Australia Races Ahead of U.S. with Deployment of Advanced Undersea Vehicle
CANBERRA, AUSTRALIA – While a U.S. program struggles with delays, Australia is poised to deploy a cutting-edge, long-range, stealthy undersea vehicle developed in partnership with defense startup Anduril Industries. The “Ghost Shark” Extra large Unmanned Undersea Vehicle (XLUUV) represents a meaningful leap forward in maritime surveillance and strike capabilities, and underscores a growing divergence in defense procurement speed between the two allies.
The Australian government and Anduril co-developed and jointly funded the Ghost Shark, each contributing $50 million, in 2022.Remarkably, the first prototype was delivered in April 2024 – a full twelve months ahead of schedule - and production has already commenced. This success stands in stark contrast to Boeing’s ”Orca” XLUUV program in the United States, which remains years behind schedule.
The program’s success is anchored by a five-year award structure, a coveted “program of record” that guarantees recurring revenue by securing a dedicated line item within Australia’s defense budget. The contract encompasses not onyl vehicle delivery but also ongoing maintenance and continued progress.
“Ultimately, this comes down to having seriousness, having inventiveness, and having will to conceive a new idea and bring it to fruition. And that’s what the Australian government has done,” said Anduril President Chris Brose. “Australia has fewer people, a lot less money, and many of the same bureaucratic challenges that our Pentagon has, and they have been able to accomplish this.”
Anduril’s approach involved putting its own capital at risk to accelerate Australia’s acquisition timeline. The company is now positioning the Ghost Shark for broader international adoption, highlighting its ability to be rapidly adapted with country-specific payload modules. A U.S. payload is currently undergoing testing off the California coast, and Anduril has established a 150,000-square-foot manufacturing facility in Rhode Island to support potential U.S. contracts.
“The United States has had an XLUUV program that has been struggling for the better part of a decade,” Brose stated. ”It has spent a significantly greater amount of money on that program than the Australian Government and Anduril have spent developing the Ghost Shark capability, and it’s further behind. We have spent more time in, on, and under the water. We have an ability to work across more missions. We are more ready to go. We are more ready to deliver at scale, and we will do all of that at a lower price.”
Australia’s drive to acquire the Ghost Shark is fueled by increasing geopolitical tensions in the Indo-Pacific region, particularly the growing military presence and assertive actions of China. As the world’s largest island nation with a relatively small population, Australia faces unique security challenges and views the Ghost Shark as a critical component in deterring potential adversaries. China has significantly expanded its naval capabilities and conducted military exercises near Australian waters, increasing the urgency for advanced defense systems.
