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NATSEC-TECH THURSDAY — January 8, 2026: Every Thursday’s edition of Threat Status highlights the intersection between national security and advanced technology, from artificial intelligence to cyber threats and the battle for global data dominance.

Share the daily Threat Status newsletter and the weekly NatSec-Tech Wrap with friends who can sign up here. Send tips to National Security Editor Guy Taylor and Defense and National Security Correspondent John T. Seward.

A high-tech Chinese radar system and Russian air defenses failed to operate during the U.S. raid on Caracas.

… President Trump says Venezuela will use proceeds from its U.S.-controlled oil production to buy American products exclusively.

… Mr. Trump ripped America’s top weapons contractors on social media this week, asserting that “Executive Pay Packages in the Defense Industry are exorbitant and unjustifiable given how slowly these Companies are delivering vital Equipment to our Military.”

… The president declared Wednesday that he “will not permit” defense companies to issue dividends or purchase their own stocks until they invest more in production and research, although it remains to be seen what enforcement mechanism he intends to use.

… Threat Status goes inside the U.S. Army’s test of a Next Generation Command and Control communications system with exclusive video from Fort Carson, Colorado.

… U.S. military spending on small drones has quadrupled since 2022.

… Bill Woolf, the president and founder of the Space Force Association, says in an exclusive interview on the latest Threat Status weekly podcast that the prospect of the U.S. Space Force deploying people into orbit for missions protecting critical satellite infrastructure is real.

… Chinese officials said Thursday they will assess and investigate Meta’s acquisition of the Singapore-based AI startup Manus.

… China stepped up its cyberattacks on vulnerable sections of Taiwan’s critical infrastructure in 2025, according to a new Taiwan National Security Bureau analysis.

… Sens. Todd Young, Indiana Republican, and Maria Cantwell, Washington Democrat, on Thursday introduced the bipartisan National Quantum Initiative Reauthorization Act to “help maintain American leadership and competitiveness” in the global tech race.

… And D-Wave’s acquisition of Quantum Circuits is likely to accelerate the commercial delivery and proliferation of futuristic computing systems.

The failure of Chinese and Russian air defenses over Venezuela

China’s alleged “anti-stealth” Y-27A radar (pictured), sold to Venezuela, failed to detect a single U.S. aircraft during the recent military operation. (Photo courtesy of radartutorial.eu)

U.S. military forces demonstrated highly effective mission SEAD — suppression of enemy air defenses — in the opening minutes of Saturday’s lightning-fast raid on Caracas. U.S. forces knocked out both the Chinese radar and extensive Russian air defense missile systems. 

National Security Correspondent Bill Gertz reports the Chinese radar in question is the JY-27A system that Beijing sold to Venezuela as capable of detecting low-observable aircraft. It’s a key sensor capability the Chinese military wants for use in countering F-35 and F-22 stealth jets and B-2 and future B-21 stealth bombers in any potential conflict with the United States. 

Beijing claims the system is resistant to jamming while being highly reliable and mobile. The Very High Frequency radar uses an active phased array antenna. Its manufacturer, the state-owned China Electronics Technology Group Corp., has said the radar can detect stealth aircraft such as the F-22 up to 310 miles away.

Threat Status partners with Obviant to examine increased Pentagon spending on small drones

A soldier engineer uses a laptop to transmit aerial photos and data from a drone to military headquarters. File photo credit: Parilov via Shutterstock.

U.S. military spending on small drones has quadrupled since the war in Ukraine demonstrated the devastating capabilities of the remote systems, and data shows the money is being spent with dozens of American companies amid Pentagon plans to also enable troops to build and 3D print their own drones.

Obviant, a Virginia-based firm that uses AI to track U.S. defense spending, shared data analytics with Threat Status that shows how the vast majority of the funding for small unmanned aerial systems is being spent on contracts under Army programs. The spending is slated only to increase. The recently passed defense authorization earmarked some $1.7 billion for small unmanned aircraft systems, or sUAS, a significant jump from the $398 million spent back in 2022.

U.S. companies have scrambled to compete for a total of $4.7 billion that the Pentagon has spent on drones since 2022. At the same time, the Pentagon has launched a new, forward-leading Drone Dominance Initiative, with a formal request for solutions from private industry. The DDI is set to have its first deadline by Friday. Approved solutions will be tested and will compete for an order of 30,000 new sUAS.

