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In an effort to comply with the 2011 Budget Control Act, the Department of Defense has proposed a “difficult but manageable” budget that will save approximately $259 billion over the next five years, totaling $487 billion in savings within a decade. Coordinated with President Obama’s defense strategy guidance, this new budget provides a glimpse into the government’s evolving national security priorities, focusing on military agility abroad and economic stability at home. 

Among the major takeaways is a strategic shift from an emphasis on land-based conflict to one conducted via sea and air, where the U.S. believes it can best exploit its comparative advantages. In concert with withdrawals from Afghanistan and Iraq, the Army is expected to see eight of its brigade combat teams dissolved. This would be but one component of the suggested 15% reduction in the Army’s total active forces. As the government grows reluctant to engage in large-scale and prolonged military operations, the Marine Corps, too, would not escape unscathed. Its total number faces a 10% reduction, including the loss of at least one infantry regiment, with more potentially on the table. What is more, the procurement of F-35 Joint Strike Fighters would be cut from 42 to 29, along with additional delays. 

In contrast, the Navy and Air Force stand to gain from the DOD’s realignment of priorities. The Navy would retain its current fleet of eleven aircraft carriers and ten air wings, while enhancing its submarine cruise missile capacity. Not to be outdone, the Air Force would continue to receive funding for its new long-range bombers, and drone patrols could increase in capacity from 65 to 85, calling attention to the perceived need for military flexibility.

This brings us to another notable focal point – the DOD’s technological capabilities. In an effort to remain responsive and keep pace with other nations, the government would maintain its financing of unmanned intelligence, surveillance, and reconnaissance (ISR) systems on a broader basis, and funding for cyber operations would actually jump – one of the few defense projects to receive such a boon.

Yet Leon Panetta and others have not completely abandoned their previous military champions. For example, in contrast to the diminution of general ground forces, the DOD intends to stay the course concerning its special operations forces. The number of these elite groups has doubled since 2001, and their continuance reflects the Department’s ongoing counterterrorism efforts.

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Photo of Kate Growley Kate Growley

Businesses around the globe rely on Kate M. Growley to navigate their most challenging digital issues, particularly those involving cybersecurity, artificial intelligence, digital infrastructure, and their intersection with national security. Clients seek her guidance on proactive compliance, incident response, internal and government-facing investigations…

Businesses around the globe rely on Kate M. Growley to navigate their most challenging digital issues, particularly those involving cybersecurity, artificial intelligence, digital infrastructure, and their intersection with national security. Clients seek her guidance on proactive compliance, incident response, internal and government-facing investigations, and policy engagement. With a unique combination of legal, policy, and consulting experience, Kate excels in translating complex technical topics into advice that is practical and informed by risk and business needs.

Kate has extensive experience working with members of the U.S. government contracting community, especially those within the Defense Industrial Base. She has partnered with contractors from every major sector, including technology, manufacturing, health care, and professional services. Kate is an IAPP AI Governance Professional (AIGP) and a Certified Information Privacy Professional for both the U.S. private and government sectors (CIPP/G and CIPP/US). She is also a Registered Practitioner with the U.S. Cybersecurity Maturity Model Certification (CMMC) Cyber Accreditation Body (AB).

Having lived in Greater China for several years, Kate also brings an uncommon understanding of digital and national security requirements from across the Asia Pacific region. She has notable experience with the regulatory environments of Australia, Singapore, Japan, and Greater China—including the growing regulation of data flows between the latter and the United States.

Kate is a partner in the firm’s Washington, D.C., office, as well as a senior director in the firm’s consultancy Crowell Global Advisors, to which she was seconded for several years. She is a founding member of the firm’s Privacy & Cybersecurity Group and part of the firm’s AI Steering Committee. She has been internationally recognized by Chambers and named a “Rising Star” by both Law360 and the American Bar Association (ABA). She has held numerous leadership positions in the ABA’s Public Contract Law and Science & Technology Sections and has been inducted as a lifetime fellow in the American Bar Foundation.