Defense Secretary Pete Hegseth on Monday used a visit to Jeff Bezos-backed Blue Origin’s Cape Canaveral facilities to underscore the Pentagon’s push to overhaul weapons buying and reward faster, lower-cost innovation, while sharpening his critique of traditional defense contractors.
Speaking alongside Bezos, Hegseth said the department is moving away from “business as usual,” praising Blue Origin for avoiding vendor lock-in and delays that have long plagued major programs. He contrasted the company’s progress with what he called a legacy model of over-budget, behind-schedule contracts, adding that those practices are no longer acceptable.
The visit builds on Hegseth’s broader campaign to reform defense acquisition as technologies like AI, autonomy and robotics accelerate. Last month, he delivered a similar message during a stop at SpaceX’s (SPACE) Starbase, lauding rapid iteration and bureaucratic speed.
Bezos echoed the emphasis on industrial capacity and tempo, saying national security depends on the ability to “design for scale” and produce at rate.
The administration’s stance comes as President Donald Trump pushes for a major increase in defense spending and publicly pressures large contractors to rein in stock buybacks, dividends and executive pay. Hegseth repeated that theme in Florida, saying he has no issue with profits, but expects companies to deliver promised capabilities on time for service members.
Blue Origin has gained momentum after years of delays, including a successful November flight of its New Glenn orbital rocket. The company has also narrowed its focus toward government work, hiring United Launch Alliance veteran Tory Bruno to lead national security efforts and recently pausing New Shepard space tourism flights to prioritize lunar and defense missions.
Hegseth’s “Arsenal of Freedom” tour has included stops at major primes such as Huntington Ingalls (HII) and Lockheed Martin (LMT), as well as newer defense entrants like Rocket Lab (RKLB), Castelion and Divergent Technologies, as the Pentagon seeks to broaden its industrial base and speed delivery.