Issue: ORN-2026-01

National Quantum Initiative Reauthorization: Sens. Todd Young, R-Ind., and Maria Cantwell, D-Wash., introduced the National Quantum Initiative Reauthorization Act to praise from industry leaders.

The National Quantum Initiative Act was initially signed into law by President Donald Trump during his first term in office in 2018. It expired in 2023, and efforts to reauthorize the program have since fallen short of passage. The new legislation would extend the original act’s funding timeline to expire in December 2034 and would authorize funding for multiple federal agencies to execute new quantum information science and technology research efforts.  That funding includes authorization of $85 million “for each of fiscal years 2026 through 2030” for QIST research and consortium activities within the National Institute of Standards and Technology and an additional $25 million for QIST research at NASA, particularly focusing on quantum satellite communication and quantum sensing work.  NIST would also be instructed to stand up to three new quantum centers dedicated to advancing research in quantum sensing, measurement and engineering, with $18 million available annually from FY2026 to FY2030 for each center. The NSF, in conjunction with leadership at NIST and the Energy Department — along with other federal agencies — would also host three new centers focused on quantum research and education; quantum workforce coordination and development; and quantum testbed activity. More information is posted on the NextGov website.

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NDAA: Massive expansion of commercial solutions openings and other key takeaways for defense contractors: The 2026 National Defense Authorization Act continues the push to accelerate defense acquisition, expand the industrial base, and reduce barriers for commercial entrants. The 2026 NDAA signals a decisive shift as the Department of Defense makes acquisition faster and decidedly more commercial. Below are the changes that are most consequential for industry. 

Expanded use of commercial solutions openings

Section 1823 of the NDAA may prompt a monumental shift in defense acquisition. Revisions to 10 U.S.C. § 3458 allow DOD and the military departments to use commercial solutions openings to acquire products and services. This is a notable expansion; previously CSOs were limited to “innovative” commercial solutions. With the removal of this qualifier, CSOs can now be used as a general commercial acquisition tool.  Furthermore, the revisions allow the government to award a follow-on production contract from such a CSO on a sole source basis. Thus, as long as the CSO was openly competed, the awardee of a CSO for a commercial product or service would be eligible for a sole-source follow-on production contract. Making this option even more attractive to industry is the fact that the awarded contracts can be Other Transaction Authority Agreements, or OTAs, rather than traditional procurement contracts. OTAs are not subject to the Federal Acquisition Regulation and awardees can negotiate a wide variety of provisions, including IP and data rights. These changes are yet another reason why commercial companies, both Fortune 100 titans and small tech startups, should begin looking at opportunities in the defense space. More information is posted on the NextGov website.