The Pentagon has launched an 18-month competition called "Drone Dominance" The contest offers companies a share of $1.1 billion in contracts to build up to 300,000 drones.

The US military is looking beyond traditional defence giants as it races to build a massive fleet of low-cost combat drones, turning instead to startups founded by drone racers and hobbyists and even companies with roots in golf course monitoring and aerial light shows, according to a report by Washington Post. The push comes as conflicts in Ukraine and the Middle East have highlighted the growing role of small, inexpensive drones on the battlefield. The Pentagon believes the US needs to rapidly expand its drone capabilities and has launched an 18-month competition called "Drone Dominance" to identify the most promising manufacturers. The contest offers companies a share of $1.1 billion in contracts to build up to 300,000 drones. The Trump administration has proposed an even larger investment, seeking $54.6 billion in next year's defence budget to dramatically expand drone warfare programmes. Among the frontrunners is Neros, a California startup founded by former drone racing world champion Soren Monroe-Anderson, and Skycutter, a British company partnered with a Ukrainian drone manufacturer, according to the Washington Post. The drones being tested are relatively cheap, costing around $5,000 each, and are designed to be expendable in combat. Inspired by technology used in drone racing, they can manoeuvre at high speed and strike targets with remarkable precision. To select winners, the Pentagon created a series of challenges in which military personnel tested drones on missions ranging from long-range strikes to attacks inside structures. The Pentagon's goal is to encourage rapid innovation while avoiding the lengthy procurement processes that have traditionally favoured major defence contractors. 26 companies competed in the first round, which was held earlier this year at Georgia's Fort Benning. Skycutter emerged as the top performer of that round and secured the largest order of more than 2,500 drones. As the next round of the competition approaches, startups that began in garages and workshops are now competing for a place in what could become one of the largest military drone programmes in US history. Pentagon officials say future wars are likely to rely heavily on swarms of affordable drones.

Future spacecraft could use a single propellant to perform both rapid movements and slow, highly controlled adjustments.

The S&P 500 and Nasdaq indexes fell on Tuesday as a rebound in technology shares faded.

Alphabet entered a cloud service agreement with SpaceX to pay $920 million per month for 200 megawatts of capacity from October 2026 through June 2029.