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Jellie Whitehurst in Pensacola, Fla., was surprised to learn that after decades, the Navy had awarded a $1.7 million contract to a company in Virginia to supply the gear.
Data: U.S. Bureau of Labor Statistics via FRED ; Chart: Emily Peck/Axios Memory chip prices are skyrocketing, thanks to AI demand, and there's no end in sight. Why it matters: "Chipflation" is pushing up the prices for electronic goods like smartphones and laptops, as well as the costs for cloud storage and hardware — it also helps explain the eye-popping ascents in semiconductor stock prices. - While the overall effect on inflation may not be huge — other kinds of products get more weight in the government's measure of consumer prices — the scale of this boom is unprecedented. By the numbers: The Producer Price Index for electronic components and accessories, which measures what companies pay for semiconductor chips and other…
Data: U.S. Bureau of Labor Statistics via FRED ; Chart: Emily Peck/Axios Memory chip prices are skyrocketing, thanks to AI demand, and there's no end in sight. Why it matters: "Chipflation" is pushing up the prices for electronic goods like smartphones and laptops, as well as the costs for cloud storage and hardware — it also helps explain the eye-popping ascents in semiconductor stock prices. - While the overall effect on inflation may not be huge — other kinds of products get more weight in the government's measure of consumer prices — the scale of this boom is unprecedented. By the numbers: The Producer Price Index for electronic components and accessories, which measures what companies pay for semiconductor chips and other…Open
Some of the most senior officials who survived the purge after former Homeland Security Secretary Kristi Noem's departure have been associated with the contracting practices that now face intense scrutiny. Why it matters: More than $9 billion in agency business was awarded during Noem's tenure through less-than-fully competitive bidding processes, according to SAM.gov, which tracks government spending and procurement. - The Office of the Inspector General has open audits on every less than competitive contract doled out in fiscal year 2025. - There's also an audit into the spending spree for new detention space, including the 11 currently vacant warehouses . - During the same period, Noem implemented a sign-off system to personally…
Some of the most senior officials who survived the purge after former Homeland Security Secretary Kristi Noem's departure have been associated with the contracting practices that now face intense scrutiny. Why it matters: More than $9 billion in agency business was awarded during Noem's tenure through less-than-fully competitive bidding processes, according to SAM.gov, which tracks government spending and procurement. - The Office of the Inspector General has open audits on every less than competitive contract doled out in fiscal year 2025. - There's also an audit into the spending spree for new detention space, including the 11 currently vacant warehouses . - During the same period, Noem implemented a sign-off system to personally…Open
An analysis of six years of procurement records suggests that the People’s Liberation Army has openly tried to acquire restricted U.S. technology.
To see where tech policy is going in the U.S., look west: California is escalating its push to regulate AI across multiple fronts. Why it matters: California's multi-pronged approach makes it likely that AI companies in the U.S. will treat the state's rules as a de facto national standard, even as the White House moves to rein in state regulation. - It follows a familiar pattern: California acts first, companies adapt to keep doing business there and Congress dithers, eventually ceding its role to states due to gridlock. Driving the news: Gov. Gavin Newsom signed an AI executive order this week as state legislators advance a number of AI bills and consider other regulatory avenues for AI. The big picture: California is moving ahead as…
To see where tech policy is going in the U.S., look west: California is escalating its push to regulate AI across multiple fronts. Why it matters: California's multi-pronged approach makes it likely that AI companies in the U.S. will treat the state's rules as a de facto national standard, even as the White House moves to rein in state regulation. - It follows a familiar pattern: California acts first, companies adapt to keep doing business there and Congress dithers, eventually ceding its role to states due to gridlock. Driving the news: Gov. Gavin Newsom signed an AI executive order this week as state legislators advance a number of AI bills and consider other regulatory avenues for AI. The big picture: California is moving ahead as…Open
Ukraine has created online marketplaces to let units select their own drones, a break from generations of standardized and centralized weapons procurement.
The tech giant has been rebuilding its relationship with the Defense Department and is poised to benefit as it sidesteps competitors’ controversies.
Tech industry groups representing hundreds of companies are urging a court to pause the Pentagon's blacklisting of Anthropic. Why it matters: The Pentagon didn't just stop doing business with Anthropic — it labeled the company a supply chain risk, a move industry says could chill innovation and reshape how the government treats AI vendors. Driving the news: Major tech industry groups representing companies with Pentagon contracts filed an amicus brief calling for a pause on the designation. - "The government has ample, well-established tools to resolve procurement disputes and to contract with providers on whatever terms it prefers," the March 13 court filing states. - What they can't do, the filing says, is "misuse extraordinary…
Tech industry groups representing hundreds of companies are urging a court to pause the Pentagon's blacklisting of Anthropic. Why it matters: The Pentagon didn't just stop doing business with Anthropic — it labeled the company a supply chain risk, a move industry says could chill innovation and reshape how the government treats AI vendors. Driving the news: Major tech industry groups representing companies with Pentagon contracts filed an amicus brief calling for a pause on the designation. - "The government has ample, well-established tools to resolve procurement disputes and to contract with providers on whatever terms it prefers," the March 13 court filing states. - What they can't do, the filing says, is "misuse extraordinary…Open
The Pentagon is turning procurement into policy, staking its claim as Washington's most powerful AI player with its decision to ditch Anthropic . Why it matters: As lawmakers debate guardrails, the Pentagon showed how it can reshape the AI industry with a single contract decision. - The Defense Department is the federal government's biggest tech buyer, and its requirements for companies to win contracts can become de facto rules and spread beyond military systems. - In a regulatory vacuum, defense contracts speak the loudest. What they're saying: "The biggest question is: What kind of business partner does the government want to be?" Jessica Tillipman, associate dean for government procurement law studies at George Washington…
The Pentagon is turning procurement into policy, staking its claim as Washington's most powerful AI player with its decision to ditch Anthropic . Why it matters: As lawmakers debate guardrails, the Pentagon showed how it can reshape the AI industry with a single contract decision. - The Defense Department is the federal government's biggest tech buyer, and its requirements for companies to win contracts can become de facto rules and spread beyond military systems. - In a regulatory vacuum, defense contracts speak the loudest. What they're saying: "The biggest question is: What kind of business partner does the government want to be?" Jessica Tillipman, associate dean for government procurement law studies at George Washington…Open
The White House is preparing an executive order formally instructing the federal government to rip out Anthropic's AI from its operations, sources familiar with the matter told Axios. Why it matters: The move would escalate the administration's fight with Anthropic , which is already suing the Pentagon over its supply chain risk designation. - It would also formalize a broader push across agencies to remove Claude after President Trump said his administration would not use "woke" AI. State of play: Government agencies like the Treasury Department have already begun to offboard Anthropic . - Anthropic in a lawsuit on Monday said Congress in its procurement laws did not give the administration the authority to blacklist a U.S. company…
The White House is preparing an executive order formally instructing the federal government to rip out Anthropic's AI from its operations, sources familiar with the matter told Axios. Why it matters: The move would escalate the administration's fight with Anthropic , which is already suing the Pentagon over its supply chain risk designation. - It would also formalize a broader push across agencies to remove Claude after President Trump said his administration would not use "woke" AI. State of play: Government agencies like the Treasury Department have already begun to offboard Anthropic . - Anthropic in a lawsuit on Monday said Congress in its procurement laws did not give the administration the authority to blacklist a U.S. company…Open