Contracts

• President Donald Trump signed Executive Order 'Addressing DEI Discrimination by Federal Contractors' on March 26, 2026, mandating a clause in all federal contracts prohibiting racially discriminatory DEI activities by contractors and subcontractors. • The clause subjects non-compliant parties to False Claims Act liability, contract termination, and potential debarment, with enforcement prioritized by the U.S. Attorney General including review of whistleblower qui tam actions. • This builds on prior Trump actions eliminating federal DEI programs and aligns with EEOC Chair Andrea Lucas's warning letter to the 500 largest U.S. companies about Title VII liabilities from DEI practices.

• Tech companies including Palantir, Anthropic, and Anduril are increasingly partnering with the US Department of Defense, marking a significant shift from decades of strained relations between the tech sector and military. • Anduril announced a 10-year, US$20 billion contract with the US military, while Palantir's Maven data analytics platform and Anthropic's AI have been used extensively in operations against Iran, including defense against Shahed drones. • The collaboration represents what investors view as a lucrative opportunity, with traditional military contractors like Lockheed Martin and Boeing now joined by rising tech giants in supplying cloud computing, AI-powered drones, and advanced defense systems.