“After more than three years as the inaugural Principal Deputy of the Chief Digital and Artificial Intelligence Office, Ms. Margaret Palmieri will be departing the organization in August. We are immensely grateful for the incredible groundwork she laid while standing up the CDAO,” a defense official told DefenseScoop on Monday.

Four predecessor organizations — the Joint Artificial Intelligence Center, Defense Digital Service, Office of the Chief Data Officer, and the Advana program — were fused together to form the CDAO, which was announced in late 2021 and reached full operating capability in 2022.

One of the earliest CDAO employees, Palmieri was tapped to serve as its first-ever deputy chief in early 2022, soon after the office was announced. Before that, she spent more than a decade in the Office of Naval Operations where she led a number of technology-driving initiatives, including setting up and leading the Navy Digital Warfare Office.

At the CDAO, she helped steer the Pentagon’s AI and machine learning strategy, development and policy formulation and create the foundation for departmentwide digital infrastructure and services to support military and civilian components’ algorithmic-enabled asset deployments. Palmieri also led the CDAO in an acting capacity multiple times during her tenure, including most recently during the transition into the second Trump administration.

Her planned departure marks the latest in an exodus of senior leaders and other technical employees from the CDAO in recent months, and comes as the office’s new leadership has yet to publicly reveal its vision for the future. 

DefenseScoop has contacted Pentagon spokespersons regarding whether a new deputy has been selected to replace the deputy CDAO in a permanent or acting capacity.

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The principal deputy who has been temporarily leading the AI hub ahead of the Trump administration’s selection for the new chief, Margie Palmieri, sent the announcement to several senior officials Friday morning. In the email, she indicated that more communications on the team’s path ahead would soon follow, once Matty takes the reins next week.

Matty previously founded the Army AI Integration Center under Army Futures Command, which he led between 2020 and 2022.

“We are excited to get appointed leadership at the helm of CDAO so early in the administration. The prioritization on filling the top Al and data related leadership position in DoD will enable the Department to better accelerate and scale the adoption of data, analytics, and Al in line with the Secretary’s priorities,” Palmieri wrote. 

Ahead of reaching full operational capacity in 2022, the CDAO merged and integrated four technology-focused predecessor organizations at the Pentagon: the Joint Artificial Intelligence Center (JAIC), Defense Digital Service (DDS), Office of the Chief Data Officer, and the Advana program. 

Commercial tech executive Craig Martell headed the office from its inception until his resignation in early 2024. Defense acquisition expert Radha Plumb served as the second permanent CDAO beginning in April of last year. In December, she shared her plans to depart in January, exclusively with DefenseScoop.

Questions have swirled about the CDAO’s future — and who would take charge as the next chief — since her exit.

As the first official to steer it on a permanent basis under the new Trump administration, Matty will enter at a time when the CDAO is a major player in a range of DOD-wide initiatives that seek to expedite and deliver data analytics, automation, computer vision, machine learning and next-generation AI capabilities for military and civilian personnel.

In the email Friday, Palmieri noted that Matty has “led a distinguished 30 year career as a commissioned officer in the Army, serving in numerous impactful assignments including as an Operations Research Systems Analyst in HQDA, Assistant Professor of Mathematical Sciences, in the Office of the Deputy Under Secretary of the Army for Business Transformation, on the staff of the Commander of U.S. Forces Iraq, JS J8, CYBERCOM, and as Deputy Director of the Army Artificial Intelligence Task Force.” 

He graduated from West Point with a bachelor’s degree in computer engineering and earned a doctorate in engineering systems from the Massachusetts Institute of Technology.

“Dr. Matty brings a breadth of knowledge and experience in delivering Al and digital capabilities to both our warfighters and senior decision makers,” Palmieri wrote.

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Margie Palmieri, the longtime senior CDAO official who’s temporarily heading the office until the Trump administration names a new chief, sent an email to her colleagues Thursday that provides insight into how implementation of President Donald Trump’s DOGE directive across the federal government is impacting the military’s artificial intelligence hub.

DOGE is an acronym for Department of Government Efficiency, an initiative that’s being led by billionaire Trump adviser Elon Musk.

“We recognize the many moving pieces [with regards to] personnel moves in CDAO and appreciate your patience and support as we respond to emerging guidance and events,” Palmieri wrote.

