Defense News Digest: Week of June 24th

Welcome to IDGA’s weekly news roundup. For over two decades, the Institute for Defense and Government Advancement has served as a non-partisan events and thought leadership organization connecting the Defense and Security communities interested in solving high-level challenges. Now, through this weekly series, we look to educate the community on the latest research, program updates and news in the defense and government sector.

This week, we will examine a variety of topics, including upcoming hypersonics tests, spending plans for the Defense Innovation Unit (DIU), and more.

Air Forces plans for hypersonics testing this fall

This October the Air Force will begin the first of thirteen tests for its new Hypersonic Attack Cruise Missile (HACM). Testing will continue from October to March 2027, with a production decision dependent on the success of the tests, according to the Government Accountability Office’s Annual Weapon System Assessment report released in June.

According to the report, HACM will undergo a critical design review (CDR) in 2025 and is expected to transition to a major defense program by 2027, with potential production starting that year. Raytheon is the prime contractor, and Northrop Grumman is developing its scramjet engine.

HACM originated from the Hypersonic Air-breathing Weapon Concept (HAWC) and was chosen over competitors Boeing and Lockheed in 2022. The program started without a formal schedule risk assessment, which was later approved in June 2023. Critical technologies for HACM are expected to mature by the end of the rapid prototyping phase.

The development cost is $1.9 billion, covering 13 test missiles and additional missiles for operational capability. 

DIU announces future spending

The Defense Innovation Unit (DIU) has detailed its spending plans for the $938 million allocated by Congress for fiscal year 2024, aimed at supporting the "DIU 3.0" strategy to address critical operational capability gaps in the U.S. military.

DIU will issue approximately two dozen new project solicitations, using its Commercial Solutions Opening process to seek industry solutions for military challenges. The budget will be allocated as follows: 50% will go towards expanding and accelerating key projects, such as uncrewed systems (including the Replicator effort), the Joint Fires Network for real-time threat data, and initiatives in commercial space, energy, cyber, human systems, and operational logistics.

Another 25% will launch new projects, including counter-unmanned aerial systems, space transport, advanced manufacturing, and advanced cross-cutting software to enhance autonomous systems in complex environments. About 15% will accelerate work from partners in the Defense Innovation Community of Entities (DICE), which includes innovation hubs across the Department of Defense. The remaining 10% will expand regional outreach via Defense Innovation OnRamp Hubs, enhance cybersecurity support for small vendors, and improve access to testing ranges. 

House stops amendment to cut F-35 purchase

The House rejected an amendment to cut F-35 fighter jet procurement in fiscal 2025. The House’s defense spending bill includes 76 new F-35s, eight more than requested by the Pentagon, conflicting with the National Defense Authorization Act (NDAA) which proposes 58 F-35s.

Top Democrats, Rep. Adam Smith and Rep. Donald Norcross, criticized the program's high costs and delays, arguing for addressing performance issues before purchasing more jets. They noted that the Pentagon halted F-35 deliveries due to software problems with the Technology Refresh 3 upgrade. An amendment by Smith, Norcross, and Rep. Jen Kiggans to reduce the number of F-35s to 58, in line with the NDAA, was not put to a vote by the House Rules Committee.

Smith’s amendment would have redirected $526 million to improve F-35 performance. Despite bipartisan frustration with Lockheed Martin over repeated delays, appropriators will ultimately decide the number of F-35s to be bought. The Senate’s FY25 NDAA matches the Pentagon's request for 68 F-35s, but the Senate’s defense spending bill has not yet been released. 

Army looking for industry help with AI

The US Army is seeking industry assistance to integrate third-party AI algorithms into its operations as part of a 100-day initiative to accelerate AI adoption.

To facilitate this, the Army will issue a series of Requests for Information (RFI) focused on AI capabilities, security, and testing, starting next month. These RFIs will help evaluate the trustworthiness of external algorithms and address risks such as poisoned data sets, version control, and Trojan-horse malware. The goal is to automate processes for quicker AI integration and enhance oversight protocols to ensure safe deployment.

This effort is part of a broader 500-day plan following an initial 100-day survey of the Army’s technological landscape, aimed at preparing for widespread AI adoption.