The Insider

The Army has posted a questionnaire to assess available manufacturing talent to build the Abrams M1E3 after senior leaders in recent months announced a plan to rapidly shrink the next-generation tank's production timeline.

The market survey, put out by the Army’s Ground Combat Systems program office Aug. 27, says the M1E3 will be built with a mix of legacy parts along with “the production, procurement and installation of component kits.”

The service will require manufacturers to install, verify and test new technology on top of the Abrams procurement and assembly.

The survey asks companies to outline their experience with integrating capabilities like communications systems, predictive logistics, fire control and active protection systems; it asks for experience with building and testing tracked combat vehicles, potential timeline information for building an M1E3 and other production hypotheticals.

Army Chief of Staff Gen. Randy George promised to field the M1E3 tank in his letter to the force announcing the Army Transformation Initiative in May, one month after the project manager for Abrams tanks, Col. Ryan Howell, told Inside Defense the service was shrinking the production timeline from 65 months to 24 to 30 months by prioritizing integrating technologies instead of developing them over time.

Defense News first reported the timeline acceleration.

General Dynamics Land Systems, the original Abrams tank manufacturer, won a $150 million Army contract on June 30 for work on the Abrams Engineering Program using fiscal year 2025 research and development dollars.

Work on that program is expected to go until June 30, 2027.

This Wednesday INSIDER Daily Digest has news on the Defense Innovation Unit, Hanwha investing billions into a Philadelphia shipyard, the Trump administration possibly considering an equity stake in defense companies, the Navy's Ship-to-Shore Connector triggering a Nunn-McCurdy breach and more.

It has been nearly two days since former Defense Innovation Unit Director Doug Beck's abrupt exit; since then, the Defense Department named Emil Michael, under secretary of defense for research and engineering, acting director:

Pentagon tech chief says DIU will continue to report to SECDEF

Emil Michael said his stint as acting head of the Defense Innovation Unit will only last as long as the search for a full-time director, noting that the organization will remain an independent entity that continues to report directly to the defense secretary.

Hanwha, which completed a $100 million acquisition of a shipyard in Philadelphia in December, announced a new investment strategy this week following a christening ceremony for a National Security Multi-Mission Vessel (NSMV) built by Philly Shipyard for the U.S. Maritime Administration:

Hanwha Philly Shipyard announces $5 billion infrastructure investment plan

South Korean conglomerate Hanwha has unveiled a $5 billion infrastructure investment plan for its Pennsylvania-based Philly Shipyard, including the construction of two new drydocks among other upgrades intended to increase production capacity at the facility.

Could the Trump administration be considering an equity stake in defense companies like Lockheed Martin, Boeing or Palantir?

Lutnick's talk of government stake in defense industry draws questions -- and skepticism

Commerce Secretary Howard Lutnick sparked questions across the U.S. defense sector today when he said senior Pentagon officials are considering taking a government stake in top U.S. defense companies, following a similar move to acquire a near-10% stake in chipmaker Intel.

A June 25 Modernized Selected Acquisition Report, cleared for publication on Aug. 21, discusses the Navy's Ship to Shore Connector Amphibious Craft program:

Ship-to-Shore Connector triggers Nunn-McCurdy breach with 44% cost growth

The Navy has begun the recertification process for its next-generation Ship-to-Shore Connector following a critical Nunn-McCurdy breach, according to an updated Selected Acquisition Report, which indicates the program's projected procurement costs have grown by more than 44% since 2021.

Document: DOD modernized SAR on the Navy's SSC program

Even with challenges to aircraft carrier production rates and delivery setbacks, naval aviation has a "playbook," according to Naval Air Forces Commander Vice. Adm. Daniel Cheever:

Highest readiness for naval aviation in at least a decade preps Navy for potential China clash, commander says

As the U.S. prepares for a potential future fight with China, naval aviation is at its highest state of readiness in at least a decade, an official said today, despite supply chain and sustainment challenges affecting the domestic industrial base, and subsequently, critical platforms for aviation.

