Why Subterranean Warfare Is the Next Battleground | Palmer Luckey | The Axios Show Clip

Axios
AxiosMar 18, 2026

Why It Matters

Subterranean warfare could redefine military strategy and open a lucrative, technology‑driven market, while forcing governments to confront new regulatory and ethical challenges.

Key Takeaways

  • Subterranean warfare will become a dominant future combat domain.
  • Anduril’s prototypes leverage autonomy to make underground systems affordable.
  • Fury autonomous fighter jet won Air Force contract against major competitors.
  • Company plans rapid production ramp-up at Ohio Arsenal-1 facility.
  • Founder supports nuclear weapons but opposes biological, limits chemical use.

Summary

In a clip from The Axios Show, Palmer Luckey, founder of Anduril Industries, argues that the subterranean environment will eclipse space as the next major war‑fighting domain, positioning underground mobility and logistics as a century‑long strategic priority.

Luckey notes that Cold‑War planners once imagined tunneling armies through the Earth, but the concept stalled after the Soviet Union’s defeat. Today, advances in autonomy, low‑cost robotics and AI allow Anduril to field prototype systems that can deliver kinetic, electronic and other effects beneath the surface at dramatically reduced risk and expense.

He cites Anduril’s recent successes – the autonomous fighter jet Fury, which beat legacy aerospace firms for a U.S. Air Force contract, and the imminent activation of the Ohio Arsenal‑1 production line, slated to roll out aircraft such as Barracuda and Fury within weeks. Luckey also sparked controversy by stating he would build nuclear and certain chemical weapons while drawing a line at biological agents.

If underground operations become mainstream, defense budgets will shift toward autonomous tunneling platforms, creating new markets for firms that can integrate AI, sensors and weapons below ground. Policymakers will also face novel legal and ethical questions about weaponization of the Earth’s crust, reshaping the future of warfare.

Original Description

In this clip from The Axios Show, Anduril founder Palmer Luckey discusses the "crazy" future of defense technology. From autonomous fighter jets (Fury) to why he believes the next war domain is beneath the Earth's crust, Luckey reveals the red lines he won't cross, and why nuclear weapons aren't one of them.
Timestamps:
0:00 - Subterranean warfare: The next battleground?
2:02 - Building "Fury": Beating the legacy defense giants
2:57 - The Red Line: What Palmer Luckey won't build
3:30 - Why he’d build nuclear and fusion weapons
4:10 - Arsenal-1: Production update and upcoming projects
Watch the full episode of The Axios Show for more on defense tech, AI, and the future of war: https://youtu.be/VZfW3YTJ5Eg
Subscribe to Axios for more episodes of The Axios Show coming soon: https://www.youtube.com/@axios?sub_confirmation=1

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