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Giancarlo N.'s avatar

Yes - to achieve transformational change - the present hardware / asset production model from the industrial age needs to pivot to Capabilities as a Service - or as some of us also coined over 10 years ago "Utlity as a Service" for aircraft. However the business model was so engrained in selling spare parts and preserving hardware (kind of like selling razors at a loss to secure the razor blade sales) to pivot to selling "utility" or "capability" would implode most of the traditional Defense industrial base. Congress will have to change the incentive structure to enable this transformation - it will not happen from within the defense primes.

Tidewater Lord's avatar

I hope this is a joke. Minihan is one of the worst flag officers of the 21st century. For any idea he suggests, the opposite should be done.

Every example of ‘innovative services/acquistions’ we’re all at the 4-star, OSD, or congressional level. Is a senator, secretary or general officer willing to push a couple 10s of millions of dollars in their budget down to an O3? Because that’s the only way you’re going to get ‘agile’ innovation.

the long warred's avatar

Nothing must stop or even slow the train.

How does Defense AAS as a service fit into DOD already taking the lead on American reshoring of industrial capacity in general ? With VCs : Venture Capital as full partner if not indeed leading the Dance as only they can? Add DOD taking the lead on nuclear microreactors which once proven are already of great interest to data centers, > 🤖 AI, local electrical exchanges already long partners with DOE (Department of Energy) and USDA / RUS (Rural Electrification and Infrastructure) ?

Is DaaS complementary or derailing?

Nothing must stop or even slow the train.