NDAA FY2025 AI Provisions

The NDAA FY2025 AI Provisions refer to the artificial intelligence-specific sections enacted as part of the National Defense Authorization Act for Fiscal Year 2025. Enacted as an amendment to H.R. 5009 (the WILD Act), the FY2025 NDAA authorized US$895 billion in defense spending and contained several significant AI provisions despite the exclusion of some proposed AI bills.

Overview

• Official Title: Servicemember Quality of Life Improvement and National Defense Authorization Act for Fiscal Year 2025
• Public Law: Pub. L. 118-331 (enacted as amendment to H.R. 5009)
• Signed: Late December 2024
• Total Authorization: US$895 billion

Legislative History

The FY2025 NDAA was released as a compromise text on December 7, 2024. The House passed the bill on December 11, and the Senate followed on December 18, with an 85-14 vote. President Biden signed the bill the following week. The final text exceeded 1,800 pages.

Notably, several proposed AI bills were excluded from the final legislation, including the CREATE AI Act. The absence of these provisions reflected the challenging politics of AI legislation even in the defense authorization context.

Key AI Provisions

Pilot Programs

• Section 236: Pilot program for AI in security-related biotechnology applications
• Section 237: Pilot for AI to optimize workflow at DOD facilities
• Both pilots overseen by the Secretary of Defense with yearly evaluations

Human Factors and Infrastructure

• Section 1531: Integration of human factors into AI system design and deployment
• Section 1532: Enable advanced AI capabilities through advanced computing infrastructure
• Section 1533: Develop a plan to streamline budgeting for data acquisition needed for AI training and deployment

Center of Excellence for AI-Enabled Weapons

• Section 1534: Directed the Secretary of Defense to evaluate the feasibility of establishing centers for AI-enabled weapons systems development, including:
  • Capturing, analyzing, and sharing lessons learned
  • Facilitating collaboration between DOD, foreign partners, industry, academia, and nonprofits
  • Ukraine specifically mentioned as an international partner that would benefit

Chief Digital and AI Officer Governing Council

• Section 225: Expanded duties regarding AI models and advanced AI technologies:
  • Identify and assess AI models/technologies that could pose national security risk if accessed by adversaries
  • Develop strategies to prevent unauthorized access by adversary countries
  • Make recommendations to Congress and federal agencies for legislative or administrative action on AI

International AI Partnerships

• Section 1087: Secretary of Defense directed to establish a working group with U.S. allies for AI defense initiatives, including:
  • Comparing tools and practices
  • Identifying solutions to accelerate interoperability
  • Developing shared strategies and regulations
  • Testing member capabilities
  • Sharing best practices for innovation

Congressional Perspectives on AI

• Section 1638: Recognized AI opportunities (strengthening strategic communications, reducing collateral damage risk, enhancing weapons functionality modeling) alongside risks (compromising U.S. strategic assets, including nuclear safeguards). Advised particular care to mitigate AI development risks.

Business Operations

• Section 1007: Empowered DOD to use AI for business operations, including audits of FY2025 financial statements

DOD AI Initiatives (Concurrent)

Concurrent with the legislation, DOD launched US$100 million in AI initiatives through the AI Rapid Capabilities Cell (AI RCC) — a partnership between CDAO and the Defense Innovation Unit. Projects included generative AI pilots for warfighting, computation and digital sandboxes for AI experimentation, and rapid user-centric experimentation.

Significance

The FY2025 NDAA continued the trend of expanding AI provisions within the annual defense authorization, with particular emphasis on pilot programs, international cooperation, and infrastructure. The expansion of CDAO's governing council duties reflected growing concern about AI-related national security risks, while the Center of Excellence feasibility study signaled interest in institutionalizing AI weapons development.

The exclusion of the CREATE AI Act and other standalone AI bills from the NDAA illustrated the challenges of advancing comprehensive AI legislation through the defense authorization process, where provisions must relate directly to national security.

Sources

• K&L Gates — Key Provisions on AI in FY2025 NDAA
• Akin Gump — Congress Moves Forward with AI Measures
• Purdue — Selected AI Provisions in FY2025 NDAA
• Larsen House — AI Provisions in Defense Policy Bill

See Also

• NDAA AI Provisions
• NDAA FY2024 AI Provisions
• NDAA FY2026 AI Provisions
• Advancing American AI Act
• Legislation