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Democrats decry move by Pentagon to pause $800 million in nearly done software projects
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Democrats decry move by Pentagon to pause $800 million in nearly done software projects
Aug 15, 2025 11:37 AM

WASHINGTON, Aug 15 (Reuters) - Democrats took aim at the

Trump administration after Reuters reported on Wednesday that

the Navy and Air Force were poised to cancel nearly completed

software projects worth over $800 million.

The reason for the move was an effort by some officials at

the services to steer new projects to companies like Salesforce ( CRM )

and Palantir ( PLTR ), in what could amount to a costly

do-over.

"The Pentagon has yet to show that it had a good reason for

halting these contracts in the last inning and scrapping work

American tax dollars have already paid for," Democratic Senator

Tim Kaine said in an emailed statement. "If it can't show its

homework, then this announcement - just days after Palantir's ( PLTR )

CEO spoke at Mike Johnson's Wyoming donor retreat - reeks of

corruption."

Punchbowl reported earlier this month that Palantir ( PLTR ) CEO Alex

Karp planned to address Republican House Speaker Mike Johnson's

annual big-donor retreat in Jackson Hole, Wyoming.

The Pentagon and Air Force did not immediately respond to

requests for comment. The Navy declined to comment.

Trump officials say the administration is striving to make

the contracting process more efficient. Trump took office vowing

to rid the government of what he calls waste and abuse. The

website of the Department of Government Efficiency, the agency

he created to spearhead those efforts, lists over $14 billion in

Defense Department contracts it claims to have canceled.

But seven months into his presidency, some of his own

actions have complicated DOGE's work, from firing the Pentagon's

inspector general to issuing an executive order prioritizing

speed and risk-taking in defense acquisitions.

"If you're serious about cracking down on waste, fraud, and

abuse, the last thing you'd do is cancel $800 million in

projects that are nearly ready to roll out just to turn around

and steer the same work to corporations of your choosing," said

Democratic Representative Maggie Goodlander, who sits on the

House Armed Services Committee and served as an intelligence

officer in the United States Navy Reserve for over a decade.

"This maneuver is an insult to taxpayers and servicemembers

across America," she added.

Salud Carbajal, another House Democrat who sits on the House

Armed Services Committee, said the behavior was part of a

pattern of waste at the Pentagon under Trump.

"I understand that our military's acquisition and

procurement processes aren't flawless, but this administration

has repeatedly shown a blatant disregard for the responsible use

of taxpayer dollars," said Carbajal.

"From lavish military parades to unnecessary troop

deployments in Los Angeles, President Trump has used our armed

forces to inflate his own ego and enrich his allies," he said,

adding that he would continue to call out mismanagement and

press for accountability.

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