Strengthening Arizona’s Aerospace, Defense, and Technology Sector
Upper Antelope Canyon AZ

ACA logo. Photo provided by Metro Phoenix Alliance.

New Public-Private Partnership

Arizona Commerce Authority, in collaboration with the Southwest Mission Acceleration Center (SW MAC), has announced the launch of the Arizona Office of Defense Innovation (ODI)—a new public-private partnership aimed at strengthening the state’s position in aerospace and defense. This strategic initiative is designed to accelerate the development of emerging dual-use technologies and foster the expansion of Department of Defense (DoD) operations throughout Arizona.

PHOENIX, AZ (July 8, 2025) – The Arizona Commerce Authority (ACA), in partnership with the Southwest Mission Acceleration Center (SW MAC) today announced the launch of the Arizona Office of Defense Innovation (ODI), a new public-private partnership that will expand Arizona’s aerospace and defense leadership. The strategic initiative will advance emerging dual-use technology and support the growth of Department of Defense (DoD) missions within the state.

Governor Hobbs and the Arizona Legislature established the Arizona Office of Defense Innovation through the recently enacted Fiscal Year 2026 budget. The Office will be housed within the ACA and serve as a critical hub to coordinate efforts between state agencies, defense contractors, academia, innovators, and the DoD.

“With our global industry leaders and one-of-a-kind military installations, Arizona stands at the forefront of our national defense capabilities,” said Governor Katie Hobbs. “The Arizona Office of Defense Innovation Office will help drive tomorrow’s national security breakthroughs, ensuring we continue to out-innovate our adversaries and equip our warfighters with the best technology available.”

“The Arizona Commerce Authority is excited to collaborate with the Southwest Mission Acceleration Center and our industry partners to launch the Arizona Office of Defense Innovation,” said Sandra Watson, President and CEO of the Arizona Commerce Authority. “In the midst of rapid technological advancements, this office will help further Arizona’s leadership across industries and technologies that support our national defense and create good-paying jobs for Arizonans.”

Drew Trojanowski, Chief Executive Officer of the Southwest Mission Acceleration Center, stated, “The creation of the Arizona Office of Defense Innovation is a monumental milestone. By aligning public and private sector resources, Arizona is positioning itself as a national leader in defense innovation and technology development. This office will play a critical role in accelerating mission readiness, fostering cross-sector collaboration, and ensuring Arizona serves as a proving ground for the next generation of defense capabilities.”

“As DoD and the joint services execute their largest transformation efforts in the last four decades, the Office of Defense Innovation can serve as a catalyst and provide a consistent legislative support for defense and aerospace growth, innovation, and collaboration within Arizona,” said Peter Don, Senior Technical Advisor, U.S. Army Intelligence Center of Excellence & Fort Huachuca, AZ. “It is well positioned and charged to expand, preserve, protect, and attract new joint military missions, capabilities, installations, and workforce development in the state.  More importantly, it has the unrealized potential to foster a collaborative environment for our AZ-based joint commands to connect, team, learn, and innovate with experts from across DoD, industry, academia, and other mission partners to solve challenging technical and operational warfighting problems.”

The three primary focus areas of ODI will include:

  • Aerospace and Defense: Building on Arizona’s rich history as a hub for aerospace and defense companies, the Arizona Office of Defense Innovation will support and grow this critical industry within the state.
  • Dual-Use Technology: Encouraging the development and deployment of emerging technologies that have applications in both the defense and civilian sectors.
  • Department of Defense Mission Growth: Enhancing the expansion of Department of Defense missions, ensuring Arizona remains a key partner in national security efforts and defense operations.

The collaboration between the ACA and SW MAC will streamline efforts to create a robust ecosystem for innovation, drawing on Arizona’s world-class talent, research institutions, and industry leaders. The partnership aims to catalyze new opportunities for defense-related businesses and create high-wage, high-skill jobs across the state.

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About Arizona Commerce Authority

The Arizona Commerce Authority (ACA) is the state’s leading economic development organization with a streamlined mission to grow and strengthen Arizona’s economy. The ACA uses a three-pronged approach to advance the overall economy: attract, expand, create – attract out-of-state companies to establish operations in Arizona; work with existing companies to expand their business in Arizona and beyond; and help entrepreneurs create new Arizona businesses in targeted industries.

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