Agency leaders across the federal government have been scurrying to carry out the mandate Trump announced early into his second administration to “maximize efficiency” via a massive, rapid reduction of the civilian workforce and major budget shifts. Certain moves agencies are pursuing to meet the objectives are now under litigation — leaving some federal employees’ work statuses in limbo.

Following Trump’s order, Pentagon leaders are planning to cut more than 50,000 of the DOD’s 900,000-plus civilian personnel, via the application of three primary mechanisms: the deferred resignation program that employees can opt to participate in; removing probationary staff; and setting a temporary hiring pause.

In Thursday’s email, Palmieri pointed out that “DoD remains in a hiring freeze,” but that on Wednesday officials from the Personnel and Readiness directorate “provided additional guidance on exemptions.” She noted that those include for “positions essential to national security to be filled by non-competitive reassignment, detail, conversion, term or temporary employees, reemployed annuitants, and Intergovernmental Personnel Act employees.”

“DoD is still limited in the number of people it can hire, but the new guidance gives us more flexibility to request exemptions. We will work with hiring managers to determine if any outstanding hires fit into this category, and we expect further guidance to be forthcoming for additional exemptions,” Palmieri wrote.

In recent weeks, CDAO spokespersons have repeatedly declined to share estimates for how many of the office’s employees are part of the pool of more than 20,000 who were granted approval to depart through the deferred resignation program — or its number of recently hired or promoted workers who are in a trial period that gives them probationary status.

Palmieri wrote in her email Thursday that the office has “not terminated any probationary employees” so far.

Elsewhere in the email, she noted that shortly after his Senate confirmation and swearing in last week, Deputy Secretary of Defense Stephen Feinberg “has been getting up to speed on the POM-26 [budget] relook and held a great first Unders meeting” with the principal staff assistants.

She also highlighted “front office changes” happening at CDAO, with transitions planned to play out over the next month.

Specifically, Chris Skaluba, who serves as the executive director and acting principal deputy CDAO, and the office’s Chief of Staff Amy Schafer are exiting in early April. Both entered their positions about a year ago.

Palmieri confirmed that Danny Holtzman will step into the acting principal deputy role. According to CDAO’s website, Holtzman was serving as deputy executive director and acting deputy CDAO for acquisition and assurance. Palmieri said that Andy Mapes will join the front office to cover executive director and chief of staff duties. The email did not provide information about Mapes’ expertise or where the official is moving from.

“We continue to have incredible advocacy and support for the work we do at multiple levels inside and outside DoD,” Palmieri also wrote.

DefenseScoop has reached out to CDAO spokespersons for comment.

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President Donald Trump has nominated former Fox News host Pete Hegseth to serve as defense secretary, and billionaire investor Stephen Feinberg to be deputy SecDef in his second term. Both men need Senate approval. If confirmed, they and the White House will have the option to name new officials or keep on existing staff for certain top Defense Department positions.

In conversations over email this week, sources revealed who is currently functioning in a few of those key roles between now and the arrival of DOD’s new bosses.

“Acting Chief Information Officer is Ms. Leslie Beavers,” a spokesperson told DefenseScoop late Tuesday.

Beavers, who retired from the Air Force as a reserve brigadier general, was tapped as acting CIO in July 2024 after John Sherman’s departure. She previously served as Sherman’s deputy and helped oversee multiple high-stakes, enterprise IT initiatives inside DOD.

A Pentagon spokesperson also confirmed that Gurpreet Bhatia is temporarily serving in dual-hatted roles as acting deputy CIO for cybersecurity and DOD’s chief information security officer. Before working at the Pentagon, Bhatia led the National Security Agency’s engagements with foreign partners, among other senior government roles.

Defense acquisition expert Radha Plumb assumed the role of DOD’s chief digital and artificial intelligence officer in April 2024. In a recent interview ahead of her planned departure from the department, Plumb told DefenseScoop that Principal Deputy CDAO Margie Palmieri was set to serve as the acting chief of the office in the interim until Trump’s pick is named.

Personnel in the CDAO told DefenseScoop Wednesday that the hub is largely operating as if Palmieri is its director this week. Pentagon spokespersons did not confirm that she’s officially leading the organization.

