Government announces most significant reshaping of Defence innovation in decades to boost national security

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The Hon Richard Marles MP

Deputy Prime Minister

Minister for Defence

Media contact

02 6277 7800

The Hon Pat Conroy MP

Minister for Defence Industry

Minister for International Development and the Pacific

Media contact

Peta Donald - 0435 521 326

Defence Media

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28 April 2023

The Albanese Government is transforming Australia’s defence innovation ecosystem to deliver the advanced technologies urgently needed for Australia’s national security.

The Government will invest $3.4 billion over the next decade to establish the Advanced Strategic Capabilities Accelerator (ASCA). This is an additional $591 million above current planned spending on defence innovation.

Australia has lost the ten year warning time. The Defence Strategic Review concluded that we need more effective support for innovation, faster acquisition and better links between Defence and industry to deliver the capabilities the Australian Defence Force (ADF) needs.

ASCA will be a key element of the Defence innovation, science and technology program. Priorities for the program are hypersonics, directed energy, trusted autonomy, quantum technology, information warfare and long-range fires.

It will focus on defined missions, solving the most relevant technical issues, and taking a more flexible and agile approach to procurement. This will ensure game-changing ideas are developed into capabilities that give the ADF an asymmetric advantage.

This is the most significant reshaping of defence innovation in decades that will deliver vital capabilities for the ADF, as well as create more jobs in the Australian defence industry commercialising the technologies. It will support innovative Australian solutions to the challenges we face.

ASCA will be guided by senior levels in Defence; the Vice Chief of the Defence Force, the Chief Defence Scientist and the Deputy Secretary, Capability Acquisition and Sustainment Group. This will allow it to be up and running quickly by 1 July 2023, with a phased start up over the first 18 months to develop, test and refine the operating model.

It will replace the Defence Innovation Hub and Next Generation Technologies Fund, which the Defence Strategic Review identified are no longer fit for purpose in Australia’s current strategic environment.

Quotes attributable to Deputy Prime Minister and Defence Minister, Richard Marles:         

“At the heart of government’s ability to reshape the ADF for the strategic circumstances we face is ensuring we have the capabilities to do so.”

“The Defence Strategic Review makes clear that Australia must invest in the transition to new and innovative technologies for our Defence Force. This is precisely what the Advanced Strategic Capabilities Accelerator will deliver.” 

“Central to this will be our ongoing work to operationalise Pillar Two of the AUKUS agreement, which seeks to develop and provide capabilities such as undersea warfare and hypersonics for Australia, the United Kingdom and the United States.” 

“Together, these investments will contribute to Australia’s defence industrial base and build on the already strong cooperation with our international partners.”  

Quotes attributable to Minister for Defence Industry, Pat Conroy:

“Our strategic circumstances require us to adapt our approach to innovation. The Advanced Strategic Capabilities Accelerator will lead the way in agile delivery of capability solutions to the Australian Defence Force.”

“The Government’s commitment to supporting innovation – in partnership with Australian industry and research organisations – is at the heart of our nation’s response to the challenges we face.”

“Delivering emerging disruptive technologies into the hands of the war fighter is critical. ASCA will respond to our highest priorities, bringing essential capabilities to our forces at the speed of relevance.”

“Innovation must translate into acquisition, and the Defence Accelerator will address the very real and urgent need to turn emerging technologies into game-changing capabilities. Linking technology development to speedy acquisition will also create many more jobs in the Australian defence industry.”

28 APRIL 2023

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