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Pentagon Draft Memo Signals Overhaul of Acquisition Process
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The Pentagon. A draft DOD memo proposes broad changes to the defense acquisition system.

The Department of Defense is preparing to implement major changes to how it buys weapons and technology as part of a push to promote competition, reduce bureaucracy and expedite the delivery of capabilities to warfighters, Breaking Defense reported Tuesday.

“Every process, board and review must justify its existence by demonstrating how it accelerates capability delivery to meet warfighter needs,” according to a draft memo obtained by Breaking Defense. “Speed to capability delivery is now our organizing principle: the decisive factor in maintaining deterrence and warfighting advantage.”

The six-page document, first reported by Politico, comes just days before Defense Secretary Pete Hegseth, a 2025 Wash100 awardee, is set to address defense CEOs and senior acquisition leaders on Friday. His remarks are expected to focus on acquisition reform, though it remains unclear whether he will announce the changes publicly.

What Is the Pentagon’s Portfolio Acquisition Executive Model?

A centerpiece of the plan is replacing the traditional program executive office structure with new portfolio acquisition executives, or PAEs. These officials will oversee multiple related programs, shifting resources across systems to prioritize on-time delivery. PAEs will serve at least four years and have their performance tied to metrics like delivery speed, competition and mission outcomes.

The memo gives PAEs authority to make cost and performance trade-offs that favor rapid fielding. Each military service will have 60 days to propose its initial portfolios, with a full transition to the new model expected within two years.

Implementing ‘Commercial First’ Contracting

DOD also plans to advance commercial and alternative contracting pathways. Within 90 days, guidance will be issued to expand use of other transaction authorities and commercial solutions openings, encouraging faster partnerships with private industry and startups.

The DOD 5000 acquisition policy will be updated within 150 days to delegate authority to the services, simplify reviews and consolidate milestones.

Portfolio Scorecards 

To ensure accountability, the memo calls for portfolio scorecards to track the performance of acquisition portfolios. Within 180 days, DOD should publish scorecards containing “primary measures” that evaluate prototypes, delivery schedules, production ramps and initial operational capability.

Contracts will include “time-indexed incentives,” rewarding early delivery while proportionally penalizing delays.

The document also mentions a new Economic Defense Unit that will develop modern contracting models and deploy capital to defense technology firms through loans, grants and other investments.

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DOE Renews National Quantum Research Centers With $625M Investment
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DOE seal. The Department of Energy has renewed five National Quantum Research Centers with a $625 million investment.

The Department of Energy has announced a $625 million funding renewal for its five National Quantum Information Science Research Centers, or NQISRCs, established under the National Quantum Initiative Act of 2018.

The Energy Department said Tuesday the initiative aims to advance U.S. quantum science and technology by aligning research with national priorities, accelerating research and development and enhancing the quantum innovation ecosystem. Awards will span up to five years, with fiscal year 2025 funding set at $125 million and additional funding dependent on congressional approval.

Which Centers Will Receive Funding?

The renewed centers include Brookhaven’s Co-design Center for Quantum Advantage, Fermi’s Superconducting Quantum Materials and Systems Center, Argonne’s Q-NEXT, Berkeley’s Quantum Systems Accelerator and Oak Ridge’s Quantum Science Center.

What Key Research Areas Will the NQISRCs Pursue?

The centers will tackle specific scientific and national security challenges, such as improving materials for superconducting devices and developing modular approaches for quantum systems. Research areas include scaling quantum devices to lay the groundwork for quantum data centers, advancing algorithms for on-chip and distributed quantum operations and pioneering quantum-accelerated high-performance computing.

The NQISRCs will advance core research in quantum computing, simulation, networking and sensing, while creating specialized tools to enhance quantum capabilities. They will apply emerging quantum technologies to key DOE scientific and security challenges and develop resources, workforce programs and industry partnerships to grow the broader quantum ecosystem.

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DOE Opens Proposal Submission to Build AI Data Centers at Paducah Site in Kentucky
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Timothy Walsh, assistant secretary at DOE's Office of Environmental Management. Walsh comments about DOE's Paducah site plan

The Department of Energy’s Office of Environmental Management is soliciting proposals from U.S. companies capable of constructing and operating artificial intelligence data centers at the agency’s Paducah site in Kentucky.

The initiative aims to utilize federal land for energy and data infrastructure development and promote American leadership in AI, the agency said Tuesday.

What Is the Goal of the DOE’s Paducah AI Data Center Project?

