The Pentagon is tightening its belt—and turning a sharper eye on where the money flows. In a new memo issued February 15, the Department of Defense has ordered a sweeping review of service contracts, specifically targeting consulting, advisory, and assistance services. The goal? To cut costs and ensure funds are focused on warfighting capabilities rather than outside advice. The move follows directives from Secretary of Defense Hegseth and echoes the White House’s push to rein in contractor spending. Agencies have until March 19 to submit data on their consulting contracts, with an eye toward reductions. While some see this as long-overdue belt-tightening, others warn it could disrupt critical expertise within the DoD. The review will likely set the stage for broader spending debates in FY 2026 budget talks—and could have significant ripple effects for defense contractors.
Layoffs: DoD
The Pentagon is set to fire 5,400 probationary employees next week, marking the start of a major workforce reduction as the Trump administration pushes for leaner government operations. Defense Secretary Pete Hegseth framed the cuts as a push for meritocracy, stating, “Those who we need, who are the best and brightest, are going to stay. Those who are underperformers—won’t.” After the layoffs, a hiring freeze will follow while the DoD reviews personnel needs. But the move is already sparking controversy—critics argue it lacks the legally required workforce impact analysis and could hurt military readiness. Federal employee unions are suing, calling the mass firings a “slap in the face” to veterans and military families, since nearly half of DoD’s civilian workforce are veterans. With lawsuits and political backlash mounting, this fight over government downsizing is far from over.
Hiring: NightWing
If you’re a cleared professional looking for your next big opportunity, Nightwing is hiring. With over 250 open positions spanning cybersecurity, intelligence, and national security, this employer is actively building out its workforce across multiple clearance levels, including TS/SCI, Secret, and Top Secret roles. The majority of positions are based in Virginia (169) and Maryland (57), with additional opportunities in Florida, Texas, Alabama, and even remote/hybrid roles. Nightwing isn’t just another defense contractor—it prides itself on being on the front lines of cybersecurity and intelligence, tackling high-stakes missions for agencies like DHS, NSA, and CIA.
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Opportunity to Watch
SMX is making big moves in the federal IT and digital transformation space, scooping up cBEYONData to expand its financial analytics and enterprise data capabilities. The acquisition bolsters SMX’s ability to help government agencies improve financial transparency, streamline operations, and make data-driven decisions—key priorities as federal leaders push for greater accountability. With deep expertise in Oracle, SAP, and Momentum financial platforms, plus proprietary tools like CFO Control Tower® for real-time budget planning and cBEYONDLab® for ERP solution testing, cBEYONData brings serious firepower to SMX’s tech arsenal.
Under the deal, cBEYONData will operate as a new business unit within SMX, led by Sandeep Dorawala, while both companies eye new growth opportunities in federal financial management. SMX CEO Peter LaMontagne calls it a strategic play to expand the company’s work “at the nexus of data and dollars,” while cBEYONData CEO Dyson Richards says SMX is the perfect partner to fuel future innovation. With federal agencies under pressure to modernize financial systems and boost accountability, this acquisition cements SMX’s position as a key player in government digital transformation.
