The U.S. Navy is investing $448 million to expand an artificial intelligence system that has dramatically accelerated critical shipbuilding processes, cutting a 160-hour submarine planning task down to just 10 minutes. The initiative, known as the Shipbuilding Operating System (Ship OS), is designed to modernize the Navy’s industrial base by replacing outdated workflows with AI-driven efficiency. Powered by Palantir’s Foundry and Artificial Intelligence Platform, Ship OS began as a pilot program at submarine shipyards, including General Dynamics Electric Boat in Connecticut and Portsmouth Naval Shipyard in Maine. At Electric Boat, the AI system reduced the time required to create complex submarine construction schedules from 160 manual hours to under 10 minutes. At Portsmouth, material review times for submarine components dropped from weeks to less than an hour. The new investment will fund the rollout of Ship OS across the submarine industrial base, including two major shipbuilders, three public shipyards, and 100 suppliers. The Navy plans to scale the technology beyond submarines and apply it to surface ship programs in the future, building on early successes. Navy Secretary John Phelan emphasized the strategic importance of the move, stating, “This investment provides the resources our shipbuilders, shipyards, and suppliers need to modernize their operations and succeed in meeting our nation's defense requirements.” He added that the system enables industry to adopt AI and autonomy tools at scale, improving schedules, increasing production capacity, and reducing costs. The initiative is part of the Maritime Industrial Base Program and is being overseen by Naval Sea Systems Command. These organizations are collecting data from across the shipbuilding chain to identify bottlenecks, streamline engineering processes, and mitigate risks through technology. For years, the Navy’s submarine programs—such as the Virginia-class and the new Columbia-class ballistic missile submarines—have faced persistent delays and cost overruns. The Government Accountability Office has repeatedly highlighted systemic issues, including worker shortages, outdated facilities, aging equipment, and insufficient construction space. Ship OS aims to address these long-standing challenges by bringing real-time data integration, predictive analytics, and automated planning to the shipbuilding process. By digitizing and optimizing workflows, the Navy hopes to improve reliability, reduce waste, and strengthen national defense readiness. As the program expands, the Navy sees Ship OS not just as a tool for faster construction, but as a foundational shift toward smarter, more resilient shipbuilding in the 21st century.