The Bottom Line Upfront

The Navy is leveraging portfolio management to divest outdated technologies and invest in new, more effective systems.

The Breakdown

  • The Navy's divest-to-invest strategy involves retiring aging and costly ships to reallocate funds towards advanced capabilities.
  • A divest-to-invest forward strategy seeks to enhance the Navy's operational efficiency by focusing on procuring new submarines, frigates, and destroyers, and integrating advanced strike fighters like the F-35C.
  • Strategic shifting is driven by the need to modernize the fleet within budget constraints, aiming for a more capable and lethal, albeit potentially smaller, naval force​.