What does this new trillion-dollar defense budget and "Big Beautiful Bill" mean for national security startups?

This week on the Mission Matters podcast (link in comments), I sat down with my teammates Michael A. Brown and David Rothzeid, two former leaders at the Defense Innovation Unit (DIU), to unpack what the trillion-dollar defense budget really means for startups . With only $150B officially appropriated so far via the “Big Beautiful Bill,” there’s still a ton of complexity and opportunity ahead.We break down:

🔴 What’s actually been passed (hint: not the full trillion) and what’s still in flux

🔴 The current state of funding for cutting-edge technologies like Golden Dome, unmanned systems, space tech, and AI

🔴 Where DOD is lagging (AI, autonomy, EW) and what surprises are buried in the latest bill (F-35 cuts?!)

🔴 How startups should position themselves to win contracts

🔴 Where primes will dominate vs. where new entrants can thrive

🔴 What SPEED and FoRGED Acts mean for acquisition reform (spoiler: goodbye to some arcane accounting standards)

🔴 Why DoD “buying as a service” might finally stick

Whether you're a founder, investor, or policymaker—this episode’s for you. It’s a masterclass in how national security budgets translate into startup opportunity.

As always, please let us know your thoughts, and please reach out if you or anyone you know is building in the national security domain.

Keywords: Defense budget,NDAA, Appropriations Act, President's budget request, Big Beautiful Bill,defense spending, startups, commercial technology, unmanned systems, AI, cybersecurity,space technology, defense acquisitions, venture capital, dual-use technology.

Chapters:

• Introduction to Defense Budgeting and Startups

• Understanding the Defense Bill

• Emerging Technologies: Space, AI, and Unmanned Systems

• Challenges and Opportunities for Startups

• Navigating the Defense Acquisition Landscape

• The Debate on Defense vs. Dual-Use Startups

• The Role of Space in National Security

• Innovations in Defense Acquisition Policies

• Impact of the Forge and Speed Acts

• Executive Orders and Their Implications

• Investment Thesis in Defense Technology

This episode of the Mission Matters podcast features a conversation between Shield Capital Managing Partner Philip Bilden and Vice Admiral Kevin “Kid” Donegan. This episode covers everything from:

• The role of cutting edge technology like cybersecurity, drones, and AI in the conflict

• The current state of Iranian proxy forces in the Middle East

• How the conflict in the Middle East compares to Ukraine

• And more!

Keywords: Middle East, geopolitical briefing, national security, technology in warfare, nuclear program, Iran, US-Israel relations, cyber operations, AI

Chapters

Introduction to SHIELD Capital and Geopolitical Briefing
Admiral Kevin Donaghan's Background and Experience
Recent Activities in the Middle East
Command Responsibilities in Iraq and Afghanistan
Assessment of the Recent Conflict and Ceasefire
Iran's Military Capabilities and Regional Dynamics
Technological Advancements in Military Operations
The Role of Cyber in Modern Warfare
Leadership Assessment in Crisis Operations
Iran's Nuclear Program and Military Strategy
Regime Stability and Prospects for Change in Iran
US-Israel Relations and Military Collaboration
Iran's Global Influence and Terrorism Concerns
Geopolitical Implications for China and Russia
Investment in AI and Technology by Gulf Allies
The Future of GPS and Warfare Technology
Cybersecurity Threats from State Actors

In this episode of the Mission Matters podcast, David and I speak with Brendan Karp, the CEO of Obviant, a startup building a government market intelligence platform. In this episode, we discuss:

• How Obviant is building the “source of truth” for DoD budget, contract, and program data—replacing PDFs and spreadsheets with structured, searchable intelligence and providing its customers with a decision edge

• The painful reality of legacy DoD software systems like ABIDES and DTS, and why commercial technology should be powering national security workflows

• How the DoD is rewriting acquisition playbooks—embracing OTAs, CSOs, and the software acquisition pathway to bring in non-traditionals faster

• And more…

  
  

  Keywords: Governmentprocurement, national security, commercial technology, defense budget, AIplatform, data integration, acquisition challenges, government contracts, technologytransition, procurement data, innovation programs, defense industry, softwareacquisition pathway, commercial solutions openings, other transactionauthorities.

