“Robin Hood In Reverse”: The Pentagon Is Stealing From the Working Poor to Pay for War and Enrich Contractors

In an era of high prices for fuel, food, and housing, an extra $4,000 could make a lifesaving difference for many families. But instead, that’s what the average household had to shell out for the Pentagon last year.

That’s right: The average US taxpayer in 2025 had over $4,000 taken out of their paychecks to fund the Pentagon, according to the National Priorities Project at the Institute for Policy Studies. In the coming years, that amount is set to rise as Congress considers a $1.5 trillion war budget for 2027.

For the growing number of working poor in the United States, that money can mean the difference between making rent or falling behind, or between being able to afford an emergency trip to the doctor or going without care.

Money directed to the Pentagon represents nothing but betrayal for many Americans. A large majority oppose our wars, especially the latest conflict in Iran. And roughly half of the Pentagon’s budget flows to for-profit contractors, fueling the billionaire (and now even trillionaire) class.

Take SpaceX, one of many companies built on government contracts funded by taxpayer dollars. Elon Musk’s company would not exist without US taxpayers. As early Tesla investor Ross Gerber put it, “There would not be (Tesla and SpaceX) if it weren’t for the government.”

Early investments and contracts from the US government helped propel SpaceX to success, while continued awards from the Pentagon provided the stable revenue that made the government one of Musk’s largest customers. The company is now valued at more than $1 trillion. Private investors alone did not make Musk a trillionaire—taxpayers across the United States did.

But Musk isn’t the only person who made himself rich off the backs of American workers.

Lockheed Martin receives over 70% of its revenue from US government contracts. The numbers for Raytheon and General Dynamics are similar. These military contractors simply would not exist without the taxpayers—and a new $1.5 trillion budget would send hundreds of billions of dollars more to people who already have more than most Americans could even conceptualize.

At the same time, while taxpayers are subsidizing the military-industrial complex, the jobs those industries are allegedly providing are in decline, with the war industry creating over 2 million fewer jobs than it did 40 years ago.

Worse still, under the so-called “Big Beautiful Bill” Republicans passed a year ago, the money for these ever-rising Pentagon budgets comes directly from the Supplemental Nutrition Assistance Program (SNAP), Medicaid, and other programs that help Americans make ends meet.

Under those cuts, millions of Americans—including children—have lost SNAP benefits already. And that’s impacting not just families but the farmers who helped feed them.

SNAP benefits were “guaranteed money in the pockets of farmers,” said Reese Amxy, a policy organizer at the Illinois Stewardship Alliance. But 150,000 people in the state have already lost eligibility.

It’s not just Illinois. Arizona has seen the steepest decline, with 50% of recipients—nearly half a million—already losing benefits. Louisiana (21%), Florida (20%), Oklahoma (16%), Virginia (16%), Texas (14%), Wyoming (13%), and Arkansas (12%) round out the rest of the hardest hit states so far.

Yet the person who lost SNAP and the farmer who lost their income alike will be asked to foot the bill for the $1.5 trillion war budget. This is Robin Hood in reverse. Worse still, the weapons those taxes buy are often to use to kill children like ours in Gaza and Iran.

The weapons and tech CEOs that would benefit from the massive war budget, and the politicians bought off by them, seek to keep this cycle going next year at an even grander scale. Americans need to demand their lawmakers say no more Pentagon spending—and invest in the things that actually keep our communities safe instead.

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Anduril Unveils Tiltrotor Killer Drone Straight Out Of ‘Terminator’

Palmer Luckey’s defense company Anduril Industries unveiled Thunder, an autonomous aircraft designed to deliver missiles, drones, electronic-warfare systems and cargo into heavily contested airspace.

“In this new era of maneuver warfare, we need eyes for what’s ahead and a shield for what we can’t afford to lose,” Anduril wrote in a tweet.

Thunder is a Group 5 autonomous attack rotorcraft, meaning it weighs more than 1,320 pounds, as shown in the UAS classification chart below, courtesy of Piper Sandler.

Anduril noted, “A first of its kind for attack aviation. A thunderous step forward for maneuver dominance.”

