New Navy program uses Palantir AI software to simplify shipbuilding

Navy Invests in AI for Shipbuilding Modernization

WASHINGTON — The Navy is making a significant investment in advanced technology to upgrade its fleet, committing $448 million to artificial intelligence (AI) and autonomous systems to improve shipbuilding processes.

The “Ship OS” system, built on software from the AI company Palantir, aims to streamline production, cut costs, and enhance the Navy’s shipbuilding efficiency, addressing persistent delays in the process.

This funding will predominantly focus on enhancing AI and autonomy in critical areas like ship design, construction, and operational support, giving commanders unprecedented access to real-time information.

Secretary of the Navy John Phelan pointed out that this investment equips shipyards and suppliers with necessary resources to modernize and meet national defense demands. “By enabling industry to scale AI and autonomy tools, we’re helping shipbuilders improve schedules, increase capacity, and lower costs,” he noted. “It’s about being smarter in our operations and building the capabilities needed by our Navy and country.”

Officials are optimistic that these innovations will boost the speed and efficiency of shipbuilding processes, ensuring the Navy can meet operational deadlines.

Palantir’s defense director and former Congressman Mike Gallagher (R-Wis.) mentioned that the program is already yielding “transformational” results. For instance, one supplier reduced 1,850 production days to just 75 days; what used to take 200 hours was completed in 12 seconds, with a notable 50% quality improvement, while another supplier decreased planning days by 2,500.

“ShipOS is aimed at empowering shipbuilders, providing taxpayers with greater value for their investments in shipbuilding, and ensuring that America maintains its dominance at sea,” Gallagher added.

This initiative comes at a time of intense global maritime competition, particularly with China modernizing its fleet at a rapid pace. In response, the U.S. military is exploring AI and robotics innovations to maintain its edge.

The program falls under a strategic effort to modernize the Navy’s fleet by integrating advanced technology throughout the shipbuilding lifecycle, from design to maintenance. By utilizing AI to enhance workflows and automate processes, the Navy hopes to significantly reduce construction timelines for new vessels.

The Navy explained that this effort offers a comprehensive, data-centric approach to production management. It integrates information from various sources, highlighting bottlenecks and streamlining workflows, thereby promoting proactive risk management and enabling quicker, more informed decision-making.