Meta’s recent pivot toward defense technology marks a notable cultural shift in Silicon Valley’s relationship with the U.S. military. Chief Technology Officer Andrew Bosworth highlighted this change during the Bloomberg Tech summit, saying the “tides have turned” and revealing that a long-standing, if quiet, support for national defense initiatives is gaining public traction in the tech world. Bosworth pointed to Silicon Valley’s historic roots in military development, suggesting that today’s resurgence of interest is a return rather than a revolution. Meta is embracing this change with a new partnership with defense firm Anduril Industries to develop AI-powered augmented and virtual reality tools, including a high-tech helmet for military use.
The move reflects a broader reimagining of how tech can intersect with defense priorities, with Meta’s Reality Labs division—known for products like Ray-Ban Meta smart glasses and the Quest VR headset—now exploring national security applications. Bosworth, who leads the unit, framed the shift as a moment of historical significance and a test of innovation’s staying power. “History has its eyes on us,” he remarked, underscoring the urgency and ambition behind Meta’s new direction. Whether this gamble will pay off in both market adoption and military integration remains to be seen, but it’s clear Meta is betting big on tech’s role in future battlefields.
Layoffs: DOT&E
The Pentagon is undertaking a dramatic reshaping of its weapons testing oversight with a near-80% budget cut and a drastic reduction in staff at the Office of the Director of Operational Test and Evaluation (DOT&E). The office, once employing over a hundred civilians and operating on a $377 million budget, is being scaled down to a lean team of 30 civilians and 15 military personnel. The internal memo cites “redundant, nonessential” functions as the reason for the cuts, aiming to align DOT&E more closely with its statutory oversight mission. Secretary of Defense Pete Hegseth has appointed Carroll Quade, from the Navy, to lead the streamlined office, with expectations of saving over $300 million. Contractors were ordered to cease work within a week, and displaced civilian employees are being sent back to their respective service branches.
The move marks the most significant structural overhaul of DOT&E since its founding in 1983, raising serious concerns from former leaders. Critics argue the downsizing undermines the office’s independence and capacity to evaluate complex, modern weapons systems—especially as the Pentagon pursues high-profile programs like the F-47 fighter and the Golden Dome missile defense system. Former directors worry the changes could violate Congressional mandates requiring the office to have sufficient personnel for comprehensive testing and reporting. Some speculate the decision may even be a response to recent oversight moves by DOT&E. As the defense community debates the future of military acquisitions and testing, this restructuring signals a potential shift toward a more streamlined—but possibly less robust—evaluation process.
Hiring: SCALE AI
Meta is reportedly preparing a multibillion-dollar investment in Scale AI, a leading data-labeling startup with deepening ties to U.S. defense initiatives. The financing, which could top $10 billion, would mark Meta’s largest external AI investment to date and one of the biggest private tech funding deals ever. Both companies are already collaborating on Defense Llama, a military-grade version of Meta’s large language model designed for national security applications. Scale, which recently landed a contract with the Department of Defense to advance AI agent technology, has been positioning itself as a key player in the military AI space — a shift that reflects Silicon Valley’s growing comfort with defense work.
As the demand for AI-powered tools in the defense sector accelerates, this partnership suggests significant growth and hiring potential for both Meta and Scale. Scale, which brought in $870 million in revenue last year and expects to more than double that in 2025, relies on a vast network of contract workers to label the high-quality data needed for military and enterprise AI systems. With Meta prioritizing AI as its top initiative — committing up to $65 billion in spending this year — the company’s expanding focus on national security technology could open new career pathways in areas like machine learning, defense-focused product development, and AR/VR applications. The Meta-Anduril collaboration on an AI-powered helmet further signals a broader push to bring cutting-edge AI into battlefield readiness.
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Opportunity to Watch
Jacobs is set to significantly expand Boeing’s St. Louis facility, a move aimed at bolstering national security through enhanced defense manufacturing capabilities. The massive, multi-billion-dollar project will double the size of the Missouri site and introduce sustainable building practices, modern infrastructure upgrades, and environmental enhancements. According to Jacobs, the expanded campus will serve as a hub for advanced aircraft assembly and post-assembly operations, positioning Boeing to better support future-generation military aviation programs. Construction is already in motion and is scheduled to progress in phases through 2030.
This ambitious development builds on Boeing’s 2024 acquisition of a nearby facility from GKN Aerospace, which added critical capabilities for F/A-18 and F-15 fighter jet production. Susannah Kerr, Jacobs’ executive vice president, emphasized the company’s deep involvement from concept to construction and its role in fast-tracking National Environmental Policy Act (NEPA) approvals in just eight months. She highlighted the project’s complexity—including demolishing legacy infrastructure—as a testament to Jacobs’ experience in navigating technical and regulatory challenges to support the defense mission.
