Aerospace and defense contractors are adopting agentic artificial intelligence to scale production of missile interceptors and satellites, driven by a severe talent shortage and Pentagon demands. Rather than replacing workers, companies are using these systems as industrial infrastructure to bypass hiring bottlenecks and accelerate development timelines.
The scaling mandate
The Pentagon is pushing defense contractors to accelerate production at a pace the sector has historically struggled to meet. Clay Mowry, chief executive of the American Institute of Aeronautics and Astronautics, noted that some companies are trying to increase production by a factor of four.
"If you're in the missile interceptor business right now, you've got to scale, and you've got to scale fast," Mowry said at the recent ASCEND conference in Washington. "There is not enough workforce for that. There's not enough people that they think that they could put in those jobs, and so they're all scrambling."
Agentic AI in production
This scramble is driving investment into agentic AI systems capable of assisting with engineering, testing, supply-chain management, and manufacturing workflows. Unlike traditional automation software, these systems can manage multiple tasks simultaneously, from design iterations to compliance documentation.
To manage these manufacturing workflows, companies are adopting AI for Operations to compress development timelines that have frustrated the Pentagon for years.
Voyager Technologies, a space and defense tech firm, has hired experts to implement AI-driven workflows across its national security business. Matt Magaña, who heads Voyager's defense and national security business, said the company is developing next-generation electronics in Long Beach, California, using agentic AI to reduce development timelines.
"They are driving the teams into bringing on folks that can help us actually get the technology out of the labs and into real hardware," Magaña said.
Why this matters for human resources professionals
This shift redefines the role of technical talent in defense and aerospace. HR leaders must recognize that AI adoption here is a direct response to an acute talent shortage, not a strategy to reduce headcount.
Mowry noted that executives cannot hire enough trained engineers, software developers, and specialized manufacturing staff. Firms are competing for the same small pool of workers with expertise in autonomy and advanced systems integration.
Recruitment efforts should focus on candidates who can collaborate with AI systems to manage multiple programs and reduce production choke points. Upskilling existing engineers to work alongside these tools will be as critical as hiring new specialists.
"It doesn't mean that humans go away," Magaña said. "It's about accelerating the cycle time."
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