Horizon cutting-room links: 3 October 2025

"Is GSA Attempting to Apply Price Controls to the Reseller Market?" Federal News Network

GSA is reportedly moving to impose a five percent cap on the markup for value-added resellers (VARs). It’s unclear whether this is profit or total markup.

• GSA plans to cap the markup for VARs at 5 percent, which may apply only to GSA’s Multiple Award Schedules and other GSA-managed contracts, raising questions about how this limit will be defined and enforced.
• Industry experts warn that limiting profit without considering overhead costs could lead to poor service quality and increased costs for the government, challenging the notion that this policy will save money.
• The initiative may conflict with the FAR overhaul aimed at simplifying procurement processes, potentially requiring vendors to provide detailed cost analyses that many small businesses cannot afford.

"UK Once Again Demands Backdoor to Apple’s Encrypted Cloud Storage," Financial Times

The UK government has renewed its demand for Apple to create a backdoor into iCloud’s encryption for British users, despite reports of having abandoned such efforts. This new order raises similar privacy and security concerns, and could compromise global encryption standards.

• The UK Home Office has requested Apple to allow access to encrypted cloud backups specifically for British citizens, despite previous international tensions regarding similar demands.
• Apple has expressed disappointment over the inability to offer its most secure service, iCloud Advanced Data Protection, in the UK, citing ongoing risks to customer privacy. (ADP provides end-to-end encryption to most iCloud data, including device backups, Photos, and Notes, so only trusted devices hold the keys and even Apple cannot access content.)
• Privacy advocates warn that creating a backdoor could expose user data globally, increasing risks from potential exploitation by malicious entities and undermining trust in encryption technologies.

"US Air Force Revamps Pilot Training as T-7 Era Nears," Defense News

The US Air Force is preparing to integrate the new T-7A Red Hawk aircraft into its pilot training program, aiming to modernize a system that has relied on outdated T-38 jets for decades.

• USAF plans to purchase 351 T-7 jets to replace the T-38 Talon, which has been in service for about 60 years and is inadequate for training pilots on modern fifth-generation fighters.
• The first T-7 is expected to arrive at Joint Base San Antonio-Randolph on 5 December 2025, but actual pilot training in the new aircraft will not begin until early 2028, after instructors receive necessary training.
• The T-7 will not only replace the T-38 but also lead to a comprehensive overhaul of the Air Force's pilot training syllabus, eliminating outdated practices and focusing on the skills required for advanced aircraft and future combat scenarios.