Rededicate to the Mission

We hope everyone had a great Memorial Day Weekend and had a chance to reflect on those who made the ultimate sacrifice in defense of freedom. In honor of this solemn holiday, we decided to pause our analysis and pay our respects to the fallen.

This week’s post:

• 🫡 Memorial Day Remembrance

• 💰 Term Sheet

• 🚩 Red Team Update

Next week preview: an analysis of R&D spending and NGAD contract opportunities:

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Memorial Day 2023 Message

10 August 1915 - a British officer is killed in action by a sniper at the Battle of Gallipoli, Turkey, WWI.

14 September 1944 - a US Marine reflects on his plans after the war before the amphibious invasion D-Day, Peleliu, WWII.

At Arsenal, we believe that America’s (and the free world’s) ability to deter and prevent conflict, but win if necessary, is undergirded by technological superiority built upon a strong defense tech foundation. This Memorial Day and every other, we paused to honor our fallen that have “laid so costly a sacrifice upon the altar of freedom,” as our 16th President Abraham Lincoln said best.

May we and the entire AoT community remain steadfast in striving towards our goals of preventing conflict, or barring that, never giving the adversary a fair fight. For past fights, may we always remember those who gave all. And if another fight comes, let us work to assure that it will be as unfair as possible.

How different would physics have been if Henry Moseley, shortlisted to win the 1916 Nobel Prize for his work with atomic numbers, was not killed at Gallipoli in World War One? What further fundamental breakthroughs in defense technology might have been possible?

How many patients may have been saved by US Marine E.B. Sledge’s friend Oswalt, had he survived Peleliu and become a brain surgeon per his wish the night before the invasion? What suffering could he have alleviated?

How different would so many families and the future itself be, had approximately 1.35M Americans not died in combat? What hopes and dreams died with them?

For every Moseley and Oswalt, there have been untold numbers of “dreams deferred.”

When one is too many, let’s use Memorial Day 2023 as an opportunity to rededicate ourselves to our mission - making defense tech give the US military the ultimate unfair advantage in protecting democracy and our way of life.

In Remembrance: Memorial Day 2023

Red Team Update

Chinese Breakthroughs Bring Quantum Tools Closer to Practicality

• Significant Advancements in Quantum Communications: A Chinese research team at the University of Science and Technology of China, led by Pan Jianwei and Xu Feihu, reported a tenfold increase in the rate of stable quantum-key distribution, pushing 115.8 megabytes of encrypted data per second over a 10-kilometer fiber-optic channel. This breakthrough could enable quantum systems to handle larger data volumes and support more users.

• Improvement in Error Correction for Quantum Systems: Another Chinese team, including researchers from the Shenzhen Institute of Quantum Science and Engineering, Tsinghua and Fuzhou Universities, have announced a real-time error correction system for quantum systems. Their approach, which corrects errors introduced by extra qubits, improves the stability of information storage and requires fewer resources, leading to a net positive for resource intensity.

• Investments and Challenges: China's significant advancements in quantum technologies are a result of substantial investments, estimated at $25 billion, in quantum labs, private businesses, and quantum technology companies. While the strides made are substantial, the complexities of quantum cryptography and quantum communication infrastructure, along with their vulnerabilities, temper concerns about immediate quantum supremacy. Concerns of a Chinese “quantum supremacy” should be softened by the realities and difficulties of this new space.

China Built a Hypersonic Generator that Could Power Multiple Weapons

• Creation of a Hypersonic Generator: Chinese researchers have developed a hypersonic generator capable of producing intense electrical current sufficient to power military lasers, rail guns, and microwave weapons. The generator uses a controlled detonation within a shock tunnel to transform hot gas into plasma filled with rapidly moving ions, which is then converted into electric current

• Highly Efficient and Compact System: The system is efficient, quick to start, and does not require any intermediate energy storage components or high-power switches. Furthermore, the lack of rotating parts enhances the system's overall efficiency and ease of use. Despite its substantial output, the system is relatively compact, with a cubic volume of plasma smaller than most vans capable of generating a gigawatt of input power, which is necessary for some of the largest weapons currently in development

• Remaining Challenges and Potential Impact: Although the hypersonic generator marks a significant advancement, there are logistical challenges to be addressed, including how to safely transport a device requiring controlled detonation and handle the gas necessary for a second charge. However, should these hurdles be overcome and an automated reloading mechanism be developed, this technology could drastically enhance the power of China's hypersonic weapons.

About Us

Our team has 30+ years of combined experience as military officers using the end products. We’ve worked in both government and industry. From MIT to Wharton, Wall Street to biotech, and DARPA to the flightline, we offer you a unique perspective on how to navigate America’s defense tech industry.

The opinions expressed in this newsletter are solely those of the authors and do not necessarily reflect the views of DoD, our employers or any affiliated organization. This newsletter is for informational purposes only and is not intended to provide legal, financial or professional advice.