Separately, sources at the Defense Innovation Unit told DefenseScoop this week that former Apple executive Doug Beck continues to head the organization, where he took the helm in April 2023. Historically, “the DIU director is not a politically appointed role,” one official noted.

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The AI and Data Acceleration initiative — or ADA, in homage to computer programming pioneer Ada Lovelace — was originally a three-year effort funded through fiscal 2024, when Deputy Defense Secretary Kathleen Hicks first unveiled it in 2021.

While the exact requested amount for ADA in the president’s budget request for fiscal 2025 remains unclear, according to two senior officials who briefed DefenseScoop recently, the Defense Department has opted to keep the program running at least through fiscal 2029, or the end of the Future Years Defense Program.

“I think this is a journey. We’ve made incredible progress, but it’s not going to be done [this year]. And so having that right talent out there to constantly be responsive and aware of their needs is a great thing for the department,” the Pentagon’s Deputy Chief Digital and AI Officer Margie Palmieri said in an interview.

‘Where’s my stuff?’

ADA’s roots trace back to before Hicks in 2021 formed the CDAO, combining teams of officials from the Pentagon’s former Joint Artificial Intelligence Center, Defense Digital Service, Office of the Chief Data Officer, Project Maven and the Advana program within one new hub to strategically accelerate data-sharing and AI adoption. 

Palmieri noted that inspiration for the ADA initiative came from discussions that participants across those organizations were having back then about how to best equip the military’s combatant commands with technological expertise and assets.

“The idea was that we would put one civilian [Government Schedule or GS-15] at each combatant command, and then provide core support to them through department initiatives,” she explained.

After that step, though, “it really took about two years to get all those leads in place — by the time we went through the hiring process and found the right folks who were willing to go live at the combatant commands out across the globe,” Palmieri said. 

Early on, the CDAO leads found that each of the commands was functioning at very different stages of maturation in their paths toward being fully data-driven and were not applying resources in a standard way. However, officials did see a trend in requests for assistance associated with the DOD’s centralized data and analytics platform, Advana.

Recent budget documents refer to Advana as “a technology platform that not only houses a collection of enterprise data, but expands the boundaries of a standard data warehouse by arming military and business decision-makers with decision support analytics, visualizations, and data tools.”

Putting it another way, Palmieri said: “It is a collection of capabilities that, when they come together, give you the power of data analytics. At its core it is a data hub — I’ll call it a hub, it’s kind of a data catalog — so it tells you where all the data is in the department.” 

Quickly, leadership across the combatant commands was broadly interested in using data to inform the readiness of the personnel and logistics elements of their operations. 

“A lot of them just really want to know where their people are. What’s the readiness status? Where are they with operations and exercises and support? What does security force assistance look like inside of their combat command? So, a lot of things that had been done through data calls or through PowerPoint. But doing this in Advana gave us a kind of coherent, CoCom-wide view or department-wide view,” Palmieri explained.

“It’s one thing to have the raw data; it’s another thing to be able to make sense of that data in a way that can be presented to decision-makers,” she added.

In her view, the fast-moving, modern technology landscape — and top U.S. priorities like Joint All-Domain Command and Control — are forcing the department to no longer silo what was previously considered business versus warfighting data.

“In reality, personnel readiness, logistics, the status and positioning of forces, it’s stuck in the middle. It’s neither business nor warfighting. It’s both,” Palmieri said.

The CDAO’s senior representative embedded at U.S. Indo-Pacific Command, Dan Tadevich, also recognizes an ongoing transformation. 

“There’s a cartoon that I really like. It’s called the blind men and the elephant. If you can visualize this picture of an elephant, and all of us sitting around the table are touching a different part of the elephant. So all that we know is what we’re touching, instead of the fact that there’s an elephant there that you’re trying to get a picture of. In my mind, that’s very illustrative of what we try to do,” he told DefenseScoop during the interview alongside Palmieri.

“You take the logistics work, and you take the operational work, you take all these other pieces, but then you all come together as an operational planning group or planning team, put all your information on the table and you come up with a plan. And so that’s what we did at Indo-Pacom, and that’s what the ADA teams are out there really doing, is helping everybody get access to the data in a much more streamlined and expeditious way — so that you can build those visualizations and things that help you understand the elephant that you’re trying to see,” he explained.