Quantum moves: D-Wave acquires firm known for scalability

Quantum computing company D-Wave acquires new tech in major merger. File photo credit: Bartlomiej K. Wroblewski via Shutterstock.

The Canada and U.S.-based Quantum computing company D-Wave has acquired Quantum Circuits, a New Haven, Connecticut, company known for developing scalable quantum computer systems and superconducting technology. Tech industry insiders tell Threat Status the $550 million acquisition is likely to accelerate the delivery and proliferation of futuristic computing systems that are dramatically faster and more powerful than humans have seen in recent decades.

Under the deal, Quantum Circuits will initially produce a research and development lab for D-Wave in New Haven, with plans to see a commercially available quantum computer in 2026 from the merger. The system is already being used by a select group of customers for testing. “It’s a very important day for the quantum industry,” Alan Baratz, CEO of D-Wave, said on a call with reporters this week. “We believe that the combination of D-Wave and Quantum Circuits will firmly establish D-Wave as a world-leading quantum computing company.”

Quantum computing has so much processing potential that its development is broadly seen as a national security issue. According to a November report by the U.S.-China Economic and Security Review Commission, quantum computing will “secure disproportionate and likely enduring advantages in intelligence collection and precision targeting.” The first country to begin using quantum computing at scale could use it to break pre-quantum encryption.

Opinion: AI will change jobs, not erase them

Artificial intelligence (AI) and human unemployment illustration by Linas Garsys / The Washington Times

For at least two centuries, each wave of transformative technology has “triggered anxiety about machines wiping out jobs and leaving millions idle,” writes Thomas Beck, a former chairman of the Federal Labor Relations Authority.

“Perhaps this time is different, but on each occasion so far, the alarm about technology creating long-term unemployment has been overstated,” Mr. Beck writes in an op-ed for The Washington Times. “Time and again, the story has ended the same way: not with mass unemployment but rather with adaptation, new industries and higher living standards.

“Artificial intelligence will eliminate — already has eliminated — some jobs and will change many others. Over the long term, it is unlikely to cause a net increase in unemployment,” he writes. “The historical record demonstrates that people are remarkably adept at finding new forms of work when old ones are automated away.”

Opinion: Trump can redraw the Western Hemisphere

President Donald Trump and world agenda illustration by Linas Garsys / The Washington Times

Given Venezuelan President Nicolas Maduro’s “ties to China, Iran and Russia, his removal represents a reversal of fortune for outside powers in the hemisphere. To press the American advantage post-Maduro, the administration should start by rewriting the definition of the hemisphere,” writes Alexander B. Gray, a former chief of staff of the White House National Security Council.

“The U.S. should officially state that the hemisphere (and therefore the Trump Corollary) stretches from the Aleutian Islands to Greenland and from the North American Arctic to Antarctica,” Mr. Gray writes in a Times op-ed. “With regular Chinese and Russian naval patrols in Alaskan waters and Beijing’s declaration of itself as a ‘near Arctic power,’ this definition would formally align U.S. strategic orientation with the reality of great power rivalry.” 

He adds that, “as the administration undertakes an overdue consolidation of Defense Department combatant commands, combining U.S. Northern and Southern commands into a ‘Western Hemisphere Command’ would allocate attention and resources to the president’s priorities in a coherent manner.”

Threat Status Events Radar

• Jan. 8 — Cosmic Coordination: Space Diplomacy in an Era of Strategic Competition, Atlantic Council

• Jan. 12 — Next Steps for the U.S.-Japan Alliance: Deterrence, Cybersecurity and Indo-Pacific Partnerships, Center for Strategic & International Studies

• Jan. 14 — A New Direction for AI and Students: Findings from the Brookings Global Task Force on AI and Education, Brookings Institution

• Jan. 15 — The Future of U.S. Foreign Assistance, Center for a New American Security

• Jan. 15 — 10 Conflicts to Watch in 2026, Chatham House

• Jan. 20 — The Future of Biosafety: Confronting Gain-of-Function Research, The Heritage Foundation

• Jan. 21 — Artificial General Intelligence: America’s Next National Security Frontier, Institute of World Politics

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