The solicitation supports energy and AI executive orders that President Donald Trump signed since January, including the Removing Barriers to American Leadership in Artificial Intelligence EO.

“Thanks to President Trump’s leadership, America is ushering in a golden era of American energy dominance, ensuring the United States remains a global leader in AI and innovation,” said Timothy Walsh, assistant secretary at EM. “Paducah has the resources and vision to support the next generation of AI infrastructure, creating new opportunities for prosperity while advancing national security for future generations.”

The Paducah Gaseous Diffusion Plant is one of four federal sites designated for potential AI and energy generation projects. The three other sites are Idaho National Laboratory, Oak Ridge Reservation and Savannah River Site.

What Are the Project Requirements?

Applicants must design, build, operate and decommission their proposed data centers. Selected applicants could enter into long-term leases for the site, fully funding their projects.

Proposals will be evaluated based on technological readiness, financial viability and regulatory compliance. DOE intends to host an industry day for prospective applicants to discuss requirements and tour available sites.

Offers are due Jan. 30, 2026.

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DHA Seeks Industry Feedback on MHS GENESIS Deployment Methods
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DHA seal. The DHA issued an RFI on deploying the Military Health Systems GENESIS electronic health record platform.

The Defense Health Agency issued a request for information to gather industry input on deploying the Military Health Systems, or MHS, GENESIS electronic health record platform.

Join the Potomac Officers Club’s Healthcare Summit on Feb 12. to explore how the Defense Health Agency, Department of Veterans Affairs and other agencies are advancing warfighter health with cutting-edge technology. Register now to join this premier GovCon event and gain insights on emerging healthcare tech, policies and initiatives.

According to presolicitation notice published Tuesday on SAM.gov, DHA aims to identify methods for “white-glove” deployments that minimize disruption to existing healthcare operations, ensure smooth transitions for new federal users, mitigate potential risks and address international deployment challenges. Interested contractors have until Nov. 6 to submit their responses.

Why Is DHA Focusing on MHS GENESIS Deployment?

MHS GENESIS integrates commercial off-the-shelf EHR components from multiple vendors, including Oracle Health and Henry Schein. The system-of-systems includes 12 major subsystems, 81 interfaces and over 1,000 endpoints. It manages over 975 workflows and 200 user roles, processing approximately 20 million messages daily. The system also supports 194,000 users and 9.6 million beneficiaries in 137 commands.

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Exiger’s Bob Kolasky Warns AI Data Center Boom Exposes New Risks to US Infrastructure
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Bob Kolasky. The Exiger SVP says rapid AI data center expansion is creating new vulnerabilities across U.S. critical sectors.

The rapid physical expansion of artificial intelligence infrastructure could create new vulnerabilities across U.S. critical systems, said Bob Kolasky, senior vice president for critical infrastructure at Exiger, in an opinion piece Homeland Security Today published.

Exiger’s Bob Kolasky Warns AI Data Center Boom Exposes New Risks to US Infrastructure

The growing intersection of AI and critical infrastructure resilience will be a central focus at the Potomac Officers Club’s 2025 Homeland Security Summit on Nov. 12. At the event, Kolasky will join DHS and CISA leaders to discuss strategies for securing emerging technologies and interconnected systems. Register now to hear insights from the experts shaping the future of infrastructure protection in the AI era.

What Risks Are Linked to AI’s Physical Growth?

According to Kolasky, former director at the Cybersecurity and Infrastructure Security Agency’s National Risk Management Center, current security discussions focus too heavily on digital threats while overlooking the physical systems that enable AI operations. He pointed to the rapid construction of data centers by major technology companies as a key area of concern.

The Exiger SVP cited data from CBRE’s “North America Data Center Trends H1 2025” report showing that there were more than 5,200 megawatts of new data center capacity under development in early 2025. He warned that this growth is placing additional strain on the electric grid and creating new interdependencies among sectors such as energy, water and telecommunications. He said the scale and complexity of these links have increased the potential for cascading effects from infrastructure failures.

What Steps Could Strengthen AI Infrastructure Resilience?

He stressed that the identification of “systemically important critical infrastructure” must be updated to include companies vital to the AI supply chain, such as Nvidia, AMD, Equinix and Digital Realty Trust. These entities, he said, are not traditionally viewed as critical but have become essential for their roles in enabling AI models.

Kolasky called for stronger coordination and resilience planning to prevent large-scale disruptions. Key measures include requiring local authorities to map and prioritize critical AI infrastructure for disaster and attack response, enforcing secure-by-design and resilient-by-design standards across AI systems, and establishing stress tests to assess the stability of interconnected infrastructure components.

