Defense contractors must now prove their data is proprietary, or the Pentagon can use it

The Pentagon has changed the rules for how defense contractors protect their technical data and software. Companies now have a limited time to prove their data is proprietary, or the government can use it freely.

For decades, defense contractors could label vast amounts of data as proprietary, limiting the Pentagon's ability to share it with other contractors or use it for maintenance. This often locked the government into single-source contracts and higher costs. The new rule shifts the burden of proof, making it harder for companies to hoard data and easier for the Pentagon to foster competition and reduce long-term expenses.