Washington: The Defense Digital Service (DDS), a pivotal Pentagon tech team established to modernize U.S. military operations, is set to shut down by May 1 following the resignation of all 14 members, including Director Jennifer Hay, an official informed The Hill on Tuesday.

According to Anadolu Agency, the majority of these resignations stem from the Trump-era deferred resignation policy. The team attributed their departures to administrative obstacles and policies that have been in place since Trump assumed office in January. "Although DDS was excited to support DoD's efforts to improve efficiencies and champion software modernization initiatives, the Administration's hiring freezes, rescinding remote work, and travel restrictions were making us non-mission capable," a member of the office stated. "As a result, most of the team elected to resign," the official added.

Politico initially reported the impending closure, attributing it also to pressure from the unofficial Department of Government Efficiency, a controversial group aiming to downsize the government. DDS staff had shown interest in collaborating with the team, led by prominent Trump donor Elon Musk, but they were reportedly excluded from its artificial intelligence automation projects.

Established in 2015 by then-Defense Secretary Ash Carter, DDS was designed to infuse Silicon Valley-style innovation into the Pentagon. Carter envisioned a digital team capable of quickly addressing complex IT challenges across military operations. DDS was actively involved in areas such as cybersecurity, AI integration, digital services for military families, and counter-drone technology.

While the office is set to disband, the official noted that most ongoing projects have been reassigned. The Pentagon declined to offer further comments, as reported by The Hill.