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New ITI Report Urging US to Strengthen Global Space Leadership Through Innovation, Alliances
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Earth as seen from space. The ITI’s Space Enterprise Council published a report on U.S. global competitiveness in space

The Information Technology Industry Council has published a new report that found that the United States can reinforce its leadership in space by pursuing partnerships with other countries and building a strong innovation ecosystem.

The Driving U.S. Space Competitiveness in the Time of Great Power Competition from ITI’s Space Enterprise Council assessed the nation’s current standing in the new space race and the current global dynamics based on security alliances, economic ties and other factors.

“As global interest and dependence on space grows – and more players want a piece of it – it’s imperative that the U.S. prioritize its leadership,” commented David Logsdon, senior director of the Space Enterprise Council. “The Space Enterprise Council’s report and recommendations provide a timely framework that puts the U.S. in a position to help drive its space competitiveness on the global stage.”

How Can the US Strengthen Its Space Advantage?

The council urges the U.S. government to streamline export controls and acquisition processes that have lagged behind industry growth. The move, according to the report, would drive faster adoption of emerging technologies and stronger cross-border partnerships. It also emphasizes maintaining global leadership in setting standards for space, technology and cybersecurity, which are areas that shape how future systems are built and used.

To safeguard national and economic security, the report recommends building more resilient supply chains and expanding cooperation with trusted allies to reduce reliance on rivals. It also calls for clearly defined requirements for international partners in U.S.-led programs, such as NASA’s Gateway space station around the moon, to promote structured and transparent collaboration.

Finally, the report stresses the need for a unified and consistent national vision for space priorities, helping both government and private sector stakeholders plan long-term projects and align innovation efforts.

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DOD Reveals $27.8B FY25 Topline Budget for Military Intelligence Program
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Finance and budget. DOD said FY 2025 appropriated topline budget for the MIP totaled $27.8 billion.

The Department of Defense announced that the fiscal year 2025 appropriated topline budget for the Military Intelligence Program, or MIP, totaled $27.8 billion. 

DOD said Monday the figure includes supplemental funding and is designed to support the Interim National Defense Strategic Guidance.

The appropriated budget reflects a 6.7 percent drop from the previous year’s topline budget. In October 2024, DOD disclosed that its appropriated topline budget for MIP was $29.8 billion in FY 2024.

The Pentagon emphasized that the release of this topline number does not compromise any classified operations within MIP. 

According to the department, no further information on MIP funding or program specifics will be made public as these remain classified to protect national security interests.

What Is the Military Intelligence Program?

MIP focuses on intelligence activities carried out by military departments and agencies within DOD to support tactical U.S. military operations.

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Agencies Cancel Over 100 Excessive Contracts Worth $4.4B
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Government contracting. DOGE said federal agencies canceled 103 excessive contracts with a ceiling value of $4.4 billion.

The Department of Government Efficiency announced that, over the past five days, federal agencies canceled 103 excessive contracts with a total ceiling value of $4.4 billion, resulting in a reported $103 million in savings, The Epoch Times reported on Monday. 

What Contracts Were Canceled?

In a post on X Saturday, DOGE said the canceled contracts include a $13.4 million Department of Veterans Affairs consulting contract for coaching and dashboard services; a $43,000 State Department training contract for “crucial influence and getting things done courses”; and a $44,000 educational training contract of the State Department for “crucial conversations and power of habit courses.”

How Has Federal Spending Been Reduced?

Since its launch, DOGE said it has saved approximately $214 billion through contract renegotiations, asset sales and prevention of improper and fraudulent payments, which amounts to about $1,329 per American taxpayer. 

Agencies reporting the highest savings include the Department of Health and Human Services, the General Services Administration, Social Security Administration, the Office of Personnel Management and the Small Business Administration.

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University of Arizona Appoints Linda Bixby as Chief Research Partnerships Officer
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Arizona CRPO Linda Bixby. Linda Bixby has been appointed chief research partnerships officer at the University of Arizona.

Linda Bixby has been appointed chief research partnerships officer at the University of Arizona.

The university said Tuesday her appointment is intended to reinforce the Office of Research and Partnerships’ leadership team. The move also aims to expand the university’s research enterprise and societal impact.

What Are Linda Bixby’s New Responsibilities?

Bixby will leverage over 35 years of leadership experience across government, industry, academia and nonprofits in her new role. She will oversee the university’s initiatives to expand collaborations with industry, philanthropic partners, national laboratories and local communities, while guiding campus collaborations, strategic agreements, and economic growth in Arizona.

