According to Reuters, the aims are to create leading edge sensors that can be worn by USAF personnel or built into the exastructure of a plane.
The report said the idea is to use next generation printing tech to make stretchable electronic devices tat can be worn by ground troops and naval personnel too.
Defense Secretary Ash Carter said that the US government will pump $75 million into the plans over the next five years and commercial companies will throw in $90 million and other government authorities creating a honey pot of $171 million.
US universities will also work on the scheme with a hub based in San Jose.
The US government has already pumped money into futuristic 3D printing schemes.