As that bigger picture all comes together, the aim is that military leaders at each command can make high-stakes choices faster and based on more accurate information.

“When everybody is sitting around the table talking about how to execute something, [it starts with] ‘Where’s my people? Where’s my stuff? What can I do with it? And who’s ready to act now?’ So, if you can answer those initial questions, then the people sitting around the table can now start making the decisions and laying out the puzzle pieces in a way, and they give you the picture of what we can do today. Because that’s really what the leadership and the boss want to know,” Tadevich said. 

He and the CDAO’s other combatant command embeds catch up on weekly calls and daily in informal chat rooms to share updates on their progress and ideas for integration or opportunities to share in-development and existing resources.

Among other responsibilities, the ADA officials are also conducting digital readiness assessments on each command. 

When asked which command demonstrated that they were the most “digitally ready”
at this time, Palmieri and Tadevich both pointed to U.S. Transportation Command.

“They have been tested through fire. The [Afghan non-combatant evacuation operation or NEO] — how do you get people in and out of Afghanistan? The Ukraine support in terms of how are you going to move equipment all over the place? And [the COVID-19 pandemic] actually was a big Transcom challenge,” Palmieri said. 

The next chapter

“You won’t see an ADA line inside of our core CDAO budget,” the deputy CDAO noted, pointing out that the undisclosed total comes from several different “pots of money.” But again, Palmieri confirmed that — as part of a recent, overarching restructure of the CDAO’s budget — senior DOD leaders have formally initiated plans to extend CDAO support at the commands via ADA through fiscal 2029.

Palmieri and other CDAO officials did not share the exact number for requested or planned ADA funding (in or after 2025) before publication.

One thing that news of this ADA extension does provide, though, is the chance for current ADA embeds like Tadevich to be hired in “permanent” roles — instead of their current three-year temporary billets.

“That’s been one of the worries, that the three years is coming up. Whether the commands had taken the proper steps to be organically self-sufficient or not, doesn’t really matter — except for if it was going to go away — then it’s a problem, right? So the fact that [the Office of the Secretary of Defense] recognizes that all the commands didn’t move equally, and then they’re committing to continue to help and provide resources and to be that bridge to the next step is, I think, the most important thing that comes out of this,” Tadevich told DefenseScoop.

Now, he and other CDAO officials are preparing to steer what they hope will be a new wave of ADA-driven progress.

“I think the next chapter is we see a lot of value being connected to the combatant commands and their data needs. So having that CDAO rep at the combatant commands that can reach back to make sure that we’re providing the best support to our senior-most military commanders and decision-makers in the field is 100% where we want to be,” Palmieri said.

“The next question is — that’s one person — and we have some resources in the CDAO budget, but ADA was created to really figure out what we want to do is the department in supporting data-enabled decision-making inside the combatant commands,” she added. “And so through our normal budget processes, we’ve heard from a bunch of combatant commands about how they want to grow their teams, about how they want more resources, and more applications to use. They’re really excited to grow this mission space. So our next step in the CDAO is to get a sense of what that should look like for the department.”

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Deputy Defense Secretary Kathleen Hicks launched the Accelerating Data and AI (ADA) initiative, which is now CDAO led, in 2021 as a systematized plan to enable combatant commands to better capture and curate usable data to accelerate decision-making and inform their increasingly complex operations. 

Since then, CDAO leaders have hinted at various ADA-aligned successes but they’ve largely remained tight-lipped regarding who the officials dispatched to the combatant commands are, those individuals’ skill sets, and other seemingly basic details about how the initiative is ultimately unfolding.

“We’ve placed permanent [General Schedule-grade 15, or GS-15 officials with data science and algorithmic expertise] inside the combatant commands,” Deputy CDAO Margie Palmieri told DefenseScoop on the sidelines of a Hudson Institute event in January.

She also briefly noted then that the embeds have been conducting digital readiness assessments for each of the commands, which essentially audit associated processes, technology deployments and other factors.

After repeated inquiries from DefenseScoop since that conversation, a CDAO spokesperson on Thursday confirmed that Dan Tadevich is the senior representative embedded at Indo-Pacom.

The spokesperson did not provide any further information regarding his current responsibilities in this capacity, outputs so far, or professional background. 

