Analysis & Reports

The U.S. Air Force faces significant challenges in producing the F-47 stealth fighter, with costs projected at $300 million per unit and a desired fleet size of 185 to 200. As China continues to expand its advanced aircraft capabilities, the U.S. risks being outmatched in a potential conflict. The Air Force is considering the use of drones to enhance its operational capacity, but production limitations may hinder its effectiveness against China's growing military strength.

The U.S. Air Force is seeking a contractor to maintain and update the software for the AC-130J Ghostrider's targeting system at Nellis Air Force Base, Nevada. A notice posted on August 25, 2024, outlines the need for support on the Brimstone Software Suite, which is critical for the aircraft's operations. L3Harris ForceX Inc. is currently the sole provider of this software, and the Air Force is exploring options for additional contractors to ensure system reliability and updates.

The U.S. Navy announced the establishment of a new defense industrial base office to enhance domestic manufacturing and address supply chain vulnerabilities. Andrew Magliochetti has been appointed as the first deputy assistant secretary for this office, tasked with revitalizing the maritime industrial base and accelerating the transition of innovative technologies. The Navy aims to increase its fleet significantly by fiscal 2031, addressing past challenges in shipbuilding and delivery timelines.

The U.S. Navy announced the establishment of a new defense industrial base office in Washington, aimed at enhancing the industrial supply chain and integrating innovative technologies. Andrew Magliochetti will lead the office, focusing on expanding domestic manufacturing and addressing supply chain vulnerabilities. This initiative follows a directive from President Trump to restore capacity and competition within the maritime industrial base.

The U.S. Army awarded General Dynamics Land Systems a $54.3 million contract for sustainment support of the Stryker vehicle fleet at Fort Knox, Kentucky, on August 24, 2023. This contract includes field-level maintenance and logistics support, with an estimated completion date of August 24, 2031. General Dynamics has been the primary contractor for Stryker sustainment for years, managing nearly 4,700 vehicles.

The U.S. Army awarded Hardwire LLC a $99 million contract to develop advanced processing methods for metallic armor at Fort Stewart, Georgia, on August 24, 2025. This contract, part of the Small Business Innovative Research program, is expected to be completed by August 23, 2031, and aims to enhance vehicle armor while reducing weight. Hardwire has a history of contracts related to military protective equipment.

The U.S. Navy ordered five additional AN/SPN-50(V)1 shipboard air traffic control radars from Saab, with a contract modification valued at $74,636,753 announced on August 24, 2023. The radars will replace older systems on Nimitz-class aircraft carriers and large-deck amphibious assault ships. Work will be conducted in Syracuse, New York, and Gothenburg, Sweden, with completion expected by May 2029. This procurement is part of the Navy's ongoing efforts to upgrade its air traffic control capabilities.

Collins Aerospace completed altitude testing of the Enhanced Power and Cooling System (EPACS) for the F-35 on August 24, 2025, validating its performance under operational conditions. The new system is designed to replace the existing cooling system and significantly increase the aircraft's cooling capacity, addressing the needs of newer weapons and mission systems. This advancement supports the F-35's ongoing modernization efforts and future aircraft with higher power demands.

Senate Armed Services Committee Democrats are pressing for a public hearing regarding the extended deployments of the USS Abraham Lincoln and USS Gerald R. Ford amid concerns over conditions aboard the ships. The Lincoln has been at sea for over 250 days, with reports of sailors attempting to go overboard, while the Ford experienced a significant fire and operational issues. The senators are calling for an examination of troop morale and the Department of War's plans for sustaining military operations in the region.

The U.S. Armed Forces increased military production significantly in response to the Iran War, aiming for 100,000 artillery rounds monthly by 2025. The defense industry saw the entry of 10,000 new firms, enhancing innovation and competition. The U.S. demonstrated robust offensive and defensive capabilities, supported by allies, while emphasizing the importance of space operations in modern warfare.

The Pentagon faces a maintenance backlog of $285 billion for military facilities, primarily due to underfunding and staffing challenges. Approximately one-third of buildings on U.S. bases are over 50 years old, with some facilities testing positive for hazardous materials. The Defense Department has requested $57 billion in the upcoming fiscal year to address these critical maintenance issues, which have implications for troop quality of life and mission readiness.

The Trump administration released a new space-transportation policy to increase U.S.-led rocket launches, aiming for over 1,000 launches by 2030. The policy mandates collaboration between the Pentagon, NASA, and the Transportation Department to integrate space launch management with air traffic control modernization. A $12.5 billion initiative for air traffic control upgrades was announced, with a $1.5 billion contract awarded to Peraton for project integration.

The Trump administration released a new space transportation policy aimed at facilitating over 1,000 rocket launches by 2030. This policy integrates with ongoing air traffic control modernization efforts, involving collaboration between the Pentagon, NASA, and the Transportation Department. The Federal Aviation Administration is tasked with managing the integration of space launch management into airspace control, with a significant budget allocated for these initiatives.

USS Abraham Lincoln departed the Middle East on the 22nd after an extended deployment of over 9 months, facing significant crew challenges and logistical issues. The carrier's departure does not alleviate the ongoing operational difficulties of U.S. naval forces in the region, as highlighted by the poor conditions aboard the USS Washington, which has taken its place.

Australia announced the establishment of a defense precinct in Henderson, Western Australia, for the maintenance of submarines under the AUKUS agreement. This site will support naval shipbuilding and sustainment, creating up to 10,000 jobs over the next 20 years. The announcement coincided with the keel laying ceremony for the first Hunter-class frigate.

Australia is establishing the Henderson Defence Precinct in Western Australia to support submarine construction and sustainment, aiming for 10,000 jobs. However, significant challenges remain, including industrial capacity and skilled labor shortages, which may delay the production of SSN-AUKUS submarines until the late 2030s or beyond. The U.S. industrial base's inability to meet its own submarine targets further complicates Australia's plans.

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The U.S. Air Force is conducting test missions with F-22 Raptors over the Mojave Desert as part of modernization efforts. Originally planned for 750 units, only 187 were built, with 184 currently in service. The Air Force is addressing challenges related to the aging fleet and varying configurations while Congress considers extending the F-22's operational status through 2032.

The Space Force awarded a multi-million dollar contract to Integrate for AI-enabled project management to ensure its multi-billion-dollar national security programs remain on track and within budget. This initiative is part of a broader effort to modernize project management practices and improve decision-making capabilities. The Space Force's budget request for this year is $71.3 billion, reflecting a significant increase in funding for military projects. Integrate's software is currently being utilized by seven of the nine new Space Force Portfolio Acquisition Executives.

Austal USA delivered LCU 1710, the first steel-hulled vessel of the LCU 1700 class, to the U.S. Navy on August 14, 2026, in Mobile, Alabama. The delivery followed successful acceptance trials that validated the ship's operational performance and readiness. LCU 1710 is designed to enhance the Navy's capability for expeditionary operations, replacing older landing craft with improved features.

The U.S. Navy is modernizing the MH-60 Sea Hawk helicopter fleet with a new avionics system to ensure operational capability through 2050. This effort involves collaboration with the Royal Australian Navy and key industry partners like Sierra Nevada Corp and Lockheed Martin. The program is structured in two phases, focusing on preliminary design and prototype development.