Interview, Fireside Chat
Inside the Myths: Emil Michael on Palantir, SpaceX, Anduril & the Modern DoW
- Michael is the Under Secretary of War for Research and Engineering, with oversight of DARPA, the Missile Defense Agency, the Office of the Chief AI Officer, and the Defense Innovation Unit (DIU).
- His primary mandate is to spawn five new defense technology companies within the next decade to challenge established primes like Lockheed Martin and Northrop Grumman.
- Michael views his current role as analogous to his past tenure at Uber, framing the Department of War as a competitive market facing rivals akin to "Lyft" (domestic inefficiency) and China (geopolitical adversary).
- The Department's budget strategy involves reducing bureaucratic waste to redirect nearly $1 trillion in funds toward modernizing capabilities, specifically countering Chinese advancements in hypersonics and space.
- Recent executive orders and an AI Action Plan establish a U.S. commitment to AI dominance, focusing on securing data center power (including nuclear), fast-tracking permitting, and retaining advanced chip manufacturing within the U.S.
- Michael has condensed the Department's technology focus from 14 areas to six critical priority areas to ensure organizational clarity and execution speed.
- The six prioritized technology areas are: Applied AI (adapting commercial AI for defense), Scaled Hypersonic Weapons (reducing costs to match adversaries), Directed Energy (lasers for drone/missile interception), Contested Logistics (sustaining forces in "tyranny of distance"), Battlefield Information Dominance (sensor integration), and Biomanufacturing (using biology for materials and synthetic blood).
- Michael characterizes the current geopolitical climate as a "1938 moment," necessitating the re-domestication of critical supply chains, particularly in critical minerals and pharmaceuticals, to prevent dependency on adversarial nations.
- A major lesson from the Russian-Ukrainian conflict is the shift toward "robot-on-robot" warfare, driving an urgent need for both offensive drone arsenals and defensive counter-drone systems.
- The Department recently finalized three deals within 45 days to secure critical mineral supply chains, reducing reliance on China.
- Michael cites the rapid development of fiber-optic communication for drones (bypassing jammed satellites) and automated target recognition software as key innovations observed in Ukraine.
- Michael identifies the biggest capability gap as the U.S. lack of affordable, scalable hypersonic missile capabilities compared to China's existing arsenal.
- Michael addresses misconceptions about Palantir, characterizing it as a "nuts and bolts" software firm that solves basic logistical problems like inventory tracking for tanks and munitions, rather than a controversial "evil" entity.
- He argues that criticism of defense tech companies often stems from a lack of exposure to the realities of conflict and the necessity of "extreme violence" to deter adversaries.
- Michael praises Secretary Pete Hegseth as a "political disruptor" with a "clean sheet of paper" approach, noting Hegseth's lack of defense industry bias allows for unbiased assessment of broken systems.
- Michael contrasts his relationship with Hegseth to his time with Travis Kalanick, shifting from competitive "idea crushing" to a collaborative, mission-oriented partnership focused on structural reform.
- Forward-looking initiatives include a department-wide launch of AI applications for intelligence, logistics modeling, and physics-based design simulations.
- Michael highlights specific emerging partners in the defense sector, including Planet Labs (satellite imagery), Neos (drones), and Hadrian (AI manufacturing).
- The Department is actively inviting 100–200 tech companies to participate in contests and awards to lower barriers for startups entering the defense market.