  
  

  Chapters

  • Understanding Obviant and Its Mission

  • The State of DOD Contracting Tools

  • Recent Changes in Acquisitions and Contracting

  • Rewriting the FAR: A New Approach

  • Innovative Contracting Mechanisms

  • Success Stories and Cultural Shifts

  • Executive Orders and Their Impact

  • Understanding Customer Needs and Data Challenges

  • The Role of Obviant in Data Integration

  • Navigating the Acquisition Process

  • Maintaining Data Accuracy and Relevance

  • Unlocking Insights for the DOD

  • Success Stories and Customer Impact

  • Advice for Startups in National Security

In this episode of the Mission Matters podcast, Akhil and Maggie speak with Brian Raymond, the CEO of Unstructured, a startup building the future of data tooling for generative AI, transforming unstructured data into structured data that can be used by AI models.

Episode overview:

• Brian Raymond’s journey from the CIA and National Security Council to building Unstructured, an AI infrastructure startup.

• The “unsexy” data and infrastructure challenge behind LLMs and agents — from PDFs and XML to chunked JSON.

• How SOCOM, the Air Force, and the Army are leading the way in practical GenAI deployment

• What commercial enterprises like Nestlé are doing with agents today — and what the DoD can learn from them

• A tactical roadmap for AI adoption in national security — from policy fixes to compute access to trust-building

• And much more

  
  

  Keywords: AI, National Security, DoD, Infrastructure, Generative AI, Adoption, Challenges, Use Cases, Trust, Technology, Department of Defense, AI technology, open source, trust building, government initiatives, experimentation, deployment challenges, dual-use technology, AI infrastructure, future of AI

  
  

  Key Themes

  • Navigating AI in National Security
  • The Evolution of AI in the DoD
  • Challenges of AI Infrastructure in Defense
  • Success Stories in AI Adoption
  • Building AI Applications for Government
  • Trust and Results in DoD AI Solutions
  • The Future of AI in National Security

In this episode, Patrick O'Brien and Bohdan Volyanyuk, the founders of Autonomous Cyber discuss the evolution of cyber operations, the integration of AI in cybersecurity, and the challenges faced in modern warfare. They explore the concept of dual-use technology, the significance of the fifth domain in conflict, and the impact of generative AI on both offensive and defensive strategies. The conversation highlights the importance of upskilling cyber professionals and the innovative approaches being taken to enhance cybersecurity capabilities. In this conversation, Patrick and Bohdan discuss the rapid evolution of AI models in cybersecurity, the importance of user experience, and the challenges of building trust within government technology. They emphasize the need for continuous innovation and adaptation in a fast-paced environment, while also addressing the significance of integrating workflows and overcoming adoption hurdles. The discussion highlights the value of user feedback and the importance of building strong relationships with clients in the national security sector. We discuss: The Emergence of Autonomous Cyber Operations

Alex Wulff, Ben Harpe, and Isaac Struhl are the founders of Distributed Spectrum, a New York City based startup using machine learning, edge processing, and off the shelf hardware to provide a comprehensive, real-time view of the radiofrequency (RF) environment to help warfighters manage electronic warfare.In this episode we discuss:- The Modern Battlefield and Electronic Warfare- The Origin Story of Distributed Spectrum- Understanding Electronic Warfare- The Evolution of Electronic Warfare Technology- Customer Insights and Product Development- First Customer Experience and Product Validation- Ease of Use in Electronic Warfare Tools- Future of RF Sensing and Technology Evolution- Challenges and Opportunities in the National Security Market- Building Trust and Relationships with National Security Customers- Navigating the Unclassified Space- Innovations in RF Technology- The New York Advantage- Balancing Performance and Efficiency- Integrating with Legacy Systems- Building a Diverse Team for Success in National Security- Surprises and Challenges in the Journey- Advice for Future Founders in National Security