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Ben Horowitz & Marc Andreessen: Why Silicon Valley Turned Against Defense (And How We’re Fixing It)

Once estranged from government missions, Silicon Valley is undergoing a profound transformation as a new wave of technologists and investors re-engage with defense, energy, and manufacturing. Driven by global crises and geopolitical urgency, the ethos of 'American Dynamism' is reshaping what it means to build in the real world—where innovation meets national resilience.
A cultural and strategic shift is reconnecting Silicon Valley with national defense and industrial innovation after years of disengagement. Triggered by pandemic vulnerabilities, the war in Ukraine, and rising competition with China, tech leaders are now embracing hard-tech sectors like energy, aerospace, and defense. Founders such as Palmer Luckey and investors like Katherine Boyle are backing startups that bridge the gap between agile innovation and national security needs. Unlike legacy defense contractors bound by rigid, long-term planning, new ventures leverage rapid iteration and private-sector dynamism. This resurgence prioritizes supply chain resilience, advanced manufacturing, and next-gen technologies like modular satellites and AI-powered systems. The debate over centralized versus decentralized innovation highlights America’s edge in entrepreneurial agility. With nine of the world’s ten most valuable tech companies based in the U.S., the foundation for a second American century of technological leadership is being rebuilt—not through state mandates, but through market-driven, mission-oriented entrepreneurship in critical sectors.
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American Dynamism means rebuilding the industrial base through tech innovation.
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Palmer Luckey went from being negatively impacted at Meta to becoming a hero in American defense.
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SpaceX's manufacturing legacy is training a generation of hard-tech founders.
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Offensive space technology will be crucial in future warfare and protecting orbital infrastructure.
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Free markets won the Cold War and must lead again today
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Central control fails in fast-changing environments; decentralization enables rapid innovation.