They also declined to name any other CDAO embeds operating at other combatant commands.

According to his LinkedIn profile, Tadevich joined the CDAO in March 2022 and previously served as an Indo-Pacom operational data team lead, C3I systems engineer for MITRE, Pacific Air Forces knowledge management chief, and military deputy to the principal deputy for research in the Office of the Secretary of Defense, among other positions. 

Tadevich didn’t respond to a request for comment on LinkedIn.

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Generative AI has gone viral in recent months with the emergence of ChatGPT and other tools that can generate content such as text, audio, code, images, videos and other types of media, based on prompts and the data they’re trained on.

Schuyler Moore, the CTO for Central Command — which is responsible for U.S. military operations in the Middle East — sees some upsides and limitations of this type of technology for defense applications.

“This is in an earlier stage for us and we’re trying to be a bit more careful with this because the opportunity space for time savings is immense — and also the risks given the variance of performance and current lack of explainability where errors occur, make the models carry more risk, I think, than might be appropriate for combatant commands to push forward very hard,” Moore said Thursday during a panel discussion on tech integration hosted by the Potomac Officers Club.

“What’s interesting for generative models in our mind that we use is that they really can carve out all of these smaller or menial tasks. And I think sometimes we get super excited about generative models because we see ChatGPT and you can imagine … the future that it could be in and the types of media applications. But the reality is that it has such potential for menial tasks that you can pull off someone’s plate and that everyday workflow,” she said.

Writing emails is one example of the type of drudge work that it could assist with.

“If you have a model that can generate the first draft of your email and get you to a 40% place — it doesn’t have to write a full email, [and] God forbid it sends the email — but if it got you to a 40% mark and then you can adjust and edit from there, think about how much time that would save you. And all of that time savings can then direct the human brain to the nuanced semantic decisions that our human brains are really good at. I think sometimes we flip that over when we say generative models are going to replace those meaning [and] nuance-based decisions that need to be made. No, no. They can free up your time, it can free up your day so that you can make better decisions based on that,” she explained.

Moore continued: “And so for us, generative models require applications where you have the patience and the risk acceptance to work with them and to see where … they might reflect well, where they might not. But you have to be able to accept the risk associated with them. And in our mind, the more pedestrian menial tasks are the ones where there is actually huge potential. So, we’re working through that right now.”

Combatant commands and other Defense Department components recently put several generative models through their paces during a Global Information Dominance Experiment (GIDE) led by the Chief Digital and AI Office (CDAO).

“We have about five different models really just to test out, you know, how do they work? Can we train them on DOD data or tune them on DOD data? How do our users interact with them? And then what metrics do we want to come up with based off of what we were seeing to facilitate evaluation of these tools? Because there aren’t really great evaluation metrics for generative AI yet, and …  we want to make sure that we have the ability to understand its capability and know when it’s going to be effective,” Margie Palmieri, the Pentagon’s deputy chief digital and AI officer, said last month at a RAND Corp. event.

Palmieri didn’t identify the specific models that were tested, but she suggested an aim is to explore potential use cases and see how well the technology might meet the department’s needs.

“The way we think AI is it really is use-case based. So even in these generative AI models, they’re not the solution for every use case … In DOD, we have computer vision to look for object detection and tracking. We have natural language processing to look through policy documents and, you know, find correlations. We have other types of [machine learning] algorithms for predictive maintenance. So generative AI is no different. There are going to be use cases that it’s really, really good for and there are going to use cases it’s not good for,” she said.

Meanwhile, some Pentagon leaders are keen on pursuing generative AI solutions that have been specifically developed for U.S. military missions and trained on DOD data, because officials don’t fully trust the commercial products that are currently on the market, which have been known to “hallucinate” and provide inaccurate information.

“We are not going to use ChatGPT in its present instantiation. However, large language models have a lot of utility. And we will use these large language models, these generative AI models, based on our data. So they will be tailored with Defense Department data, trained on our data, and then also on our … compute in the cloud and/or on-prem, so that it’s encrypted and we’re able to essentially … analyze its, you know, feedback,” Maynard Holliday, the Pentagon’s deputy CTO for critical technologies, said in June at Defense One’s annual Tech Summit.

