Pentagon rolls out new strategy to help keep America’s technological edge

The Pentagon formally rolled out an updated acquisition strategy that streamlines how the department buys technology and allows greater room for experimentation by defense contractors. The program, known as “Better Buying Power 3.0,” emphasizes the role of research and development to spur innovation and outlines steps for the Pentagon to better harness commercial technology in order to cut costs. It is part of a multi-year effort to help the nation maintain its technological advantage at a time when defense budgets are shrinking.

Pentagon officials including former defense secretary Chuck Hagel and acquisition chief Frank Kendall have stressed the need for the department to tap into emerging technology trends and encourage innovation by the commercial sector, citing the renewed investments being made by its foreign rivals. “The technological superiority of the United States is now being challenged by potential adversaries in ways not seen since the Cold War,” Kendall wrote. Companies that do business with the Pentagon can expect more incentives to innovate but also increased scrutiny of their internal research and development projects. For example, the Pentagon plans to release new guidelines in May that increase the role the government will play in reviewing companies’ internal research decisions.