DoD Awards $153.9M Contract for RF Threat Simulator to Keysight Technologies
Contract Overview
Contract Amount: $15,391,186 ($15.4M)
Contractor: Keysight Technologies, Inc.
Awarding Agency: Department of Defense
Start Date: 2023-07-25
End Date: 2026-09-21
Contract Duration: 1,154 days
Daily Burn Rate: $13.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: RAPID ACQUISITION OF A RADIO FREQUENCY THREAT SIMULATOR 4
Place of Performance
Location: SANTA ROSA, SONOMA County, CALIFORNIA, 95403
Plain-Language Summary
Department of Defense obligated $15.4 million to KEYSIGHT TECHNOLOGIES, INC. for work described as: RAPID ACQUISITION OF A RADIO FREQUENCY THREAT SIMULATOR 4 Key points: 1. The Department of Defense awarded a $153.9 million contract for a Radio Frequency Threat Simulator. 2. Keysight Technologies, Inc. secured the contract, indicating potential market concentration or specialized capability. 3. The contract's firm fixed price structure aims to control costs, but the duration and lack of small business participation warrant scrutiny. 4. This acquisition falls under the Instrument Manufacturing sector, crucial for testing and measurement capabilities.
Value Assessment
Rating: good
The contract value of $153.9 million for a specialized simulator appears reasonable given the advanced nature of RF threat simulation technology. Benchmarking against similar complex test equipment contracts would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the single awardee implies Keysight Technologies likely offered the most competitive technical and price solution.
Taxpayer Impact: Taxpayers benefit from competitive bidding, which should drive a fair price for this critical defense capability. The firm fixed price contract further protects against cost overruns.
Public Impact
Enhances Air Force's electronic warfare capabilities by providing realistic threat simulation. Supports training and readiness for personnel operating in complex electromagnetic environments. Contributes to the development and testing of advanced defense systems. Potential for follow-on contracts or upgrades based on operational performance.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation
- Long contract duration (1154 days)
Positive Signals
- Firm fixed price contract
- Full and open competition
- Awarded to a known industry player
Sector Analysis
This contract falls within the Instrument Manufacturing sector, specifically for measuring and testing electrical signals. Spending in this area is critical for maintaining technological superiority in defense.
Small Business Impact
The contract was not awarded to small businesses, which is a missed opportunity for economic inclusion. Future solicitations should consider strategies to encourage small business participation in this specialized sector.
Oversight & Accountability
The firm fixed price contract and full and open competition provide a degree of oversight. However, ongoing monitoring of performance and adherence to specifications will be crucial throughout the contract's lifecycle.
Related Government Programs
- Instrument Manufacturing for Measuring and Testing Electricity and Electrical Signals
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Potential for vendor lock-in due to single award and long duration.
- Lack of small business participation.
- Risk of technology obsolescence over the contract period.
- Dependence on a single supplier for critical simulation capabilities.
Tags
instrument-manufacturing-for-measuring-a, department-of-defense, ca, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $15.4 million to KEYSIGHT TECHNOLOGIES, INC.. RAPID ACQUISITION OF A RADIO FREQUENCY THREAT SIMULATOR 4
Who is the contractor on this award?
The obligated recipient is KEYSIGHT TECHNOLOGIES, 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 $15.4 million.
What is the period of performance?
Start: 2023-07-25. End: 2026-09-21.
What is the specific technological advantage this simulator provides over existing systems, and how does its cost reflect that advancement?
The simulator likely offers advanced capabilities in replicating complex and evolving RF threats, crucial for modern electronic warfare. Its cost reflects the sophisticated hardware, software, and integration required for high-fidelity simulation. Benchmarking against similar advanced EW simulation systems would clarify if the price aligns with the technological leap.
Given the long duration and single award, what are the risks associated with vendor lock-in or potential obsolescence of the technology?
A long duration with a single vendor increases the risk of vendor lock-in, potentially limiting future flexibility and competitive pricing for upgrades or maintenance. There's also a risk that the technology could become obsolete during the contract period if not managed proactively. Mitigation strategies could include phased delivery, clear upgrade paths, and performance-based metrics.
How will the effectiveness of this simulator be measured to ensure it meets the Department of Defense's training and readiness objectives?
Effectiveness will likely be measured through rigorous testing and validation against defined threat scenarios, user feedback from training exercises, and performance metrics outlined in the contract. Independent verification and validation by DoD technical experts will ensure the simulator accurately replicates real-world threats and contributes to achieving desired training outcomes.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Instrument Manufacturing for Measuring and Testing Electricity and Electrical Signals
Product/Service Code: COMM/DETECT/COHERENT RADIATION
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: FA248723SC005
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1400, FOUNTAINGROVE PARKWAY, SANTA ROSA, CA, 95403
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $18,483,286
Exercised Options: $15,391,186
Current Obligation: $15,391,186
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2023-07-25
Current End Date: 2026-09-21
Potential End Date: 2026-09-21 00:00:00
Last Modified: 2026-01-14
More Contracts from Keysight Technologies, Inc.
- Service — $28.9M (General Services Administration)
- Procure SIX (6) Keysight E4416A-E23 Power Meter Bundles in Accordance With the Contract Attachment J-1 Optional Period 4 Pricing Structure — $55.1K (Department of Transportation)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)