DoD's Air Force awards $5.6M for WarMatrix wargaming software to Code Metal, Inc

Contract Overview

Contract Amount: $5,631,000 ($5.6M)

Contractor: Code Metal, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-09-30

End Date: 2026-03-31

Contract Duration: 182 days

Daily Burn Rate: $30.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: SBIR III RESEARCH AND DEVELOPMENT EFFORT ENTITLED WARMATRIX WHICH DEVELOPS WARGAMING SOFTWARE FOR MILITARY APPLICATION

Place of Performance

Location: BOSTON, SUFFOLK County, MASSACHUSETTS, 02108

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $5.6 million to CODE METAL, INC. for work described as: SBIR III RESEARCH AND DEVELOPMENT EFFORT ENTITLED WARMATRIX WHICH DEVELOPS WARGAMING SOFTWARE FOR MILITARY APPLICATION Key points: 1. Contract awarded to Code Metal, Inc. for wargaming software development. 2. The contract falls under NAICS code 541715 (R&D in Physical, Engineering, and Life Sciences). 3. Full and open competition was conducted after excluding sources. 4. The contract type is Firm Fixed Price, indicating defined costs. 5. Project duration is 182 days, ending March 31, 2026.

Value Assessment

Rating: good

The contract value of $5.631M for 182 days of R&D appears reasonable given the specialized nature of wargaming software for military applications. Benchmarking against similar complex software development contracts would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' suggesting a competitive process was initiated but narrowed. The impact on price discovery depends on the number and quality of bids received.

Taxpayer Impact: Taxpayer funds are being used for advanced military simulation software, aiming to enhance strategic planning and training capabilities.

Public Impact

Enhances military strategic planning and training through advanced wargaming software. Supports innovation in defense technology and simulation capabilities. Potential for broader application in other government or civilian sectors requiring complex simulations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep in R&D projects.
  • Dependence on a single vendor for specialized software development.

Positive Signals

  • Clear objective for developing critical military software.
  • Firm Fixed Price contract provides cost certainty.
  • Competition, even if narrowed, suggests market engagement.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on software for military applications. Spending in this area is crucial for maintaining technological superiority but requires careful oversight to ensure value for money.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or prime contractors in this specific award. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The Department of the Air Force is responsible for oversight. The contract's definitive nature and firm fixed price suggest a structured approach, but ongoing monitoring of progress and deliverables is essential.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Potential for limited competition due to source exclusion.
  • R&D projects can face unforeseen technical challenges.
  • Dependence on contractor's expertise for specialized software.
  • Firm Fixed Price may disincentivize contractor innovation if not carefully managed.

Tags

research-and-development-in-the-physical, department-of-defense, ma, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.6 million to CODE METAL, INC.. SBIR III RESEARCH AND DEVELOPMENT EFFORT ENTITLED WARMATRIX WHICH DEVELOPS WARGAMING SOFTWARE FOR MILITARY APPLICATION

Who is the contractor on this award?

The obligated recipient is CODE METAL, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $5.6 million.

What is the period of performance?

Start: 2025-09-30. End: 2026-03-31.

What is the expected return on investment for the WarMatrix software in terms of improved military readiness or cost savings in training?

The return on investment for the WarMatrix software is expected to manifest through enhanced military readiness and potentially reduced training costs. By providing a sophisticated platform for simulating complex scenarios, it allows for more effective and repeatable training exercises. This can lead to better-prepared personnel and optimized resource allocation, ultimately contributing to a more capable defense force and avoiding costs associated with real-world training limitations.

What are the key risks associated with the 'full and open competition after exclusion of sources' method, and how are they mitigated?

The primary risk of 'full and open competition after exclusion of sources' is that potentially innovative or cost-effective solutions from excluded sources might be missed, limiting overall competition. Mitigation involves a clear, documented justification for the exclusion, ensuring it's based on specific technical requirements or prior performance. The agency must demonstrate that the remaining competitive pool still offers sufficient choice and value to taxpayers.

How does the firm fixed price contract structure ensure the government receives value for money in this R&D effort?

A firm fixed price (FFP) contract shifts the risk of cost overruns to the contractor, incentivizing them to manage expenses efficiently. For this R&D effort, FFP ensures the government knows the total cost upfront, providing budget certainty. Value for money is achieved if the contractor delivers the specified wargaming software within the agreed price and timeline, meeting performance requirements. The government's role is to clearly define requirements and monitor performance to ensure deliverables meet expectations.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTGeneral Science and Technology R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 201 WASHINGTON STREET, BOSTON, MA, 02108

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $17,394,437

Exercised Options: $5,631,000

Current Obligation: $5,631,000

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2025-09-30

Current End Date: 2026-03-31

Potential End Date: 2026-05-29 00:00:00

Last Modified: 2026-01-06

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