Metal 3D printing company Velo3D (Nasdaq: VELO), which just this week uplisted to the Nasdaq Capital Market a year after leaving the NYSE for over-the-counter (OTC) markets, is participating in an initiative to advance cost-effective, high-throughput AM processes for Aluminum CP1. Funded by the U.S. Army Combat Capabilities Development Command Aviation & Missile Center (DEVCOM AvMC) and Manufacturing & Sustainment (M&S) program, the initiative will focus on supporting defense applications. This project clearly shows the Army’s desire to make the domestic industrial base stronger through collaborative, mission-aligned manufacturing partnerships that support the needs of the warfighter.

“Velo3D’s metal AM platform was selected by (DEVCOM) AvMC and M&S for its differentiated capabilities that overcome the traditional constraints of legacy L-PBF systems. Through a fully integrated software and hardware platform that includes factory tool matching, in-situ monitoring, standardized process parameters, and centralized data systems, we enable consistent and repeatable outcomes across machines and sites. These are essential advantages for distributed manufacturing in support of national defense,” said Dr. Arun Jeldi, CEO of Velo3D.

Together with RTX and the Raytheon Technologies Research Center (RTRC), Velo3D will work to come up with an optimized LPBF process for Aluminum CP1, an aluminum-iron-zirconium alloy with high thermal conductivity often used in aerospace and defense applications. They will be using Velo3D’s large-format laser powder bed fusion (LPBF) technology to determine a repeatable AM process that can scale across facilities and programs. This type of project makes sense for Velo3D, considering half of its Q1 25 demand came from the defense sector.

“Additive manufacturing is pivotal to building a resilient and agile defense supply chain. This collaboration with (DEVCOM) AvMC and M&S brings together government and industry to establish a scalable and repeatable process for Aluminum CP1 production. It enables rapid response and quality assurance for our military forces,” stated Lee Barber, Raytheon Additive Manufacturing Materials Lead, RTX.

The work will support the U.S. Army’s Integrated Air and Missile Defense (IAMD) modernization priorities, such as system agility, operational readiness, and affordability. The IAMD is a research program meant to improve the U.S. military’s aging surface-to-air missile defense systems.

Additionally, to lay the groundwork for a distributed manufacturing model across the DoD and its supplier network, the companies will also work to set up an Installation and Operational Qualification (IQ/OQ) framework that can replace traditional point-qualification methods.

The Sapphire XC 1MZ 3D printer from Velo3D. Image courtesy of Velo3D.

That’s not all. Last week, Velo3D entered into a $6 million contract to support U.S. Navy Maritime Industrial Base Program efforts to speed up 3D printing for repairs of critical ship components. By working to modernize ship maintenance, the company can help reduce lengthy repair delays that negatively impact fleet readiness.

The contract includes the purchase of the printer, as well as a service agreement to support R&D, part fabrication, and qualification. Velo3D will develop and qualify copper-nickel alloy (CuNi) for its large-format LPBF Sapphire XC printer. This material has excellent seawater corrosion resistance, but traditional casting comes with major challenges, such as increased costs, lead times, and rework. Through its recently introduced Rapid Production Solutions (RPS), the company can develop and print these parts much more quickly, thus improving supply chain resiliency for tight shipbuilding schedules.

“Velo3D is proud to be the first U.S.-based OEM with domestically developed Laser Powder-Bed Fusion additive manufacturing solutions to develop CuNi for its systems. Through our Rapid Production Solution, we are helping provide faster part delivery, enhanced reliability, and the surge capacity needed to meet evolving defense demands,” said Dr. Jeldi.

The company’s new corporate strategy hinges on its technology development and parts production service. RPS uses Velo3D’s expertise and systems to achieve scalable production of mission-critical parts for U.S. Navy applications.

“Engineers in aerospace, defense, and energy rely on Velo3D to produce high-performance metal parts with precision, repeatability, and scale,” the RPS page states. “With intelligent process control, integrated software, and a scalable production ecosystem, Velo3D enables manufacturers to qualify designs faster and transition to full-scale production seamlessly.”

Velo3D’s AM facility in Fremont, California. Image courtesy of Velo3D via LinkedIn.

Velo3D’s U.S.-based development team in Fremont, California, will take on the CuNi qualification process, together with a domestic, openly sourced metal powder supplier. This secures supply chain independence for the U.S. Navy. In addition, Velo3D is the first metal 3D printer OEM to achieve the highest level of DoD cybersecurity compliance, which means that its Sapphire systems—which are assembled in the U.S.—can securely connect to military networks.

While things seemed pretty grim for Velo3D at this time last year, the company has fought its way back tooth and nail, posting higher revenue and smaller losses in Q2 25 compared to the same period in 2024. It seems that their story may just be getting started.