growth[intelligence] April 14th 2026

• The 2027 President’s Budget Request (PBR) includes significant technology investments across both Defense and Civilian sectors. On the military side, notable investments include a more than $100 billion increase in investments in autonomous and unmanned systems. Federal civilian IT spending is set to increase from $68 billion this year to $75 billion next year. Cybersecurity will remain roughly flat at $12 billion. Members of the administration continue to testify to Congress this week on the PBR, providing more details and context to the request. Congress is likely to make significant changes to the requests before approval, but questions are already being raised about the likelihood of funding being passed on time by September 30th, as a 2026 funding impasse continues for the Department of Homeland Security.

• This month the Department of Justice announced a $17 million settlement with IBM over allegations that its DEI practices fell foul of antidiscrimination requirements in its Federal contracts. Federal contract holders and their subcontractors should be aware of the potential for enforcement action from the DOJ against DEI-related hiring, promotion or compensation practices.

• Anthropic CEO Dario Amodei met with White House officials last week as the government looks to defuse its ongoing dispute with the AI company. Federal officials are eager to gain access to Anthropic’s Mythos product, which has been able to identify “zero day” cybersecurity vulnerabilities in virtually every major computer system it has been tested against. Some recent reporting has indicated that the NSA is already using Mythos, even as the Department of Defense had acted to label Anthropic a supply chain risk. Experts predict that the capabilities of leading AI models are likely only to improve from here, forcing government and industry to continue to adapt.

• Prime Minister Mark Carney has invited 100 major global investors to a Toronto summit aimed at attracting trillions in global capital to Canada. The pitch intends to promote Canada as a stable place for investments in infrastructure, energy, and data centers. It comes after years of weak domestic investment, though recent foreign investment levels have begun to improve. Read more from the CBC here.

• The opening date for the Gordie Howe International Bridge that will connect Windsor, Ontario and Detroit, Michigan is being quietly negotiated between Canadian and US officials to avoid escalating tensions with the President, who has criticized the project and threatened to block it. Officials maintain the bridge is still expected to open in spring 2026, though no date has been set citing ongoing testing.

• The Canadian government has extended the bidding process for a major submarine contract, giving South Korea’s Hanwha Ocean and Germany’s Thyssenkrupp Marine Systems additional time to improve their proposals. The move indicates Ottawa is seeking stronger economic and industrial benefits tied to the deal, one of the largest defense procurements in Canadian history. A final decision on the winning bidder is expected later this year. Read more from the Globe and Mail here.

• Prime Minister Mark Carney welcomed Finnish President Alexander Stubb to Canada, the first visit by a Finnish President to Canada in 12 years. The two leaders agreed to deepen bilateral ties through expanded collaboration on Arctic security, advanced technologies, and AI. The countries committed to closer partnerships on critical minerals, quantum technology, and industrial development. They also pledged to strengthen defense ties and pursue greater security co-operation, including new intelligence-sharing arrangements.

• Prime Minister Mark Carney has invited 100 major global investors to a Toronto summit aimed at attracting trillions in global capital to Canada. The pitch intends to promote Canada as a stable place for investments in infrastructure, energy, and data centers. It comes after years of weak domestic investment, though recent foreign investment levels have begun to improve. Read more from the CBC here.

• The opening date for the Gordie Howe International Bridge that will connect Windsor, Ontario and Detroit, Michigan is being quietly negotiated between Canadian and US officials to avoid escalating tensions with the President, who has criticized the project and threatened to block it. Officials maintain the bridge is still expected to open in spring 2026, though no date has been set citing ongoing testing.

• The Canadian government has extended the bidding process for a major submarine contract, giving South Korea’s Hanwha Ocean and Germany’s Thyssenkrupp Marine Systems additional time to improve their proposals. The move indicates Ottawa is seeking stronger economic and industrial benefits tied to the deal, one of the largest defense procurements in Canadian history. A final decision on the winning bidder is expected later this year. Read more from the Globe and Mail here.

• Prime Minister Mark Carney welcomed Finnish President Alexander Stubb to Canada, the first visit by a Finnish President to Canada in 12 years. The two leaders agreed to deepen bilateral ties through expanded collaboration on Arctic security, advanced technologies, and AI. The countries committed to closer partnerships on critical minerals, quantum technology, and industrial development. They also pledged to strengthen defense ties and pursue greater security co-operation, including new intelligence-sharing arrangements.

DoW – The War Department’s CIO, Kristen Davies has moved to bring in new leadership at the OCIO after several high-profile departures in recent weeks. Ryan McCarthur will be returning to government as special advisor to the CIO for capability development and operational excellence, Kayla Huthoefer Nelson will be the new chief of staff, David Vaughn will be a technical advisor for data infrastructure and Marci McCarthy will be the new director of external engagements.

DHS – Republicans in Congress are considering a number of strategies to break the impasse surrounding funding for Homeland Security including potentially a party-line reconciliation bill. The Department has been under a lapse of funding since February and now faces major challenges with upcoming celebration’s tied to America’s 250th anniversary and the World Cup all amidst a complex threat landscape. Democrats and Republicans still appear to be far apart on the issues of judicial warrants and other restrictions on immigration enforcement activities. ICE Director Todd Lyons announced this weekend he would be leaving DHS in May to spend more time with his family. A replacement has not yet been announced.

GSA – Federal Acquisition Service commissioner Josh Gruenbaum left his post this week after a little more than a year. He will be replaced on an acting basis by longtime GSA official Laura Stanton. Gruenbaum, who joined GSA as part of the DOGE effort last year, was largely disengaged for the past few months according to news media reports. GSA this week announced it would be temporarily moving to share space with OPM at their office building while GSA’s headquarters is renovated. In the future, OPM and GSA will share office space at the newly renovated building.

Transportation – The Department of Transportation announced its upcoming BPA for software, SWES 2.0 would be superseded by a new 1DOT Digital Services BPA, which is tied to the 1DOT IT modernization initiative Secretary Duffy announced last summer. The new $1.9 billion 1DOT BPA will include much of the scope of the original SWES, and have both small and large business pools.

Labor – Lori Chavez DeRemer has left office as Secretary of Labor after a little more than a year in her post. She had been facing a number of ethics investigations. Deputy Secretary of Labor Keith Sonderling is now acting as Secretary following her departure.