US launches Project Watershed 250 to secure water systems with AI and red-team exercises

The US administration has launched Project Watershed 250, a six-month pilot in Texas to identify and address cybersecurity vulnerabilities in water systems before they can be exploited. The programme brings together federal agencies, Texas Cyber Command, local governments and cybersecurity companies to test utility defences and strengthen weak systems using AI tools.

The initiative will use red-team exercises to stress-test utility networks. The Environmental Protection Agency and CISA are federal partners, while Texas Cyber Command works with Microsoft, Reflection AI, Palo Alto Networks and Dragos. Tenable is also supporting the effort.

The White House said the programme is not a response to recent attacks on more than 30 Minnesota water systems, though those incidents highlighted vulnerabilities in local infrastructure. It builds on the president’s June executive order on AI innovation and security and his March Cyber Strategy for America.