U.S. Army Eyes Startup Playbook in Radical Overhaul of Weapons Procurement
U.S. Army Secretary Daniel Driscoll unveiled sweeping acquisition reforms modeled after Silicon Valley’s startup culture, pledging faster funding, rapid prototyping, and consolidation of Army acquisition offices to speed delivery of new technologies to soldiers.
WASHINGTON — U.S. Army Secretary Daniel Driscoll announced a sweeping acquisition reform aimed at transforming how the Army develops and delivers new technologies, drawing direct inspiration from Silicon Valley’s startup ecosystem.
Speaking Monday at the Association of the United States Army (AUSA) 2025 conference, Driscoll said the Army will move toward a “Silicon Valley model” designed to inject speed, flexibility, and innovation into defense procurement.
“After seeing the power of combining venture capital money and mentorship with startup culture, I can say unequivocally that the Silicon Valley approach is absolutely ideal for the Army,” Driscoll said. “It will identify promising startups, quickly fund them, and get minimally viable products to soldiers in weeks.”
FUZE Initiative: Army’s $750 Million Innovation Engine
The remarks come a month after the Army launched its FUZE initiative, a venture capital–style acquisition program committing roughly $750 million annually to early-stage defense tech firms.
Designed to mirror private-sector venture funding, FUZE aims to back startups developing breakthrough technologies for military use — from autonomous systems to AI-driven logistics — and dramatically shorten the gap between concept and combat readiness.
Driscoll revealed the program will expand to $765 million next year, marking a 150 percent increase in funding for emerging technologies. “We want to fund ideas that move the needle on the battlefield — not just in PowerPoint slides,” he said.
‘Acquisition Shakeup’ to Speed Delivery to Soldiers
In addition to funding reform, Driscoll announced an upcoming consolidation of Army acquisition offices into a single, streamlined organization to accelerate decision-making and reduce bureaucracy.
“We will break down barriers until we measure acquisitions not in years and billions, but in months and thousands,” Driscoll told attendees.
The shift will fundamentally change how the Army approaches procurement — buying in smaller batches, field-testing with soldiers, iterating quickly, and scaling proven systems across divisions.
“Buy small numbers of things, get it in the hands of soldiers, iterate with the company, and when it works, scale it,” Driscoll said.
The planned reform signals a cultural and structural pivot within the Army — one that could redefine defense innovation by merging startup agility with military rigor.