Reliable Robotics, under a newly awarded contract, will be responsible for integrating its Reliable Autonomy System onto a Cessna 208B Caravan and will perform unmanned cargo missions on behalf of the Air Force between 2026 and 2027:

Reliable Robotics to perform autonomous cargo missions for USAF under new contract

The Air Force has awarded software firm Reliable Robotics a $17.4 million contract to automate cargo logistics, according to a company announcement.

The Army has selected Lockheed Martin's Spike Non-Line-of-Sight capability for the first phase of its new Mobile-Long Range Precision Strike Missile directed requirement competition, the company announced today.

Gen. James Rainey, the commander of Army Futures Command, approved a directed requirement for M-LRPSM two years ago this month. The missile is designed to defeat stationary and defilade armor troops, “field fortifications and urban structures,” while achieving a range of more than 25 kilometers, according to the Army.

The Army had planned to spend $93 million across the future years defense program from fiscal year 2024 through FY-28 to develop the M-LRPSM program, according to an FY-24 Pentagon prior approval omnibus reprogramming. However, the Army recently told Inside Defense that the costs across the FYDP are changing based on “vendor pricing submissions.”

The Spike NLOS system will be used in the first phase of the contract to develop and test a prototype that will be used by Infantry Brigade Combat Teams, according to Lockheed.

Lockheed recently conducted a Spike NLOS demonstration at Dugway Proving Grounds, UT, in which three shots directly hit “one unobstructed and two obstructed targets,” according to the company. The shots were launched from a ground vehicle and engaged with “targets without a direct line of sight.”

The Spike NLOS system has already been “qualified” under the Army’s current Long Range Precision Munitions Directed Requirement on the AH-64E Apache helicopter, according to Lockheed.

Casey Walsh, Lockheed’s Multi-Domain Missile Systems program director, said in a statement that the “matured Spike NLOS system provides the U.S. Army with an advanced defense solution that delivers direct-strike and long-range capability in combat operations where maneuverability, reconnaissance and security matter most.”

A second phase of the competition will include safety confirmation testing and the “further down selection to a limited number of competitors,” according to Lockheed.

This Tuesday INSIDER Daily Digest has news on Air Force autonomous cargo missions, the Space Force's Cobra Dane radar, the Navy's rapid capability development efforts and more.

Reliable Robotics, under a newly awarded contract, will be responsible for integrating its Reliable Autonomy System onto a Cessna 208B Caravan and will perform unmanned cargo missions on behalf of the Air Force between 2026 and 2027:

Reliable Robotics to perform autonomous cargo missions for USAF under new contract

The Air Force has awarded software firm Reliable Robotics a $17.4 million contract to automate cargo logistics, the company announced today.

In an Aug. 25 request for information, the Space Force seeks industry input "on capabilities and methods to modernize portions of the COBRA DANE Ground Based Radar located at Eareckson Air Station (EAS), Shemya Island, Alaska":

Pentagon moves to modernize Alaska's Cobra Dane radar in nearly $1 billion effort

The Pentagon has begun charting the course for a sweeping overhaul of one of its oldest and most sensitive radars, issuing a solicitation that seeks industry input on modernizing the Cobra Dane system on Shemya Island, AK.

Document: Space Force Cobra Dane modernization RFI

A June 25 Modernized Selected Acquisition Report, cleared for publication on Aug. 20, discusses the Air Force's B-52 Radar Modernization Program program:

B-52 Radar Modernization now costing $14M per tail, breaching Nunn-McCurdy

Costs for the B-52 Radar Modernization Program now tops $14.35 million per tail, according to a recently released updated selected acquisition report, reflecting 20% growth from the original baseline of $11.96 million.

Document: DOD modernized SAR on the Air Force's B-52 RMP program

The Navy aims to consolidate development efforts under a single entity responsible for identifying and fielding multidomain capabilities within a three-year timeline using established development processes, acquisition pathways and contracting authorities:

Navy establishing new office to centralize rapid capability development efforts

The Navy is establishing a Naval Rapid Capabilities Office (NRCO) intended to accelerate the development and fielding of new systems to meet urgent operational needs, according to an Aug. 19 memo from Navy Secretary John Phelan, obtained by Inside Defense.

