White House and Anduril Partner to Build $6.6 Billion 'Software-Defined' Shipyard for Submarine Components

The Trump administration and defense technology firm Anduril Industries have announced plans to construct a new "software-defined" shipyard in Baltimore County, Maryland. This initiative aims to bolster the production of components for Virginia-class attack submarines for the U.S. Navy. The facility, named Arsenal-2, will receive up to $2.9 billion from the Navy and an additional $3.7 billion investment from Anduril itself.

White House Principal Deputy Press Secretary Anna Kelly highlighted the project's significance during a press call on Tuesday, emphasizing its role in enhancing America’s defense industrial base while also revitalizing domestic manufacturing sectors. The shipyard is expected to create over 13,000 jobs and generate $2 billion annually in economic output.

Construction of Arsenal-2 will begin immediately after securing necessary approvals from local authorities. Situated on a sprawling 187-acre site at Tradepoint Atlantic, the facility will cover more than two million square feet once completed. Anduril's industrial software platform, ArsenalOS, will serve as the digital backbone for the shipyard, integrating various production systems and processes to enhance efficiency.

Chris Brose, president and chief strategy officer of Anduril, explained that the company’s entry into submarine manufacturing is driven by a vision to modernize traditional shipbuilding methods through advanced technologies. "This initiative represents more than just building new submarines; it's about reimagining how shipyards operate," said Brose.

Anduril plans to produce components such as torpedo tubes and other critical parts at the facility, which will then be delivered to Electric Boat and Newport News Shipbuilding for final assembly. The company’s strategy involves leveraging digital tools and software advancements to streamline production processes, making them more accessible to a broader workforce while maintaining high standards of quality.

While Anduril is best known for its drone technology and AI-powered surveillance systems, the firm sees this venture as an opportunity to expand into manned submarine manufacturing. "We are not just about bending steel; we aim to revolutionize how complex tasks are managed in shipyards," Brose noted during the press conference.

To facilitate early production, Anduril is also establishing a smaller facility in Orange County, California, where simpler components will be manufactured before scaling up operations at Arsenal-2. This phased approach allows for gradual workforce development and supply chain integration, ensuring that the Baltimore site can eventually handle larger modules and ship sections.

The establishment of this new shipyard underscores the U.S. Navy's strategic focus on expanding its undersea capabilities to address potential future conflicts in the Pacific region. By integrating cutting-edge technology with traditional manufacturing practices, Anduril aims to contribute significantly to the nation’s defense infrastructure while fostering economic growth in Maryland and beyond.