The department recently hosted a conference in McLean, Virginia, focused on generative AI. About 250 people from government, industry and academia were expected to attend, Holliday told DefenseScoop before the confab.

“We’ve got to level-set everybody” regarding DOD’s potential use cases for the technology and the things that industry and academia are doing in this field, he explained, noting that stakeholders need to figure out what technical gaps can be closed “to get us to those foundational models.”

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The latest iteration of the so-called Global Information Dominance Experiments (GIDE) is being led by the Pentagon’s Chief Digital and Artificial Intelligence Office in partnership with the Joint Staff. Participants are convening in-person and virtually from the Pentagon and field offices across multiple combatant commands. The wargame kicked off June 5.

“GIDE 6 will leverage our insights from GIDE 5 metrics to further test our capabilities by replicating real-world operational scenarios that enable us to learn and adapt in a controlled experimentation environment,” mission commander Col. Matthew Strohmeyer Strohmeyer said in a statement last month. “We aim to push the boundaries of our current systems and processes in this iteration, leveraging longer experiment duration and expanding collaboration to enhance the success of this and future experiments.”

Generative AI — which has gone viral in recent months with the emergence of ChatGPT and other tools that can generate content, such as text, audio, code, images, videos and other types of media, based on prompts and the data they’re trained on — is being utilized part of the effort, according to Margie Palmieri, the Pentagon’s deputy chief digital and AI officer.

“We are experimenting with different generative AI models, most recently in GIDE. We have about five different models really just to test out, you know, how do they work? Can we train them on DOD data or tune them on DOD data? How do our users interact with them? And then what metrics do we want to come up with based off of what we were seeing to facilitate evaluation of these tools? Because there aren’t really great evaluation metrics for generative AI yet, and …  we want to make sure that we have the ability to understand its capability and know when it’s going to be effective on it’s not going to be effective,” she said this week at a RAND Corp. event.

Palmieri didn’t identify the AI models that are being used in the experiments or provide an assessment of how well they’re performing. GIDE 6 is ongoing and isn’t slated to wrap up until July 26. But she suggested an aim is to explore potential various use cases and see how well the technology performs.

“The way we think AI is it really is use-case based. So even in these generative AI models, they’re not the solution for every use case … In DOD, we have computer vision to look for object detection and tracking. We have natural language processing to look through policy documents and, you know, find correlations. We have other types of [machine learning] algorithms for predictive maintenance. So generative AI is no different. There are going to be use cases that it’s really, really good for and there are going to use cases it’s not good for,” Palmieri said.

Officials say that in the future the U.S. military could leverage generative artificial intelligence to enable things like “decision support and superiority,” which is an important element of the Joint All-Domain Command and Control (JADC2) warfighting concept. The goal of JADC2 is to better connect the armed forces’ sensors, shooters and networks and enable better and faster decision-making.

However, Pentagon officials are concerned about the shortcomings of the technology, noting that current commercial products have been known to “hallucinate” and provide inaccurate information.

“What we found is there’s not enough attention being paid to the potential downsides of generative AI, specifically hallucination. This is a huge problem for DOD and it really matters for us and how we apply that. And so we’re looking to work more closely with industry on these types of downsides and not just hand wave them away. So to do that we are experimenting with different generative AI models” in experiments such as GIDE, she said.

Maynard Holliday, the Pentagon’s deputy CTO for critical technologies, has said the Defense Department won’t field commercial-off-the-shelf apps like ChatGPT in their current instantiation. Instead, generative AI technology will need to be tailored to meet U.S. military needs. And the Pentagon plans to work with industry and academia in this regard.

“Large language models have a lot of utility. And we will use these large language models, these generative AI models, based on our data. So they will be tailored with Defense Department data, trained on our data, and then also on our … compute in the cloud and/or on-prem, so that it’s encrypted and we’re able to essentially … analyze its, you know, feedback,” he said last month at Defense One’s annual Tech Summit.

He later told DefenseScoop that the Pentagon wants “multimodal” capabilities that incorporate language, vision and signals.

Holliday also noted a connection between the pursuit of generative AI capabilities and the JADC2 initiatives.

“We fight jointly, right? And so it’ll be a joint model with … all of those efforts feeding into the model,” he told DefenseScoop. “That’s what it’s going to take.”

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