Defense Secretary Pete Hegseth announced that the Department of Defense is terminating $5.1 billion in contracts that he described as nonessential, including consulting agreements, IT services, DEI-related programs, climate initiatives, and other activities targeted for elimination by the administration, as reported by The Gateway Pundit.
In a video announcement, Hegseth detailed several of the contracts being canceled and said the savings would be redirected toward military priorities.
“Right now, we’re directing the termination of $5.1 billion in DoD contracts. Not million—that’s with a “B.” $5.1 billion in DoD contracts for ancillary things like consulting and other nonessential services,” Hegseth said.
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According to Hegseth, one of the largest categories of savings comes from Defense Health Agency consulting contracts awarded to major firms.
“So, here are a few examples: DHA contracts for consulting services from Accenture, Deloitte, Booz Allen, and other firms. They’re going to save the department $1.8 billion,” he said.
Hegseth also announced the cancellation of a software reseller contract tied to enterprise cloud IT services.
“How about a software reseller contract for enterprise cloud IT services, saving the department $1.4 billion?” he said.
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Another contract being terminated is a Navy consulting agreement valued at approximately $500 million.
“A $500 million Navy contract for business process consulting. Again, process. Lots of process. Lots of consultants,” Hegseth said.
He added that the money could be better spent elsewhere within the department.
“For administrative offices in the Bureau of Medicine. By the way, we need this money to spend on better healthcare for our warfighters and their families instead of paying $500-an-hour business process consultants. That’s a lot of consulting.”
Hegseth also identified a Defense Advanced Research Projects Agency contract that he said duplicated services already available through existing Defense Department personnel.
“How about this? A DARPA contract for IT help desk services that are completely duplicative of services already provided by our DISA workforce, saving the department another $500 million,” he said.
In addition to the consulting and IT reductions, Hegseth announced the cancellation of 11 contracts related to Diversity, Equity, and Inclusion programs, climate initiatives, COVID-19 response efforts, and other activities deemed nonessential.
“We’re also terminating, on the DEI front, 11 more contracts for DEI, climate, COVID-19 response, and related nonessential activities across the department,” Hegseth said.
“We are committed to rooting out DEI, root and branch, throughout this department, and we found 11 more contracts. We’re going to keep looking.”
The Defense Secretary said the contract reductions total $5.1 billion and are part of a broader effort between the Department of Defense and the Department of Government Efficiency.
Hegseth also announced that the Pentagon is pausing more than $500 million in funding to Northwestern University and Cornell University.
“On top of that, in support of the president’s priorities to stop federal funding for academic institutions that tolerate antisemitism and support divisive DEI programs, this week DoD is also pausing over $500 million in funding to Northwestern University and Cornell University,” he said.
The funding pause follows previous actions involving other universities.
“And that’s on top of the $70 million in funding we’ve already paused at Columbia, Penn, Brown, and Princeton over the last few weeks,” Hegseth said.
According to Hegseth, the latest reductions bring total savings from the Defense Department’s DOGE-related review effort to nearly $6 billion during its first six weeks.
“So, if you’re keeping score at home, today’s cuts bring our running total to nearly $6 billion in wasteful spending over the first six weeks of the DoD-DOGE effort here at the Defense Department,” he said.
“Their job is to go out and find the stuff that we can get rid of and then flow back into—drive back into—warfighting capabilities here at the Defense Department.”
Hegseth concluded by thanking those involved in the review process.
“So, we want to thank our friends at DOGE. We want to thank all the folks here that have contributed to this effort.”
BREAKING Secretary of Defense Pete Hegseth just stunned America by announcing $5.1 Billion in WASTE discovered by D.O.G.E:
“We’re directing the termination of $5.1 Billion not million, in DoD Contracts. That’s with a B”THIS IS HUGE pic.twitter.com/S9zjNwtIfi— RON .D. WATKINS (@Ron_WatkinsQ) May 31, 2026
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