U.S. President Joe Biden has signed the annual National Defense Authorization Act (NDAA) for the fiscal year 2025, allocating $895 billion in defense spending and introducing significant cybersecurity measures. Among the highlights is a $3 billion fund for the Federal Communications Commission’s (FCC) “Rip and Replace” program. This initiative aims to dismantle and replace insecure Chinese-made telecommunications equipment, including products from Huawei, to mitigate threats to national security.
Initially launched in 2020 with a budget of $1.9 billion, the program faced criticism for inadequate funding. A surge in cyberattacks, such as the Volt Typhoon and Salt Typhoon incidents—in which Chinese hackers embedded malicious code into U.S. infrastructure—has amplified calls for additional resources.
The bill also establishes a quarterly Defense Department (DOD) hackathon program and redefines responsibilities within the Pentagon’s cybersecurity structures. The Joint Force Headquarters-Department of Defense Information Network (JFHQ-DODIN) will assume global responsibility for protecting Pentagon networks, elevating its role to be on par with the Cyber National Mission Force.
Furthermore, the legislation includes provisions to explore the potential creation of a standalone U.S. Cyber Force. However, the original plan with definitive timelines and objectives was revised in line with the Pentagon’s reservations about this initiative.
The intelligence section of the NDAA preserves the existing framework of the Foreign Intelligence Surveillance Act (FISA). A Senate proposal to refine the definition of “electronic communication service providers” was not reconciled with the House of Representatives due to disagreements.
Additionally, the bill mandates the State Department and the Director of National Intelligence to classify ransomware threats targeting U.S. critical infrastructure. Groups such as LockBit, Conti, and REvil are now officially designated as “hostile foreign cyber actors.”