Thunder’s modular payload bays can carry configurations including 10 air-to-ground missiles, 16 Altius-600 launched effects, or 76 70mm rockets, plus 12 counter-drone interceptors.

Pairing three Thunders with a single Apache helicopter could triple the formation’s available munitions without putting additional human pilots at risk.

Anduril added, “Mass is only achievable if the platform delivering it is producible and affordable. The common dual-use baseline behind Thunder drives the economies of scale, expanded demand, and broad supply chains critical to drive down costs and de-risk the pathway to large-scale production.”

X users are pointing out that Anduril just made the “tilt rotor version of the Terminator Hunter Killer drone.

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Lockheed Martin To Produce Cheaper Patriot Interceptor Missiles To Address Skyrocketing Demand for Air Defense

Air defense is the name of the game.

It’s an unfortunate fact that we live in an increasingly dangerous world full of conflict.

Everywhere you turn, countries are hearing the martial drums in the air, and are rearming like there’s no tomorrow.

And in this brave new world of cheap swarming drones, the biggest bottleneck in the defense procurement of these countries is the air defense systems and intercepting missiles.

It also doesn’t help that the most sought-after systems and missiles, the Patriot, are exceedingly expensive and slow to manufacture.

In this scenario, Lockheed Martin announced today (20) a lower-cost Patriot interceptor, as the established defense contractors ‘face competition from startups making low-cost weapons that can ​be produced at scale’.

Reuters reported:

“Lockheed said its new PAC-3 Adapted Capability Effector, or ​ACE, missile would cost less than half as much as its ⁠PAC-3 MSE interceptors, which cost roughly $4 million per missile, according to U.S. ​Army budget documents.

Initial production could start within 36 months, the company said, adding that ​it plans to develop and manufacture the weapon with U.S. and European industry partners.

‘American and allied warfighters need a solution that is battle-tested and budget-smart’, Tim Cahill, president of Lockheed Martin ​Missiles and Fire Control, said in a statement at Britain’s Farnborough Airshow.”

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Report: Trump Sons Build Defense Portfolio as Pentagon Billions Flow

President Donald Trump’s sons have built a broad portfolio of defense technology investments as their father’s administration directs more money toward drones, robotics, artificial intelligence, and other new weapons systems.

Funds linked to Donald Trump, Jr. and Eric Trump have invested in at least 15 companies seeking business from the Pentagon and other federal agencies, according to a Washington Post analysis. Most of the investments came after Trump won reelection.

Since the sons invested, says the report,

The companies have collectively generated at least $3.2 billion in direct government business since the sons invested and an additional $3.1 billion in future contract options. Some have gained coveted spots on shortlists of preapproved contractors that can bid exclusively on up to nearly $200 billion in future work.

The explosion of the family’s financial wealth does not stop with the sons. A disclosure filed in 2026 showed that Trump himself reported at least $2.2 billion in income for 2025, up from about $600 million the previous year. That works out to roughly $6 million per day. His accounts also made thousands of securities trades across the economy, including investments in defense companies and other industries heavily regulated by, or dependent on, federal policy.

The Money Trail

The Trump sons’ investments reportedly flow mainly through two firms.

Donald Trump, Jr. joined venture-capital firm 1789 Capital as a partner within days of his father’s 2024 election victory. The firm promotes what its partners call “patriotic capitalism.” It invested in 11 of the 15 defense, robotics, and AI companies identified by The Post.

Meanwhile, Eric Trump has invested primarily through American Ventures. The firm operates through Dominari Holdings, a small investment bank based in Trump Tower. Eric Trump told the outlet that he was “one of several passive investors.”

Neither brother holds a government position. Neither had notable experience in defense technology before the investment drive began. Both remain executive vice presidents of the Trump Organization.

The Companies

The companies that the Trump-linked firms invested in range from industry giants to little-known startups.

Elon Musk’s SpaceX accounted for about $2.1 billion in direct federal business after the investment and another $1.2 billion in potential commitments, according to The Post. Musk was also Trump’s largest financial backer in 2024. He spent nearly $300 million supporting Trump and other Republicans.

