June 4, 2025

❄️ Snowflake buys Crunchy Data, NASA’s $1B private Mars boost, iRocket SPAC merge, DOGE requesting $45M, BAE $1.2B USSF MEO win, Fangorn

Author

GovBrew
June 04, 2025

QUICK HITS

  • NASA Space Apps Challenge: Participants will unite for hackathon on October 4-5 to tackle real-world challenges with NASA’s open data

  • NSF announces new funding opportunity: VINES program will invest $100M for NextG wireless research.

  • A snapshot of DHS’s FY2026 budget: Challenges, opps, and contract RFPs.

  • Tariffs and small businesses: Strategies to minimize financial impact.

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DEFENSE & AEROSPACE

Pentagon urges US drone makers to match Ukraine’s rapid innovation.

The Pentagon’s Project GI aims to accelerate drone development by embedding frontline feedback into a continuous loop of design, testing, and deployment. Inspired by Ukraine’s battlefield agility, the initiative seeks to counter Russian electronic warfare and streamline DOD acquisition.

Pentagon slashes weapons testing office budget by 80%.

DOD’s weapons testing office is facing a historic budget cut, slashing civilian staff by 74% and eliminating contractor roles to save $300 million. Critics warn the move could cripple independent evaluations of major defense programs, raising concerns about military readiness.

DISA developing “Fangorn” Prototyle cloud platform.

DISA is developing a prototype cloud platform called "Fangorn" to modernize and simplify the management of legacy mainframe systems used by warfighters. Fangorn aims to provide flexibility in transitioning to cloud environments, enhancing efficiency and adaptability for DISA customers.

ICYMI:

  • Army RFI: Benchtop Model Data Acquisition Unit.

  • USAF RFI: AI/LLM/ML Service Acquisition & Program Mgmt Integration.

  • DISA develops Fangorn cloud prototype to modernize military mainframes.

  • Air Force, Coast Guard talk data security for AI development.

Defense Contract Awards

  • USSF awards BAE $1.2B for missile warning sats in MEO.

  • Jacobs Technology booked a $4B Space Force range contract.

  • Seekr bagged 2 Army Generative AI deals.

  • Meta and Anduril are teaming up to develop AI-powered VR and AR gear.

Follow the Defense Leaders

Defense Job Openings

CHART

IRS Website Usage and Selected Electronic Transactions, FY 2024. From: IRS, 2024 Data Book: October 1, 2023 to September 30, 2024. Page 31.

INTEL COMMUNITY

Supreme Court ruling raises stakes for government contractors.

The Supreme Court’s May 22 Kousisis vs. U.S. decision expands the scope of wire fraud prosecutions, allowing the government to pursue contractors who misrepresent eligibility—even if they fulfill contract terms. With the DOJ prioritizing procurement fraud, expect tougher enforcement and stricter compliance requirements.

USAID-Dept of State merger is proceeding without key plans.

The WH’s plan to merge USAID into the DOS is moving forward without a finalized strategy, raising concerns about potential disruptions to U.S. foreign aid operations. An IG report highlights that nearly all USAID employees face layoffs, with the DOS planning to absorb the agency's functions using a significantly reduced workforce, prompting fears of diminished development expertise and effectiveness.

ICYMI:

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CIVILIAN

HHS proposes 40% NIH budget cut.

The HHS is proposing to slash NIH funding by nearly 40%, consolidating 27 institutes into just eight and cutting budgets for cancer, aging, and infectious disease research. CDC’s budget will be cut by more than half, and FDA’s budget would also be reduced.

White House seeks $45M to expand DOGE operations.

The WH is requesting $45 million to fund the DOGE, supporting 150 employees, with most salaries covered by agency reimbursements. The budget includes $10M for software modernization.

OMB proposes $100M annual boost for TMF funding.

The WH’s OMB is pushing a new TMF funding model, allowing the GSA to collect expired discretionary funds from federal agencies. The plan aims to secure $100M annually, reducing reliance on Congressional appropriations.

ICYMI:

Civilian Contracts Awards

  • Acelo inked a $5M NARA OFAS O&M Support contract.

  • Equinix booked a $5M DHS OIG Data Center Hosting contract.

  • PFF bagged a $2M Power Platform Collaboration deal.

  • Veracity Consulting secured a $1M EPA IT Support Services Bridge deal.

Follow Civilian Leaders

Civilian Job Openings

  • DHS is hiring a Planning Section Chief.

  • FAA is seeking a Fleet Training Program Manager - Aviation Safety Inspector.

M&A CORNER

Snowflake acquires Crunchy Data to expand AI-ready database offerings.

Snowflake is buying Crunchy Data for $250 million, strengthening its PostgreSQL capabilities and expanding its AI Data Cloud. The acquisition positions Snowflake to compete with Databricks, which recently acquired Neon, as both companies race to dominate AI-driven database solutions.

Radiance expands defense portfolio with Verus Research acquisition.

Radiance Technologies has acquired Verus Research, strengthening its capabilities in cybersecurity, AI, directed energy, and nuclear science. The move enhances Radiance’s ability to support DOD and intelligence community programs, while Verus Research continues operations as a subsidiary.

iRocket plans SPAC merger to go public with Wilbur Ross.

iRocket is set to merge with BPGC Acquisition, a Wilbur Ross-backed SPAC, in a $400 million deal to take the reusable rocket developer public. The company aims to transform space launch economics with rapidly reusable rockets, securing DOD contracts and expanding its national security footprint.

SHOWER THOUGHTS 🚿

  1. China has deployed two aircraft carrier groups and up to 70 naval vessels around Taiwan. PRC is escalating the military pressure. SOURCE↗︎ 
    Related: Australia presses China for transparency on massive military expansion.

  2. [Watch] Ukraine launched “Operation Spiderweb.” The bold drone assault targeted Russian air bases and damaged over 40 strategic aircraft—including bombers and surveillance planes. How did they pull this off? SOURCE↗︎

  3. Juice jacking: Keep your data safe. Skip airport charging stations. The TSA has issued a warning about a cyber threat where hackers install malware on public USB charging ports. SOURCE↗︎

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