According to the announcement on March 13, the contract starts with a "basic period" of 5 years, with an option to extend for another 5 years and includes hardware, software, infrastructure and services provided by Anduril.
The agreement could be worth up to 20 billion USD.
The US military said that this agreement is a single corporate contract, combining more than 120 previous private procurement contracts for Anduril's commercial solutions.
The modern battlefield is increasingly shaped by software. To maintain our advantages, we must be able to purchase and deploy those software capabilities quickly and effectively," said Gabe Chiulli, Chief Technology Officer at the Pentagon Information Director Office.
Anduril co-founded Palmer Luckey - who sold the virtual reality startup Oculus to Facebook.
According to the New York Times, Luckey and Anduril Company have been supported by President Donald Trump's administration thanks to his vision of restructuring the US military with self-propelled fighter jets, drones, submarines... Anduril earned about 2 billion USD in revenue last year.
Many other news reports show that Anduril is negotiating to raise a new round of capital with a valuation of 60 billion USD.
This announcement was also made in the context of the Pentagon being involved in a dispute with Anthropic, when this AI company sued the US Department of War for being considered a supply chain threat after a failed contract negotiation, while OpenAI faced strong reactions from consumers and at least one CEO of the company left after signing an agreement with the Pentagon.