SpaceX was already deeply dependent on Washington. As of February 2025, it reportedly held about $22 billion in government contracts, including roughly $15 billion from NASA.

Its military role has since expanded sharply. This May, SpaceX won a $4.16 billion Space Force contract for satellites designed to track and target airborne threats. Days earlier, it secured another $2.29 billion to build a military satellite communications network.

Those systems could form important parts of Trump’s controversial Golden Dome missile shield. SpaceX was previously identified as a leading contender for the program, alongside Anduril and Palantir (all run by Trump’s mega donors).

Anduril ranked second in The Post’s tally. It accounted for about $1 billion in direct government business and another $122.9 million in potential work. The company builds autonomous drones, surveillance systems, missiles, and counter-drone technology.

Together, SpaceX and Anduril accounted for 97 percent of the direct federal money identified by The Post.

The remaining investments covered automated weapons factories, rare earth magnets, quantum computing, humanoid robots, drones, rocket fuel, and targeting software. Hadrian and Vulcan Elements secured the largest potential commitments among the smaller firms. Other companies included Databricks, Foundation Future Industries, Unusual Machines, Firehawk Aerospace, Perplexity AI, PsiQuantum, and Aeon Industrial.

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Report: Indian Businessman Poses as CIA Agent to Land Billion-Dollar ‘Defense’ Deal with Indonesia

An Indian businessman named Gaurav Srivastava allegedly passed himself off as an operative of the American Central Intelligence Agency (CIA) to close a multi-billion dollar defense deal with the Indonesian government, according to civil suits filed in the United States by his former business partner.

report from a U.S.-based non-governmental organization (NGO) called the Organized Crime and Corruption Reporting Project (OCCRP) quoted the lawsuits filed in New York and California by Srivastava’s former business partner, Niels Troost.

According to the lawsuits, Srivastava somehow persuaded then-Indonesian Defense Minister Prabowo Subianto, currently the president of the country, that he was a CIA agent when the two attended high-level military procurement meetings in Washington and Jakarta in 2020.

By the end of that year, the faux CIA agent had alleged secured three “letters of intention to purchase” jet fighters and other defense items from the Indonesian government. He scored two more defense procurement commitments in 2021 and 2022. Products mentioned in the deals included big-ticket items like F-15 jet fighters, UH-60 Black Hawk helicopters, and C-130 transport aircraft.

Troost said Srivastava grew quite close to Subianto, becoming a frequent guest at his home and developing ties with his brother, a prominent Indonesian businessman. Subianto went on to become the president of Indonesia in October 2024.

The Indonesian Defense Ministry told Tempo, the OCCRP’s Indonesian partner, that all of the agreements secured by Srivastava were “preliminary,” none were binding contracts, and none led to a purchase by the Indonesian government.

“The entire process of Indonesian defense cooperation and procurement is always carried out with utmost caution, prioritizing the principles of good governance, national interest, and compliance with applicable mechanisms and regulations,” a defense ministry spokesperson insisted.

However, OCCRP noted that Subianto was photographed with Srivastava at signing ceremonies, Srivastava held press conferences to announce purchase agreements, and the U.S. government even issued formal approval for the sale of 36 F-15s in 2022 – the exact number of fighter jets mentioned in the agreements with Srivastava.

According to Troost, the reason he brought all of this up in a pair of U.S. lawsuits is that he was convinced Srivastava was a CIA agent. On that basis, he gave Srivastava a 50 percent share of his own company, believing the CIA man could help him win lucrative contracts with customers like Indonesia.

Srivastava allegedly proceeded to loot $51 million from Troost’s company and “loan” it to the Arsari Group, a company headed by Subianto’s brother. Srivastava then convinced the Arsari Group to give the loan money to him. He was able to wheedle the Indonesian company into giving him half, and proceeded to blow the money on a $25 million mansion in Los Angeles.

