Defense Bill Boosts Military Tech, Nuclear Modernization

Trump’s legislation directs billions toward future capabilities

A new law, signed by **President Donald Trump** on July 4th, is set to dramatically increase defense spending. While much attention has focused on border security, significant funds are allocated for innovative military technologies and nuclear modernization, marking a shift in national defense priorities.

Massive Spending Increase

The “One, Big Beautiful Bill Act” pushes total planned defense spending beyond $1 trillion for Fiscal Year 2026. In addition to the Pentagon’s $848 billion request, it incorporates a $156.2 billion boost for national defense, as highlighted by experts **Erin D. Dumbacher**, **Michael C. Horowitz**, and **Lauren Kahn**.

Most of the attention is focused on the $12.8 billion allocated for **Trump’s** “Golden Dome” missile defense system and $1 billion for border security. However, tens of billions are for emerging technologies.

Focus on Innovation and Emerging Technologies

The bill earmarks substantial funds for the research, development, and fielding of innovative capabilities:

• Artificial intelligence and autonomy (at least $250 million)
• Directed energy ($250 million)
• Counter-unmanned aerial systems programs ($1.3 billion)
• Next-generation 5G/6G technologies ($500 million)
• Quantum computing ($250 million for DARPA)
• High-altitude surveillance balloons ($500 million)

It will allocate $600 million to the Strategic Capabilities Office and $25 million to the Office of Strategic Capital. Moreover, a $2 billion “wedge” will support the Defense Innovation Unit’s mission of rapidly integrating off-the-shelf commercial technologies.

Autonomous Systems

A minimum of $7.7 billion will directly bolster the development and expansion of precise mass systems. This includes autonomous platforms, sensors, and weapons, following their proven performance in conflicts such as in Ukraine, Israel, and Iran.

Additionally, $2.1 billion is slated for medium-sized unmanned surface vessels. These funds could facilitate the purchase of vessels inspired by DARPA’s No Manning Required Ship program. In fact, global spending on unmanned surface vehicles is projected to reach $3.3 billion in 2029 (MarketsandMarkets 2024).

Nuclear Modernization Investments

With the end of arms control treaties and China’s nuclear expansion, there is increasing investment in U.S. nuclear weapons modernization. The bill funds both planned and new efforts. The New Strategic Arms Reduction Treaty (New START) is set to expire in February 2026.

Specific allocations include $62 million to reopen missile tubes on Ohio-class submarines, $2.5 billion for the Sentinel ICBM program, and $500 million to extend the life of the Minuteman III ICBM program.

An additional $4.5 billion is designated to acquire an unspecified number of additional B-21 bombers, and the National Nuclear Security Administration will receive $3.89 billion to enhance domestic uranium production and modernize nuclear weapons facilities.

Space Capabilities Enhancement

The bill provides substantial funding for space systems supporting the **Trump** Administration’s Golden Dome initiative. These investments aim to counter threats from China and Russia.

The appropriation includes $3.65 billion for military satellites, $2 billion for air-moving target indicator satellites, $1 billion for the X-37B uncrewed space plane, and $850 million for space command and control.

Future Uncertainties

**Senator Roger Wicker**, the Republican Chair of the Armed Services Committee, “called the bill a down payment on a generational upgrade for our nation’s defense capabilities.” However, this funding is separate from the standard defense authorization and appropriations, so that “upgrade” may be only temporary.

While this infusion of funds will support critical capability development, it’s a temporary solution that may not address underlying innovation or program management issues.

Without sustained funding, these investments risk stalling. The bill’s extended availability of funds through 2029 offers some protection against budget volatility.

Long-term innovation and funding for defense priorities require continuous support through the base budget or defense budget reforms.