Article

The U.S. Army's new procurement strategy, which focuses on rapid, small-quantity purchases, is creating challenges for drone vendors like Anduril, producer of the Ghost-X drone. The strategy complicates production alignment due to uncertain demand and a Defense Department directive treating small drones as munitions, leading to vendor hesitance in investing in capacity and supply chains. Despite the Army's request for $804 million for small UAS programs in its 2026 budget, vendors remain uncertain about actual demand, exacerbating tensions between procurement goals and vendor capabilities.