Srivastara allegedly presented himself as a mogul who controlled four firms of his own, but all four turned out to be shell companies that were eventually deregistered for not paying their taxes. None of those companies were named in the U.S. government approval for the F-15 sales to Indonesia. Boeing, which was involved in the process, gave up trying to sell F-15s to Indonesia four years later because Jakarta never finalized the deal. Subianto’s government is now shopping for Turkish-built KAAN jet fighters.

Indonesian authorities say they are investigating these transactions for possible corruption charges. Meanwhile, Troost went after Srivastava in New York and California on racketeering charges. In one of these filings, Troost referred to Srivastava as a “brazen con man of remarkable skill.”

Niels Troost is himself an interesting character, a Dutch commodities trader based out of Switzerland who was sanctioned by the European Union, and several individual European governments, for allegedly buying banned Russian oil after the invasion of Ukraine in 2022.

The EU and Switzerland lifted their sanctions against Troost this year. Troost has claimed the sanctions were partly a result of his massive international business feud with Srivastava and has said he would not buy Russian oil because he supports Ukraine.

Srivastava, in turn, denies all wrongdoing and claims Troost’s allegations against him are part of an “aggressive scorched-earth disinformation campaign.”

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Kuwait Turns To Anduril For $2 Billion Counter-Drone Shield After Horrifying Airport Attack

The moment an Iranian Shahed-136 drone struck Kuwait International Airport last week appears to have been a major wake-up call for Kuwaiti officials. The incident likely crystallized a troubling reality: legacy air-defense systems are not enough to counter the Shahed drone threat spreading across the Gulf, and Kuwait needs to supercharge the deployment of layered counter-UAS systems with both electronic and kinetic defeat capabilities.

The State Department revealed shortly after the airport attack last week that it approved a potential $1.98 billion foreign military sale to Kuwait for Anduril-made counter-drone systems.

“The Government of Kuwait has requested to buy counter-unmanned aerial systems platforms,” the State Department wrote in a press release.

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Goldman Sits Down With Anduril As ‘War Unicorns’ Reshape Defense Tech

Palmer Luckey’s defense startup, Anduril, is emerging as the Department of War’s answer to the urgent need for affordable, scalable advanced weaponry produced at lightning speed, rather than through the slow, over-budget procurement cycles that have long defined the legacy primes.

The twin conflicts raging across Eurasia and the Middle East, from the Russia-Ukraine war to the U.S.-Iran war, have forever altered modern warfare, with drones, seaborne drones, ground robots, and AI kill chains now reshaping the battlefield.

The quick rise of Anduril, something we call a “war unicorn,” has attracted the attention of Goldman analysts, who recently felt compelled to sit down with Anduril executives to better understand the story and how it will play a major role in the next phase of rebuilding America’s defense-industrial base.

Analyst Noah Poponak recently hosted Anduril co-founder and CEO Brian Schimpf and head of investor relations Allison Lazarus in New York to gain more color on how the defense company is solving the defense industry’s biggest bottleneck, speed.

Oculus headset creator Palmer Luckey, who founded the company in 2017, has focused on building lower-cost, scalable systems in categories such as drones, counter-UAS, and missiles, positioning itself against a legacy defense-industrial base that includes Lockheed Martin, Boeing, and many others.

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Five Shameless Moments of Iran War Opportunism & Grifting

As the U.S. blockade on the Strait of Hormuz threatens an already tenuous ceasefire between the U.S. and Iran, many at home are looking to profit. Below are five examples of wartime grifters, profiteers, and opportunists absolutely outdoing themselves.

Lockheed Martin CEO: wartime Trump Pentagon a “golden opportunity”

Late last month, Lockheed Martin CEO Jim Taiclet lavished praise on the Trump administration for rolling out the red carpet to the defense industry.

“This is a golden opportunity right now based on who’s in government,” Taiclet told investors during an earnings call. He cited in particular officials’ “willingness to change” and “the demand that they have for what we do and what our partners in our industry do.”

That “demand” of course is war, and the administration has pretty much been in it since Trump’s 2025 inauguration, from supporting Israel in its Gaza and Lebanon operations, firefights with the Houthis, and now Iran. Lockheed has signed billions in contracts with the Pentagon since the beginning of the year, mostly to replenish missiles. Lockheed Martin also has an agreement with the Pentagon to quadruple its production of THAAD interceptors by 2027.

