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The U.S. Department of Defense has mandated defense contractors eliminate Chinese rare earth elements from supply chains by 2027. The move challenges China's 70% control of global rare earth processing and forces creation of parallel supply networks. Domestic producers race to build capacity as the deadline threatens billions in defense contracts.
ZenaTech announced development of a single-use autonomous interceptor drone designed for counter-drone operations in U.S. defense, Middle East and Ukraine applications. The prototype development by the company's ZenaDrone subsidiary targets hostile drone threats.
VisionWave Systems secured a seven-figure defense contract in January 2025 for hierarchical AI in air and ground operations, while the U.S. Army established a framework with Appian for enterprise automation. The moves reflect Pentagon efforts to match China's military AI investments, with custom Intel-NVIDIA processors addressing security requirements commercial chips cannot meet.