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The industry used to be dominated by a handful of large players, but now there are several factors tilting the advantage towards startups: The United States Department of War is reforming its procurement process to expedite purchases The future of warfare is centered around AI and autonomous systems VC investors are flocking towards defense tech and setting up defense tech-specific funds All of these factors benefit tech-savvy startups who, with venture funding, can often develop military technologies more quickly than traditional defense contractors