What Roles Has Bixby Held Before Joining UA?

The new UA CRPO held extensive leadership and advisory roles across academia, corporate, federal consulting, intelligence community and national security sectors. She currently serves as a board member of the Intelligence and National Security Alliance, Penn State University’s Smeal College of Business, Bixby Capital Management, George Mason University’s Costello College of Business, the University of Virginia’s School of Engineering & Applied Science, and formerly at the University of Texas at Austin’s Cockrell School of Engineering.

Bixby also held various senior roles at the NobleReach Foundation, LMI and Integrity Business Solutions. Her earlier career includes nearly a decade at Booz Allen Hamilton as a senior associate and four years as an assistant professor and scholar in residence at American University.

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Chinese Cyber Espionage Surges 150%, House Committee Warns
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Cyberthreat actor. A new House report shows rising cyberattacks on U.S. sectors, led by China-linked operations.

The House Committee on Homeland Security has released an updated “Cyber Threat Snapshot” detailing a sharp rise in cyberattacks by nation-states and criminal groups targeting U.S. networks and critical infrastructure. The report comes as the country transitions from Cybersecurity Awareness Month to Critical Infrastructure Security and Resilience Month.

Chinese Cyber Espionage Surges 150%, House Committee Warns

The increasing state-sponsored and criminal cyberattacks underscore the urgency of strengthening critical infrastructure defense. On Nov. 12, Potomac Officers Club’s 2025 Homeland Security Summit will bring together DHS, CISA and industry leaders to discuss how emerging technologies, AI and cross-sector collaboration can fortify the nation’s cybersecurity posture. Register now to hear from experts shaping America’s resilience against evolving cyberthreats.

Which US Sectors Are Facing the Greatest Threats?

The document highlights the aggressive targeting of key U.S. sectors, with particular emphasis on activity associated with China.

The industries most frequently targeted in attacks, according to CrowdStrike data included in the snapshot, are manufacturing; finance and insurance; and professional, business and consumer services. Energy, transportation, retail, healthcare and wholesale sectors account for the remaining documented attacks.

Attacks linked to China surged 150 percent in 2024, with operations against financial services, media, manufacturing and industrial networks increasing 300 percent.

The threat snapshot stated that intrusions into critical infrastructure sectors such as energy, telecommunications and water are likely aimed at establishing long-term access for potential disruption during a geopolitical crisis. A cited example involved China-backed actors maintaining network access for months within a public power utility in Littleton, Massachusetts.

The report also referenced the Salt Typhoon espionage campaign, which infiltrated at least nine major telecommunications providers in 2024, reportedly to exfiltrate sensitive data, conduct espionage on law enforcement’s wiretapping requests and access presidential candidates’ phones.

How Much Are Cyberattacks Costing the U.S. Economy?

Citing data from IBM, the threat snapshot noted that the average cost of a U.S. data breach in 2025 has reached $10 million, more than double the global average. The increasing cyberthreats are compounded by ongoing operational disruptions, including the current federal government shutdown and the lapse of the Cybersecurity Information Sharing Act of 2015.

“Amid a heightened threat landscape, we must take a whole-of-society approach to countering escalating cyber threats from adversaries like the Chinese Communist Party, Iran, Russia, North Korea, and others,” said HCHS Chairman Andrew Garbarino, R-N.Y., upon releasing the snapshot. “As the shutdown continues and a gap remains in our cyber information sharing authorities, a decrease in the visibility of cyber threats across public and private sectors could create blind spots in our networks. Senate Democrats must reopen the government so we can chart a better path forward for our nation’s collective cyber resilience.”

How Are Other Adversaries Expanding Their Cyber Operations?

Cyber operations from other adversaries are also intensifying:

  • Iran-linked attacks increased 133 percent between March and June 2025.
  • Russia-affiliated hackers reportedly breached the U.S. Courts’ electronic case filing system in July 2025.
  • North Korea is leveraging artificial intelligence to deploy covert IT workers into U.S. companies, using AI tools to enhance cyber intrusions. The report noted that AI-driven attacks were tied to one in six data breaches in 2025, citing data from IBM.

Cyber attacks have led to severe disruptions at the local level, forcing cities like St. Paul, Minnesota, and Mission, Texas, to declare states of emergency. According to the committee, many state, local, tribal and territorial governments lack the necessary resources and technical expertise to defend their systems against advanced cyberthreats.

Meanwhile, ransomware groups like Scattered Spider continue to operate globally, targeting large corporations through extortion and data theft schemes.

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