Anduril Wins $20B Army Contract, Plans Massive Jobs Growth
Anduril Secures Historic $20 Billion Army Contract
The U.S. Army awarded Anduril Industries a firm-fixed-price contract valued at $20 billion on March 13, 2026. This marks one of the largest defense technology agreements in recent military procurement history. U.S. Army Contracting Command at Aberdeen Proving Ground, Maryland, issued the contract to combine current and future commercial solutions into a unified, mission-ready capability that supports the Army’s operational and business needs.
The 10-year agreement runs through March 12, 2036. It has a five-year base period with an additional five-year optional ordering period. The contract includes Anduril’s proprietary Lattice suite, integrated hardware, data and computer infrastructure, and technical support services. Work locations and funding will be determined with each individual order placed under the framework.
The Department of War managed more than 120 separate procurement actions for Anduril’s commercial solutions before this enterprise contract. The new framework combines these contracts and agreements into a single contractual structure and eliminates pass-through charges on subcontracts. This simplified approach reduces procurement timelines and ensures soldiers have rapid access to advanced software platforms and support services.
“Software defines the modern battlefield increasingly. We must be able to acquire and deploy software capabilities with speed and efficiency to maintain our advantage,” said Gabe Chiulli, chief technology officer for the Office of the Chief Information Officer. Chiulli added that enterprise contracts represent an important part of the Army’s modernization strategy. They allow the military to combine software agreements, eliminate redundancies, and accelerate delivery of critical tools.
Anduril, founded in 2017 by Oculus founder Palmer Luckey and based in Costa Mesa, California, develops autonomous defense technologies that include drones and counter-drone interceptors.
How the Contract Will Transform Military Procurement
Enterprise contracting represents a fundamental move in how the Army purchases technology from commercial vendors. The service awarded 14 enterprise contracts in the last eight months. This consolidated 118 separate agreements and achieved an 88 percent reduction in total contracts. The consolidation reduces administrative workload and eliminates redundant procurement processes. It could generate up to $5.3 billion in savings over the life of the original contracts.
The framework establishes pre-negotiated terms and pricing available to all users without additional fees. This creates fairness and predictability for all parties. Danielle Moyer, executive director of Army Contracting Command-Aberdeen Proving Ground, says the Army uses its collective buying power to negotiate substantial discounts and reduce overall spending. The approach avoids having industry answer the same questions to different contracting officers within the Army on the same product.
“This enterprise contract is a critical step in establishing a common framework for counter-UAS interoperability,” said Brig. Gen. Matt Ross, director of Joint Interagency Task Force 401. The contract provides a foundational command and control capability. It gives Department of War and interagency partners a clear path to a cohesive and effective ecosystem.
The model uses an “a la carte” purchasing approach. Program managers can order only the commercial products or services they need. This strategy fits with broader Army modernization initiatives and the Pathway for Innovation and Technology office, which accelerates work with nontraditional vendors.
Anduril Plans Massive Jobs Growth to Meet Contract Demands
Anduril plans to add thousands of workers at multiple U.S. facilities to support production demands from the Army contract. The company will establish Arsenal-1, a five-million-square-foot manufacturing facility in Pickaway County, Ohio. This will bring more than 4,000 production and service jobs to the state by 2035. The project represents the largest single job creation and new payroll initiative in Ohio’s history.
Anduril will build a second major campus in Long Beach and Lakewood, California, beyond the Ohio facility. The campus will support about 5,500 direct jobs on site. The 1.18 million-square-foot campus will combine 750,000 square feet of office space with 435,000 square feet of industrial space for research and development. The facility should come online in mid-2027.
The company employs 7,000 people at 35 locations, with roughly half based in Southern California. Construction and buildout of the Ohio facility should begin after state and local approvals, with first products targeted for manufacturing beginning in July 2026.
Conclusion
Anduril’s $20 billion Army contract represents a watershed moment for defense procurement and American manufacturing. The enterprise framework streamlines military technology acquisition by a lot and drives economic growth through thousands of new jobs in Ohio and California. This agreement demonstrates how the Department of War can work with commercial innovators to deliver advanced capabilities faster and more affordably. The partnership sets a precedent for future defense contracts that prioritize speed and domestic workforce expansion.