HII and GrayMatter Robotics Partner to Integrate Physical AI into Shipbuilding
The American shipbuilding industry is entering a period of rapid modernization. In a significant move to accelerate production, HII (NYSE: HII) and GrayMatter Robotics (GMR) signed a memorandum of understanding (MOU) on April 6, 2026, to integrate “Physical AI” into both manned and unmanned shipbuilding operations. This partnership aims to boost throughput, strengthen the maritime industrial base and provide critical support to the shipbuilding workforce.
Driving Efficiency Through Physical AI
The collaboration focuses on bringing autonomous technologies into the heart of shipbuilding. Specifically, HII and GMR will explore the use of autonomous surface preparation, coating, and inspection technologies. By automating these labor-intensive processes, the companies intend to increase production speed without compromising the quality of the vessels.
This integration is a core component of HII’s High-Yield Production Robotics (HYPR) initiative. The HYPR initiative uses physical AI technologies to streamline shipbuilding processes and develop autonomous AI-based manufacturing solutions.
Strategic Goals and Production Targets
For HII, this partnership isn’t just about technology—it’s about hitting aggressive production milestones. Eric Chewning, HII’s executive vice president of maritime systems and corporate strategy, noted that the company’s shipbuilding throughput increased by 14% in 2025. HII is now targeting an additional 15% increase in 2026.

The MOU signing ceremony, held at GrayMatter Robotics’ headquarters in Carson, Calif., was attended by Chewning and Ariyan Kabir, the CEO and co-founder of GrayMatter Robotics. The partnership is designed to augment the existing workforce, allowing the U.S. Navy’s shipbuilding production to scale more effectively during what Chewning described as an “American shipbuilding renaissance.”
Key Takeaways: HII and GrayMatter Robotics Partnership
- Core Objective: Integration of Physical AI to accelerate shipbuilding throughput and augment the workforce.
- Target Technologies: Autonomous inspection, coating, and surface preparation.
- Strategic Initiative: The technology will be integrated into HII’s High-Yield Production Robotics (HYPR) program.
- Performance Goals: Following a 14% throughput increase in 2025, HII seeks another 15% increase in 2026.
- Scope: Applies to both manned and unmanned shipbuilding operations.
The Future of the Maritime Industrial Base
By transitioning toward autonomous AI-based manufacturing, HII and GrayMatter Robotics are addressing systemic bottlenecks in naval production. The move toward Physical AI represents a shift from traditional manual labor to a hybrid model where autonomous systems handle repetitive, high-precision tasks, allowing human workers to focus on complex oversight and strategy.
As the U.S. Continues to prioritize the modernization of its fleet, the success of the HYPR initiative and the GMR partnership will likely serve as a blueprint for the future of autonomous industrial manufacturing in the maritime sector.