Defense Secretary Pete Hegseth dropped a memo on July 10 that read like a heavy artillery blast against the Pentagon’s procurement paralysis. He rescinded the choke‑hold regs from 2021–22 that hamstrung drone purchases—especially those pesky rules banning Chinese‑component bird dogs—and handed combat units the green light to buy, test, and train with U.S.‑made small drones on their own authority.
Forget the glacial march of bygone acquisition cycles. Hegseth wants thousands of American drones on the DoD’s Blue UAS approved‑for‑battle roster—and he wants them now . Simultaneously, he’s dismantling barriers: zero tolerance for bureaucratic BS, rewiring software procurement channels via faster SWP (software acquisition pathway) lanes, and integrating drone operators into war games, training, and tank‑bust routines.
In short: Unleash the drones. Let American ingenuity collide with frontline force. That’s the order from the top.
Hegseth signed a memo on American drone production “delivered via drone”. pic.twitter.com/w1oflybM88
— Olga Nesterova (@onestpress) July 10, 2025
Numbers Don’t Lie—Follow the Money
Markets responded with fireworks. Shares in U.S. drone stalwarts like AeroVironment and Kratos Defense shot up ~11–12% within a day. Little tech startups like Red Cat and Unusual Machines exploded even more—massive gains of 26–39%. This was more than a rise in stock prices; it was a hard‑charging bet that Uncle Sam means business.
Army Drift: Goodbye Attack Helicopters
Hegseth’s memo wasn’t all plaudits. He told the Army to build a leaner, more lethal force—cut four‑star positions, merge commands, and pivot hard toward unmanned systems and counter‑drone squads by 2026–27.
One of the most radical turns: ditch legacy choppers and Humvees, and fill those slots with low‑cost mass‑attritable drone swarms—targeting not just enemy formations, but each other in mock combat, 1,000 drones per division, forming a digital air shield powered by AI and 3D printing, ready to pounce on command.
Making Enemies Sweat
What does this mean for our adversaries? Imagine drone pendulums hovering over soon‑to‑be obsolete attack helicopters—big, loud, high‑value targets. Imagine a sea of drones so cheap you can get shot down ten times a day and replace them by nightfall. As Hegseth told Congress, “Massed, cost‑effective and attritable platforms with brief life‑spans are changing the character of war.”
China churns out commercial drones by the millions; the U.S. lagged behind until now. That gap closes now—with industrial cooperation, private capital, and soldier‑engineer integration guiding the charge.
Why Now? Theater, Threat, and Tech
Look around the globe: drone‑heavy theaters like Ukraine, Israel, and Red Sea theater show one rule—sky supremacy equals battlefield supremacy. Iran‑aligned Houthi drone swarms practically shut down shipping in the Red Sea. Ukrainian attack drones crippled Russian strategic bombers. Israel uses drones for commando‑level surgical strikes. Seeing that, Hegseth raced to hard‑wire a force that can replicate and surpass these asymmetric advantages.
We’re talking more than buzzwords here. AI‑driven command networks, decentralized purchasing, 3D‑printed drone guts in forward units—this is procurement rebuilt. It’s speed, lethality, and adaptability, baked into the very DNA of U.S. forces.
The Ripples in the Ranks
From the infantryman learning drone‑swarm takedowns in force‑on‑force exercises, to the colonel slashing legacy aircraft lines to fund UAS battalions, this is seismic. It’s not just doctrinal—it’s cultural. The military is shifting from iron‑bird dependency to silicon‑swarm dominance. The soldiers carrying SaKrs and M4s? They might soon call an aerial ally from their pocket to hunt sneaky IED‑dropping bugs in the next firefight.
But It’s Only the Beginning…
Yes, there’s no new line‑item fund. Funding is baked into FY‑2026 budgets. Execution matters. Memos become plans. Intelligence integration becomes rules of engagement. Commanders must adapt fast—and Congress will watch dollars and casualties with hawk eyes.
Will the bureaucracy swallow its pride? Will local acquisition offices bend? Will old‑guard flags resist the dismantling of legacy air systems? Doubt and friction will test what Hegseth preaches.
The Last Round
By resonating across the defense industrial base, revitalizing frontline empowerment, and ushering in a doctrine of American drone dominance, Pete Hegseth is flipping procurement on its head—and betting the future of warfare on robotic wings.
If these drones fly, strike, and kill as promised—Hegseth won’t simply spark a revolution. He’ll own it.