Upon graduation from College of the Holy Cross, Daly commissioned as an Ensign in the United States Navy through the Naval Reserve Officer Training Corps.

Daly commanded the destroyer USS Russell (DDG-59) from the early stages as a pre-commissioning unit through commissioning, culminating with a successful deployment to the Persian Gulf taking part in combat operations in support of Operation Desert Strike.

He commanded Destroyer Squadron 31 serving as sea combat commander for Abraham Lincoln Battle Group during Rim of the Pacific 2000, and throughout a Persian Gulf deployment supporting Operation Southern Watch.

His shore assignments include flag aide to Commander, Naval Surface Force, U.S. Atlantic Fleet, in the Surface Warfare Programs and Budget Division (OP-30); deputy executive assistant to the Vice Chief of Naval Operations, on the Joint Staff as a program analyst and executive assistant to the Director of Force Structure, Resources, and Assessments (J-8); executive assistant to the Commander of the Pacific Fleet; and, later, as executive assistant to the Commander of the U.S. Pacific Command.

The Naval Institute exponentially increased its reach and engagement though its core website, the start-up of USNI News, greatly expanded social media, expansion of live events, and the building of the Jack C. Taylor Conference Center.