Insider Brief
- The ARM Institute’s 2025 Impact Report highlighted 14 completed technology projects, 18 new project starts, $3.8 million in project funding and a new five-year cooperative agreement with the Air Force Research Laboratory worth up to $87.66 million.
- The organization identified robotics for casting and forging and physical AI for manufacturing as its two strategic focus areas, citing workforce, safety, cost and manufacturing data challenges as key barriers to broader adoption.
- Four new manufacturing projects received funding in 2025, targeting areas including adaptive aircraft inspection, dynamic robot safety, robotic 3D inspection and autonomous foreign object detection for aerospace manufacturing.
Advanced Robotics for Manufacturing has released its 2025 Impact Report, providing snapshot the consortium’s activities over the past year in support of its network of nearly 500 member organizations.
The Pittsburgh-based robotics and AI institute, established in 2017 with Department of War funding through the Manufacturing USA network, characterized 2025 as a year of tangible progress in the development and adoption of robotics and physical AI in U.S. manufacturing and defense.
According to ARM, the institute completed 14 technology projects and started 18 more, while awarding $3.8 million in project funding and issuing six technology project calls. It conducted 48 site visits that led to 27 custom automation solutions with a 50% implementation rate and helped catalyze $1.25 million in related investments.
“ARM Institute Project funding is a key way the ARM Institute catalyzes much-needed robotics and
artificial intelligence (AI) innovations to strengthen U.S. manufacturing, dually supporting the Defense
Industrial Base (DIB) and the wider, national manufacturing landscape,” the report pointed out.
As part of ARM funding, project teams are required to identify pathways for deploying their technologies in both military and commercial settings, ensuring a focus on practical outcomes, according to the organization.
Areas of Focus
The ARM Institute said it works with its members and Technology Advisory Committee to identify high-priority areas and In 2025, the organization chose robotics for casting and forging, and physical AI for manufacturing as its two strategic areas.
ARM indicated casting and forging was a priority area due to ongoing challenges around worker safety, material availability and production costs. Over the past several years, the organization convened manufacturers, defense suppliers, robotics companies and government stakeholders to develop a roadmap for broader automation adoption, which is expected to be released in 2026 and has already informed new funding initiatives focused on modernizing these critical manufacturing processes.
Physical AI was targeted as a growing focus area as the institute pointed out that one of the biggest barriers to adoption in manufacturing remains access to high-quality training data. To address that, the organization has funded projects aimed at creating manufacturing datasets for applications such as inspection and surface finishing, while also developing guidance and educational resources to help manufacturers better understand and deploy AI-powered robotics systems.
Major Funding Win: New $87M AFRL Cooperative Agreement
In November 2025, the ARM Institute secured a five-year Cooperative Agreement with the Air Force Research Laboratory (AFRL) worth up to $87.66M (combined government funding and cost share). The consortium stressed that this multi-year commitment provides stable, long-term funding for practical robotics innovation aligned with Air Force priorities.
According to ARM, the agreement supports research, development, testing, and evaluation of dual-use robotics and automation technologies that benefit both defense sustainment and the broader commercial industrial base. The first project call under the agreement, AI-FORM, focuses on developing an autonomous robotic system for incremental open-die forging of bulk metal components, which is a capability relevant to missiles, aircraft parts, ship components, and other high-value defense manufacturing.
Technology Projects Delivering Real Capability
In 2025, four projects received funding under the ARM’s “Core Technology Project Call.” Approximately $2 million in project funding was awarded for a total contribution of roughly $4 million across the four projects when including team cost-share.
The call focused on strengthening U.S. manufacturing through four special topic areas:
- Multi-Modal Inputs for AI Robotics in Manufacturing
- Rapid Re-Tasking and Robot Agility
- Multi-Robot, Multi-Human Collaboration
- Adaptive Real-Time Path Planning and Control
Project teams were also encouraged to target key manufacturing areas of interest, including metal re-casting and forging, the production of hypersonics and energetics, garment and textile manufacturing, and robotic inspection in confined spaces.
The four projects selected were:
Adaptive Aircraft Inspection with Digital Twins: Siemens, Gray Matter Robotics and Northrop Grumman are developing a robotic inspection system that combines digital twins with automated metrology to verify aircraft components in high-mix manufacturing environments, reducing manual inspection bottlenecks and improving quality.
Dynamic Safety for Mobile Robots and Cobots: Boeing, Spirit AeroSystems and Sensory Robotics are developing a real-time safety system that dynamically adjusts robotic safety zones based on location, speed and trajectory, allowing autonomous systems to operate more effectively around people and equipment.
Deep-Hole Robotic 3D Inspection: ARIS Technology, G.C. Laser Systems and Fanuc are building a robotic scanning system capable of inspecting hard-to-reach internal surfaces and deep cavities through a combination of robotic motion, 3D scanning and sensor fusion.
Autonomous Foreign Object Detection for Aerospace Manufacturing: ThoughtForge, Northrop Grumman, Siemens and Airbus are developing a robotic inspection platform that can navigate aircraft structures and identify foreign object debris without requiring workers to enter confined spaces.
Project Spotlight: Extended Reality and AI-Assisted Paint Masking
One of the defense impact projects noted in the report was GridRaster’s work on extended reality (XR) and AI-assisted paint masking for Organic Industrial Base (OIB) facilities. According to ARM, many of these depots are decades old, and traditional vehicle paint masking and de-masking processes remain largely manual, relying on 2D diagrams and technical manuals in binders. These methods are time-consuming and prone to errors due to subjective interpretation of tolerances.
The GridRaster project developed a solution using extended reality and AI to provide precise spatial computing overlays, significantly improving the efficiency, accuracy, and productivity of paint masking and de-masking operations. ARM said the system offers a smaller footprint and substantially lower costs compared to traditional manual processes or projector-based alternatives.
Other Highlights
Automation Services
ARM pointed out how its Automation Services program helps manufacturers evaluate where robotics and AI can improve operations through objective site assessments and custom planning. In 2025, the program completed 48 site visits and developed 27 tailored solutions with a 50% implementation rate, catalyzing $1.25 million in related investments while assisting 21 defense suppliers. ARM cited Pennsylvania manufacturer Kenson Plastics as one example where consortium experts designed a flexible robotic solution using a central robot arm and smart queuing software.
In 2026, these services and access to the Pittsburgh Robotics Manufacturing Hub are expanding to more commercial manufacturers, ARM noted.
Workforce Development
According to ARM, its RoboticsCareer.org continued growing in 2025, attracting over 119,000 visitors, listing more than 16,700 training programs (36 endorsed), and supporting over 1,500 job connections.
In 2026, the platform is expected to expand with new functions centered on Physical AI skills, the report said. The ARM Institute is also collaborating with other Manufacturing USA institutes on MyMfgCareer.org, a broader national resource to help address workforce needs across manufacturing sectors.
Looking Ahead to 2026
The report indicated that programs and services originally developed with defense and regional partners will be made more widely available to commercial manufacturers. What will remain is an emphasis on objective, practical support that helps companies determine where robotics and physical AI can deliver the highest return without pressure to purchase specific equipment.
The full ARM Institute 2025 Impact Report is available on arminstitute.org.