And the U.S. has used many of them both. As the Center for Strategic and International Studies found late last month, the U.S. has burned up over 45% of its Precision Strike Missiles (PrSMs) and roughly half of its THAAD and Patriot missile defense interceptors.

To refill these stocks, the U.S. is mulling a possible Iran war supplemental package — slated to cost an estimated $80 to $100 billion — to replace lost munitions and other military equipment. According to Mike Fredenburg in his reporting for RS in 2024, the U.S. pays way too much for each missile, a lot more than it should for say, a SM-2 missile ($1.2 million-$2 million a piece) or SM-6 (upwards of $5 million each), but since there are only a handful of prime contractors in the business, they can charge whatever they want.

As Stephen Semler, journalist and co-founder of the Security Policy Reform Institute, tells RS, “The interceptor shortage will be addressed in the military-industrial-congressional complex’s favorite way: throw money at the problem.”

Trump’s sons roll in the drone industry dough

Powerus, a drone firm funded by President Trump’s sons, Eric Trump and Donald Trump, Jr., received an Air Force contract for an unspecified number of interceptor drones last week. Bloomberg reported last month that Powerus is also in talks with the United Arab Emirates about a potential sale of drones that can counter Iranian attacks.

In recent months, the Trump brothers have gone all out on defense tech, lining themselves up to profit from the wars their father is waging. Besides Powerus, Eric Trump has invested in Israeli attack drone firm and DoD contractor Xtend, whose drones have seen use in Iran, through a multimillion dollar contract with an unnamed Middle Eastern government. Donald Trump Jr., for his part, backs drone parts startup Unusual Machines and is also a partner at defense- and tech-oriented venture capital (VC) firm 1789 Capital.

Keith Kellogg, Trump’s former special envoy to Ukraine, also joined Powerus as an advisor last month, mere months after leaving his diplomatic post — likewise positioning himself to cash in on his time in government.

Defense-contractor funded think tanker: Iran war is a bargain!

Last week, the Pentagon estimated that the Iran war has cost about $25 billion. Matthew Kroenig, a senior director at the defense contractor-funded Atlantic Council, called the low-ball price tag a “very good value.”

“The entire U.S. defense budget is roughly $1 trillion and designed to deal with ChinaRussia, North Korea, and Iran,” Kroenig wrote on X. “It only cost 2.5% of the annual defense budget to seriously degrade one of the four.”

But others have to pay for Kroenig’s bargain.

“I’m sure the farmers, trucking companies, and other small businesses that are going belly up because of soaring gas prices won’t be surprised to hear that a war industry funded think tank believes the Iran war is a ‘very good value,’” Ben Freeman, director of the Democratizing Foreign Policy program at the Quincy Institute, told RS.

The total cost of the Iran war has been a point of contention. Critics challenged the Pentagon’s $25 billion estimate; U.S. officials have since told CBS the conflict has cost around $50 billion. Last month, Harvard economist Linda Bilmes predicted taxpayers will pay at least $1 trillion for it in the long term. And none of these estimates include the broader impact of the war on the global economy.

According to the Quincy Institute’s Think Tank Funding Tracker, the Atlantic Council has received nearly $13 million from Pentagon contractors since 2019.

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Reuters Peddles Fake News After Defense Contractor Misuses Civilian Starlink Terminals

Reuters dropped another misleading article today – this time attempting to manufacture drama between the Pentagon and SpaceX over Starlink usage during the Iran conflict.

The story framed routine commercial contract discussions and terms-of-service enforcement as major “tensions” and growing Pentagon reliance giving Elon Musk undue leverage.

Reuters’ version of events was that SpaceX used wartime urgency to raise the price of Starlink connections on U.S. drones from roughly $5,000 to $25,000 per terminal, forcing the Pentagon to pay up while exposing how dependent the military has become on Musk-controlled infrastructure.

