Anduril signs potential $20 billion contract with US Army

The US Army announced on Friday that it has signed a 10-year agreement with deftech startup Anduril Industries, in a deal potentially worth up to $20 billion.

According to the announcement on its website, the contract begins with a five-year “base period,” with the option to extend it for an additional five, covering Anduril’s hardware, software, infrastructure, and services.

“This strategic move will streamline operations, reduce administrative costs, and accelerate the fielding of critical capabilities to Warfighters and other stakeholders across the U.S. Government,” it said.


Previously, the Department of War (DoW) managed over 120 separate procurement actions (or simply, contracts?) for Anduril’s commercial solutions. The new enterprise agreement merges these contracts into a single framework, removing pass-through charges on sub-contracts.

“This streamlined approach reduces procurement timelines, ensuring Soldiers have rapid access to cutting-edge software platforms, integrated hardware, data and compute infrastructure, and a full range of ancillary support services,” the announcement added.

Gabe Chiulli, chief technology officer for the Office of the Chief Information Officer, (DoW?), said, “The modern battlefield is increasingly defined by software. To maintain our advantage, we must be able to acquire and deploy software capabilities with speed and efficiency. Enterprise contracts are a key part of our modernisation strategy, allowing us to consolidate software agreements, eliminate redundancies, and accelerate the delivery of critical tools.”

Meanwhile, Bloomberg reported last month that Anduril is discussing raising up to $8 billion in a new funding round at a valuation of at least $60 billion. The report said that this capital would help the company finance its first major weapons-manufacturing facility and support the development of an autonomous fighter jet.

Anduril was last valued at $30.5 billion in a $2.5 billion funding round in June last year.