Following a tumultuous start to fiscal year 2026, including a government shutdown that lasted 43 days, the National Defense Authorization Act for fiscal year 2026 (NDAA 2026), Pub. L. 119-60, was passed by Congress and signed into law on December 18, 2025. NDAA 2026 is a critical legislative act, setting acquisition reforms and policies and authorizing appropriations and funding levels for the Department of Defense (DoD). With $900.6 billion in funding for the DoD, NDAA 2026 contains a plethora of acquisition reform provisions and critical updates impacting defense contractors. Title XVIII of NDAA 2026 significantly increased certain acquisition thresholds, including triggers for the Truthful Cost or Pricing Data Act (formerly the Truth in Negotiations Act) and Cost Accounting Standards application, which you can read about here. Additionally, NDAA 2026 increases the thresholds for noncompetitive acquisitions and when information technology requirements qualify as a major system.Continue Reading FY2026 NDAA: Major Increases to Critical Acquisition Thresholds
Software Acquisition
FAR 2.0 Part 39 in Arcade Mode—How Federal IT Acquisition Just Hit Reset
For those who grew up gripping a joystick and dodging alien fire in Defender, riding ostriches through floating platforms in Joust, or crossing a hectic freeway in Frogger, winning wasn’t about memorizing rules; it was about adapting fast, reading the patterns, and leveling up. That same urgency now applies to federal information and communication technology (ICT) contractors. A sweeping overhaul of FAR Part 39 has just been released, and while it may not blink and beep like a cabinet in a darkened arcade, it’s just as demanding. There’s no attract mode here. The game has already started.Continue Reading FAR 2.0 Part 39 in Arcade Mode—How Federal IT Acquisition Just Hit Reset
Building the Cyber Fortress: New Cybersecurity Executive Order Targets Quantum, AI, and Supply Chain Security
On June 6, 2025, President Trump issued a new executive order, “Sustaining Select Efforts to Strengthen the Nation’s Cybersecurity and Amending Executive Order 13694 and Executive Order 14144” (EO), signaling the construction of a fortified cyber defense across federal operations. This directive updates the nation’s digital stronghold, modernizing risk management, defending against quantum and artificial intelligence (AI) threats, and drawing sharper lines in the battle against foreign cyber adversaries. For technology companies and federal suppliers, this is a clarion call to reinforce their digital walls and sharpen their defenses. Agencies will soon build these secure-by-design principles into every contract and procurement decision. In this era of fortress-building, failing to meet these standards not only will leave your gates unguarded but also could bar you from the entire federal marketplace. The EO may read like ordinary policy, but don’t be misled: It’s a direct command for companies to strengthen their cyber defenses or be locked out of federal opportunities altogether.Continue Reading Building the Cyber Fortress: New Cybersecurity Executive Order Targets Quantum, AI, and Supply Chain Security
OMB Issues Guidance to Agencies on Responsible Artificial Intelligence Acquisitions
Contractors interested in offering federal agencies artificial intelligence (AI) can now glean insight into how agencies are expected to conduct AI acquisitions. On September 24, 2024, the Office of Management and Budget (OMB) issued Memorandum M-24-18, Advancing the Responsible Acquisition of Artificial Intelligence in Government (the Memorandum), providing guidance and directing agencies “to improve their capacity for the responsible acquisition of AI” systems or services, including subcomponents. The Memorandum builds on the White House’s Executive Order 14110, Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence, and OMB Memorandum M-24-10, Advancing Governance, Innovation, and Risk Management for Agency Use of Artificial Intelligence. Taking effect on March 23, 2025, M-24-18 will apply to all solicitations and contract option exercises for AI systems covered under the Memorandum.Continue Reading OMB Issues Guidance to Agencies on Responsible Artificial Intelligence Acquisitions
Executive Order 14410: An Artificial Intelligence Odyssey
What do you think is going to be scarier—artificial intelligence (AI) or the government’s effort to regulate AI? On October 30, 2023, the White House issued Executive Order (E.O.) 14410, Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence. As the federal government’s latest foray into harnessing AI, this E.O.—like those before it, generally—recognizes that AI offers extraordinary potential and promise, provided that it is harnessed responsibly to prevent the exacerbation of societal harms. Since E.O. 14410, there has been a flurry of activity in the federal government, including guidance and policies providing an indication of how agencies can/should/will harness AI to support agency objectives. While we are far from a situation similar to Skynet from the Terminator franchise or HAL 9000 from 2001: A Space Odyssey, the government’s accelerated activity to reap AI’s potential benefits far outpaces the provision of actionable guidance so contractors can understand and adapt to what will be required in offering AI products and services to the government. So let’s open the pod bay doors and explore…Continue Reading Executive Order 14410: An Artificial Intelligence Odyssey
National Defense Authorization Act FY 2018: Directions in Federal Software Acquisitions
On December 12, 2017, President Trump signed the $700 billion 2018 National Defense Authorization Act (“NDAA”) into law. Following negotiations between the House and Senate Armed Services Committees, the NDAA includes new provisions relating to software acquisition within Title VIII — Acquisition Policy, Acquisition Management, and Related Matters, Subtitle H, and the following five sections:
SEC. 871. Noncommercial Computer Software Acquisition Considerations.
SEC. 872. Defense Innovation Board Analysis of Software Acquisition Regulations.
SEC. 873. Pilot Program to Use Agile or Iterative Development Methods to Tailor Major
Software-Intensive Warfighting Systems and Defense Business Systems.
SEC. 874. Software Development Pilot Program Using Agile Best Practices.
SEC. 875. Pilot Program for Open Source Software.
