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The beginning months of 2025 are already signaling a pivotal year for U.S. unmanned surface vessel (USV) developments. In particular, work on scalable small autonomous USVs capable of swarming operations for defense applications is emerging as a focus area for the U.S. Navy, and industry is taking note.
In January, Navy officials revealed plans to stand up Unmanned Surface Vessel Squadron 7 (USVRON 7) in San Diego by mid-2025. USVRON 7 will become the third West Coast unit tasked with operationalizing autonomous surface systems. Creating a new autonomous squadron will allocate more manpower and resources to oversee the potential increased procurement of small USVs.
The new squadron, similar to USVRON 3, will operate the Global Autonomous Reconnaissance Craft (GARC), a 16-foot autonomous USV built by Baltimore-based Maritime Applied Physics Corporation (MAPC). DefenseScoop reported in January that the sea service plans to ramp up GARC production to reach a goal of up to 32 units per month in 2025.
Forecast International estimates that at least three dozen GARC vessels have already been built, and long-term plans, if fully realized, could see the Navy acquire these boats in the hundreds. The GARC’s relatively low cost—less than $1 million per vessel—makes it an attractive, scalable solution within the Department of Defense’s broader strategy to procure cost-effective systems at a mass scale.
Recognizing the Pentagon’s interest in small USV investments for countering potential adversarial action in the Indo-Pacific, other manufacturers are preparing to position themselves ahead of DoD’s acquisition decisions.
Dino Mavrookas, head of Austin-based USV-builder Saronic, recently announced plans to invest $600 million in an autonomous surface drone shipyard called Port Alpha for mass production. Saronic currently manufactures three different USV models ranging from six to 24 feet in length. While Saronic has not disclosed any anticipated production rate, if Port Alpha materializes, output could reflect figures like that of MAPC’s GARC drones to support U.S. Navy demand.
However, the exact demand signals and funding allocations from the Pentagon and the Navy’s future USV procurement remains uncertain. The Navy’s FY25 budget request outlines plans for the development and procurement of medium and large USVs, some of which could reach hundreds of feet in length. More recently, some voices in Congress and service leadership have expressed doubt about these initiatives due to high costs and long acquisition timelines.
Meanwhile, the DoD has set aside some $1 billion in funding for FY24 and FY25 work on the Replicator program, which aims to acquire swarming unmanned systems. A portion of this funding has been directed toward small USVs, with Saronic a likely beneficiary. While the full details of these efforts remain classified for strategic security purposes, it is assumed that they align with the Navy’s “Hellscape” concept, which envisions using small naval drones to deter a potential invasion of Taiwan.
The Navy’s forthcoming FY26 budget request could provide more clarity about the types of USVs the service plans to acquire and its priorities for funding allocation. Admiral Lisa Franchetti’s recent ousting as Chief of Naval Operations is likely to inject, at least initially, more uncertainty into the equation. Franchetti has been an outspoken proponent of a hybrid future naval fleet integrating unmanned vessels with traditional crewed naval combatants.
Despite present uncertainties, private industry remains confident that demand for smaller, affordable drone vessels will continue to grow. USV manufacturers like MAPC and Saronic are betting that the Navy will increasingly turn to off-the-shelf, scalable solutions to meet its operational needs—especially given the challenges of large combatant shipbuilding.
A former naval officer and helicopter pilot, Jon covers a range of Forecast International reports and products, drawing on his 10-year background in military aviation, operations, and education. His previous military assignments include multiple overseas deployments supporting operations in the Arabian Gulf, NATO exercises, and humanitarian missions. Jon’s work is also influenced by his time as a former Presidential Management Fellow and international trade specialist at the Department of Commerce.
Before joining Forecast International, Jon also served as an NROTC instructor and Adjunct Assistant Professor at the University of Texas, where he taught undergraduate courses on naval history, navigation, defense organization, and naval operations and warfare. A lifelong reader and learner, his academic and professional interests include aviation, political and military history, national defense and security, and foreign area studies.