To prohibit the Secretary of Defense from entering into information technology contracts with entities that provide certain services to China, and for other purposes.

This bill prohibits the U.S. Secretary of Defense from entering, renewing, or extending information technology contracts with companies that have specific ties to China. It bans contracts with entities that own or fund AI research facilities in China, provide military or dual-use software to Chinese government-linked companies, enable access to U.S. government software source code for China, or operate data centers in China (including through subsidiaries). The law applies only to Defense Department IT contracts signed within three years of enactment and includes a waiver option for national security reasons. It directly affects defense contractors and their subsidiaries with these China connections.