The US military said late Friday that it had signed a 10 year contract with defense technology startup in the sensor. The deal could be worth up to $20 billion.
According to the advertisementThe contract begins with a “base period” of five years, with the option to extend the agreement for an additional five years, and includes Anduril hardware, software, infrastructure and services.
The Army describes the deal as a single-enterprise contract that consolidates what had been “more than 120 separate acquisition actions for Anduril commercial solutions.”
“The modern battlefield is increasingly defined by software,” Gabe Chiulli, chief technology officer for the Department of Defense’s Office of the Chief Information Officer, said in a statement. “To maintain our advantage, we must be able to acquire and deploy software capabilities with speed and efficiency.”
Anduril was co-founded by Palmer Luckey, who was previously known for selling virtual reality startup Oculus to Facebook (now Meta). Facebook fired Luckey after controversy erupted following a news report that he had donated to a pro-Trump political group.
Luckey has repeatedly insisted that the media misrepresented his political views, but according to a recent article in The New York TimesLuckey and Anduril have been embraced by the second Trump administration, thanks to their vision of remaking the US military with autonomous fighter jets, drones, submarines and more. The company (named, like Palantir, after a magical object from “The Lord of the Rings”) generated about $2 billion in revenue last year, the NYT says.
Separate reports suggest that Anduril is in talks to raise a new round of financing with a valuation of 60 billion dollars.
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This announcement also comes as the Department of Defense is locked in a dispute with Anthropic, with artificial intelligence company sues the Department of Defense for its designation as a supply chain threat following a failed contract negotiation, while OpenAI has faced consumer reaction and at least one executive exit after signing its own agreement with the Pentagon.
