy 45 fighter aircraft in fiscal year 2026, a sizable drop from its previously stated goal of purchasing at least 72 each year to modernize the fleet.

Rep. Don Bacon (R-NE) spoke this week about his concerns for air base security:

Iranian missile attacks deepen air base defense concerns

Iran's retaliatory strikes on Monday against Al Udeid Air Base in Qatar have broadened leaders' fears that U.S. air bases are no longer sanctuaries.

The Army’s Rapid Capabilities and Critical Technologies Office is seeking man-portable interceptor aircraft that would be used for countering group 1 through 3 drones, which are those weighing less than 1,320 pounds:

Army to develop man-portable interceptor aircraft for hard-kill CUAS

The Army intends to develop man-portable interceptor aircraft that will be used to enhance the service's next generation of standoff, hard-kill, counter unmanned aircraft systems capabilities, according to a request for information posted this week.

The defense portion of the "Big Beautiful Bill" has been updated:

Lawmakers release updated defense reconciliation bill with funding changes

House and Senate lawmakers have released an updated version of the defense portion of the GOP's massive budget reconciliation bill, changing funding amounts in several key areas, including cuts to the military's support for border security operations.

Document: House, Senate lawmakers' updated reconciliation bill

This Wednesday INSIDER Daily Digest has news on an updated defense reconciliation bill, plus lawmakers seeking more details on the Army's major transformation initiative and more.

The defense portion of the "Big Beautiful Bill" has been updated:

Lawmakers release updated defense reconciliation bill with funding changes

House and Senate lawmakers have released an updated version of the defense portion of the GOP's massive budget reconciliation bill, changing funding amounts in several key areas, including cuts to the military's support for border security operations.

Document: House, Senate lawmakers' updated reconciliation bill

Senior Army officials have begun providing details about the service's proposed transformation initiative:

Congress pressing Army for answers on potential OIB downsizing

While details of the Army's sweeping plan to transform are scant, top officials as of late have slowly peeled back the curtain on a broad blueprint to speed and scale the industrial base using private partnerships -- likely at the expense of some depots and arsenals, deemed too slow and outdated to revive its crippled capacity.

The top Republican on the House Armed Services Committee this week discussed the SPEED Act, "which fundamentally reforms defense acquisition and streamlines how the Department of Defense equips our warfighters":

Rogers, Smith push SPEED Act to attract Silicon Valley to DOD procurement

A bipartisan House bill to overhaul the Pentagon's requirements process is the first step toward building a Defense Department that can engage with Silicon Valley and accelerate the delivery of new technologies to warfighters, House Armed Services Committee Chairman Mike Rogers (R-AL) said at a Hudson Institute event this week.

Document: SPEED Act

Senior Navy officials testified this week before the Senate Appropriations defense subcommittee:

Navy considering overseas ship production

The Navy is considering building warships overseas in foreign shipyards, Navy Secretary John Phelan told lawmakers today during a Senate Appropriations defense subcommittee hearing on the service's budget.

Document: Navy, Marine Corps FY-26 posture statements

The Long Range Discrimination Radar this week successfully acquired, tracked and reported missile target data:

Long Range Discrimination Radar finally tracks ICBM target in do-over of 2023 event

The Missile Defense Agency finally completed a successful flight test of the Long Range Discrimination Radar, a milestone more than two years in the making for a homeland missile defense sensor that had yet to demonstrate its core mission capabilities in flight.