QUICK HITS

  • SBA aims to streamline SBIC program: Easier investment ahead.

  • Cyber compliance: Contractors brace for DOJ enforcement.

  • Army’s EV strategy: Industry waits for green light, but interest is waning.

  • DOE labs test DeepSeek: Select AI features show promise.

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DEFENSE & AEROSPACE

Space Force expands acquisition units with SYD 85 launch.

The Space Force just activated System Delta 85—its third acquisition unit under the new SYD structure—to tackle battle management, missile defense, and space intel. Five more units are expected this year, so if you're in the business of satellites or sensors, buckle up.

Pentagon plots battery overhaul to power drone surge.

The Pentagon wants more juice—and fast. With drone demands soaring, officials are crafting a new battery strategy by early 2026 to secure critical minerals, standardize tech, and shore up domestic supply chains. Nearly 80% of DOD systems rely on these minerals, so yes, this is kind of a big deal.

Air, Space Force budgets prioritize weapons over workforce.

The Air and Space Force are pumping billions into new missiles, ISR tech, and counterspace systems—while trimming $2.3B from travel, advisory services, and over 5,700 civilian jobs. FAMMs, Bounty Hunter, and Golden Dome get the spotlight; support staff, not so much.

ICYMI:

Defense Contract Awards

  • Amentum won a $4B USSF Range deal.

  • JHU APL secured a $250M DISA Military Tech Boost deal.

  • Sabel Systems booked an $11M USN Commanding Officer Professional Support Services contract.

  • Whitney Strategic Services inked a $1.7M CMO Capital Markets Activities for Critical Technologies Support contract.

Follow the Defense Leaders

  • USAF Chief of Staff stepping down.

  • Venatôre welcomed its new CGO.

  • The CTO of Palo Alto Networks has retired.

Defense Job Openings

CHART

GAO, Technology Business Management: Critical Go or No Go Action Required on Federal Agency Adoption of IT Spending Framework. GAO-25-106488. August 18. 2025.

INTEL COMMUNITY

DARPA aims for interoperability between classic and quantum communication.

DARPA’s QuANET (Quantum Augmented Network) initiative is designed to integrate quantum-enabled systems—such as quantum sensing and time synchronization—into existing U.S. communication infrastructure to boost network security, privacy, and resilience. A key element is the development of a quantum networking card (qNIC), enabling seamless quantum-classical data transfer without the need for additional hardware.

Hijacked satellites and orbiting space weapons: In the 21st century, space has become a new battlefield.

Space has become a critical new battlefield, evidenced by incidents like pro-Russian hackers hijacking a Ukrainian satellite broadcast and replacing it with military parade footage, highlighting how vulnerable orbiting infrastructure—supporting everything from GPS to communications—can be to cyber-physical attacks.

ICYMI:

  • DHS RFI: CRADA

  • DNI Director revokes clearances of 37 US intelligence professionals.

  • Space Force launches "secret" X-37B for experimental tech mission.

  • American soldier caught in alleged bid to leak tank data to Russia.

  • NIYAM IT wins $27M DHS CBP Test Support Services (TSS) task.

  • DISA J6 says goodbye to its Director.

  • DHS recruits FEMA leader to drive operations and requirements analysis.

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CIVILIAN

W.H. hopes AI can mitigate staffing losses, FedCIO says.

The W.H. intends to leverage AI to offset federal staffing reductions—making existing personnel more efficient by enabling them to perform their tasks faster, better, and at scale—through tools like the recently launched USAi platform. Critics, however, warn that this approach may overlook risks such as AI “hallucinations,” bias at scale, and the need for employee-driven, grounded integration—not top-down mandates—to ensure technology supports, rather than replaces, human workers.

Amid IRS personnel shakeup, agency stalled for months on customer service strategy.

The IRS submitted its forward-looking "2029+" customer service modernization strategy to the Treasury in May, outlining ambitious goals like enabling 95% of taxpayers to file their taxes quickly, accurately, and easily—yet, more than three months later, no steps have been taken to implement the plan. Internal sources indicate that the agency is awaiting direction from Treasury.

SA pushes Polaris HUBZone awards past FY25 deadline.

GSA says Polaris HUBZone awards won’t land before FY25 ends, despite earlier plans. Offerors who submitted by Nov. 2022—and extended through Sept. 2025—should check the portal for updates. Meanwhile, protests from the Small Business pool linger like uninvited guests..

ICYMI:

Civilian Contracts Awards

  • V3Gate secured a $92M DOT Salesforce License Consolidation contract.

  • RCMS inked a $68M NASA JSHIFT Services IDIQ.

  • Concept Plus won a $4M DHA ILER Sustainment and Development contract.

  • Rainmakers booked a $2M CMS Acquisition Devt. Workshops Support deal.

Follow Civilian Leaders

Civilian Job Openings

M&A CORNER

O23G acquires ICS to boost national security IT muscle.

The One 23 Group just bulked up its mission IT portfolio by acquiring ICS—bringing in AI-driven innovation, DevSecOps chops, and a shiny new lab. With this move, O23G aims to tackle defense, homeland security, and justice missions faster, smarter, and more securely.

Amphenol expands defense portfolio: Trexon will join the club.

Amphenol will be dropping $1B to acquire Trexon, a defense-focused cable and interconnect supplier with projected 2025 sales of $290M and 26% EBITDA margins. The deal adds high-reliability tech to Amphenol’s Harsh Environment Solutions segment.

Cryptic Vector expands cyber arsenal: Caesar Creek joins the fight.

Cryptic Vector just acquired Caesar Creek Software, adding elite talent in exploit development, reverse engineering, and vulnerability analysis. With 250+ cyber experts now in the mix, the company’s offensive cyber capabilities for DOD and IC missions just got a serious upgrade.

SHOWER THOUGHTS 🚿

  1. Top insights from Ukraine discussions in D.C. President Zelenskyy visited the W.H. for renewed discussions on bringing the war to a close. SOURCE↗︎

  2. LASIK is yesterday’s news—there’s a new breakthrough in vision correction. Electricity replaces lasers in new procedure. SOURCE↗︎

  3. The U.S. is expanding enforcement of the Uyghur Forced Labor Prevention Act. The move aims to to block goods potentially linked to forced labor in China’s Xinjiang region. SOURCE↗︎

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