The reality, according to Musk, is that the dispute centered on a more basic issue: a drone manufacturer or contractor allegedly used civilian Starlink terminals on military weapon systems, including drones, in violation of Starlink’s commercial terms of service, when the proper government and defense product is Starshield. In other words, Reuters framed the episode as a price-gouging and leverage story, while SpaceX and the Pentagon framed it as a contract-compliance story involving the misuse of civilian satellite service for weapons applications.

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Trump wages war, his sons get payoff through savvy investments

The U.S. military desperately needs drone capabilities for President Donald Trump’s war in Iran, and fast. Coincidentally, his sons Eric and Donald Trump Jr., are on the case.

Indeed, the Trump brothers are pumping money into defense-tech oriented firms that have already secured Pentagon contracts, or have already put battle-tested products to market. For example, they’ve invested in Powerus, a new drone company aiming to harness its “strong relationship with Ukraine” as a means to acquire and leverage war-tried Ukrainian drone technologies in a competitive U.S. market. Having bought out several competitors, Powerus already does business with the U.S. military.

In other words, the Trump family stands to benefit financially from the war, and already are.

Eric Trump also invests in Israeli drone firm and DoD contractor Xtend, whose “low cost-per kill” attack drones have been used by the IDF in Gaza. Expanding to the U.S., the company opened an office near Tampa last summer.

Donald Trump Jr. has a $4 million stake in, and sits on the board of Unusual Machines, a drone parts startup. In December, it secured a $620 million DoD loan — the largest loan in the history of the Pentagon’s Office of Strategic Capital — to make drone parts.

And Trump Jr. is a partner at 1789, a “patriotic capitalist” venture capital firm which backs a number of defense-tech startups. The firm, which Trump Jr. joined in November 2024 — right after his father was re-elected to the presidency — has since seen explosive growth: the assets it manages jumped in value from $150 million to more than $2 billion by the end of last year.

Suggesting the firm influences U.S. policy outright, Trump Jr. explained at a Future Investment Initiative event last year that 1789 “understand[s] what the administration wants to do, because [the firm] helped craft some of the messaging.”

Conflicts of interest percolate

As William Hartung, a Quincy Institute senior research fellow, tells RS, the Trump family’s defense-tech pursuits can be linked to a larger network of technology firms and venture capitalists that has significant influence within the Trump administration.

“The emerging military tech sector has deep ties to the administration, starting with vice-president J.D. Vance’s relationship with Palantir founder Peter Thiel, who employed Vance and helped fund his Senate run,” Hartung said. “The fact that Donald Trump Jr. — not only the president’s son but a close political advisor and unofficial spokesperson — will now profit personally from the fate of specific military tech firms adds an even more profound conflict-of-interest.”

To this end, 1789’s portfolio includes a number of defense-oriented companies, such as Anduril, HadrianSpaceX, and Vulcan Elements, a DOD contractor that makes rare-earth magnets, which are also backed by controversial venture capitalist Peter Thiel or his VC firm Founders Fund. A Silicon Valley kingmaker and Palantir co-founder to boot, Thiel has simultaneously worked to influence U.S. politics, bankrolling Congressional campaigns while many in his orbit now occupy major positions in the Trump administration.

Notably, Trump Jr. also sits on the advisory board of controversial prediction market Polymarket — which 1789 and Thiel’s Founders Fund also back — fostering an environment where people with insider awareness regarding the outcomes of world events could theoretically profit from that knowledge.

Hartung warns such political access — and, in the case of 1789, venture capital funding — can give certain defense-tech startups an unwarranted edge.

“Venture capital allows firms to stay in the market longer before they score their first big government contract, be it with the Pentagon, an intelligence agency, or the Department of Homeland Security,” Hartung told RS. “But once these influential firms have sunk substantial funds in a startup, they may use their influence to get that firm a contract whether or not its technology is ready for prime time, just to get a return on funds invested up to a given point in time.”

“If they can recruit the president’s son to join in boosting a particular firm, whether or not its product has been proven effective, they have a whole new level of influence, which can be wielded to serve their financial interests rather than the public interest,” Hartung said.

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