The Pentagon is seeking a record roughly $1.5 trillion fiscal 2027 budget, including about $29.5 billion for its AI Arsenal initiative, as officials brief lawmakers amid skepticism over the request’s scale, timing and funding strategy. The AI allocation would support government-owned supercomputing facilities and SCIF-accredited data centers for sensitive military workloads, reducing reliance on commercial providers such as AWS and Azure while continuing partnerships with Google, Microsoft, OpenAI and Nvidia. The broader proposal includes $1.1 trillion in discretionary spending and $350 billion in expected mandatory funding, while the administration is separately seeking an $87 billion supplemental, including $67 billion to replenish munitions used during the Iran war and cover other military costs. Officials are also seeking to use budget reconciliation to pass $350 billion for high-priority items, but lawmakers remain divided and the House’s $95 billion July package has made little progress in the Senate. Senators including Mark Kelly, Richard Blumenthal and Gary Peters questioned the request’s justification and transparency, while Republicans said briefings clarified military priorities. Cameron Stanley confirmed dedicated AI and data-center funding, and private developers are planning facilities on military land at Fort Bliss and Dugway Proving Ground.