A recent Defense Department inspector general report finds the Army "did not effectively manage the M88 recovery vehicle spare parts inventory":

IG tells Army to keep a better eye on spare parts after M88 audit

The Army ineffectively managed the parts inventory for its heavy recovery vehicle after maintaining both spare parts that weren't in demand and ones that exceeded demand while shortchanging its supply of certain essential spares, the Pentagon's watchdog says.

Document: DOD IG report on Army M88 recovery vehicle spare parts management

Inside Defense interviewed Eureka Naval Craft's CEO about unmanned surface vessels:

Eureka CEO touts Aircat Bengal MC as Navy eyes new unmanned vessel

As the Navy begins its search for a new medium unmanned surface vessel, Eureka Naval Craft CEO Bo Jardine wants the company's Aircat Bengal MC to stand out as a leading candidate.

The Army is partnering with a European defense group on a $635 million deal to stand up a modernized 155mm production facility at Iowa Army Ammunition Plant in Middletown, IA, the service announced recently.

The load, assemble and pack (LAP) facility, coined the Future Artillery Complex, will harness advanced manufacturing like robotics and automation to help the Army churn out 36,000 155mm rounds each month, according to an Aug. 20 release from the contract winner, MSM North America, a subsidiary of the Czechoslovak Group (CSG).

“This is a tremendous success, made unique by the fact that the trust was given to a company that is part of a European defense industry group,” Michal Strnad, owner and chairman of the board of CSG, said in a statement. “This project is proof of CSG’s global reach and its ability to contribute to strengthening the defense readiness of our allies.”

The group expects the contract to lead to more opportunities for MSM North America in the United States market and “is expected to be the primary source” for the Army’s LAP requirements, according to CSG.

The government-owned, contractor-operated factory is another Army investment to try and scale up 155mm production to its eventual goal of 100,000 rounds per month, the progress of which has been delayed and warrants the need for multiple plants, the service acknowledged last month.

“Modernizing the industrial base and replacing critical munition stockpiles are high priorities for the Defense Department,” Maj. Gen. John Reim, joint program executive officer for armaments and ammunition, said. “Projects like the FAC are geared to improve the Army’s ability to scale production between surge and down times while also providing flexible capacity to produce future go-to-war rounds.”

The Army pulled funds from fiscal year 2024 and FY-25 ammunition procurement budgets to invest in the project, according to the Aug. 15 contract announcement.

That comes on the heels of congressional urgency to boost the Army’s OIB capacity, with Senate authorizers, in their FY-26 defense policy bill, directing the service to set up a new production line for a load and pack munitions facility.

It also comes after the Army partnered with General Dynamics Ordnance and Tactical Systems in April on a new LAP facility in Camden, AR, which is designed to host two 155mm projectile production lines that will put out 50,000 rounds per month at full operational capacity.

Work on the facility is expected to finish in August of 2029, with full production involving 70 manufacturing employees kicking off the following month in September.

Adm. Daryl Caudle has officially taken the helm as chief of naval operations after an assumption-of-office ceremony held this morning in Washington.

Caudle becomes the 34th CNO, filling the Navy’s top-ranking uniformed officer position, which has stood vacant for six months since previous CNO Adm. Lisa Franchetti was fired without explanation in February. Vice CNO Adm. James Kilby has been performing the duties of the office in the interim.

Caudle is a career submariner who most recently led U.S. Fleet Forces Command and has in the past served as the head of Naval Submarine Forces and Naval Submarine Force Atlantic. He was nominated for the CNO post in June and sailed through a non-contentious Senate confirmation hearing last month.

In a video message posted today and addressed to the fleet, Caudle outlined several of his day-one priorities including ensuring operational readiness, improving shipbuilding and maintenance performance and adopting technologies like artificial intelligence and uncrewed systems.