DoD's $97M Contract for Naval Autonomous Systems Engineering Awarded to Leidos Under Full and Open Competition
Contract Overview
Contract Amount: $97,214,715 ($97.2M)
Contractor: Leidos, Inc.
Awarding Agency: Department of Defense
Start Date: 2021-03-12
End Date: 2026-03-14
Contract Duration: 1,828 days
Daily Burn Rate: $53.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: AUTONOMOUS AND AUTOMATED SYSTEMS DESIGN, SYSTEM ENGINEERING, AND LIFE-CYCLE DEVELOPMENT ENGINEERING FOR NAVAL INFORMATION WARFARE CENTER PACIFIC (NIWC PAC)
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92121
Plain-Language Summary
Department of Defense obligated $97.2 million to LEIDOS, INC. for work described as: AUTONOMOUS AND AUTOMATED SYSTEMS DESIGN, SYSTEM ENGINEERING, AND LIFE-CYCLE DEVELOPMENT ENGINEERING FOR NAVAL INFORMATION WARFARE CENTER PACIFIC (NIWC PAC) Key points: 1. Leidos, a major defense contractor, secured this significant contract. 2. The contract focuses on R&D for autonomous and automated systems, a growing area. 3. Full and open competition was used, suggesting a competitive bidding process. 4. The contract type is Cost Plus Fixed Fee, which can pose cost control challenges.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed carefully. Benchmarking against similar R&D contracts is difficult due to the specialized nature of autonomous systems.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes price discovery and competitive pricing.
Taxpayer Impact: Taxpayer funds are being used for advanced R&D in naval warfare systems, aiming for technological superiority.
Public Impact
Enhances naval capabilities through advanced autonomous and automated systems. Supports technological innovation in a critical defense sector. Potential for long-term impact on naval operations and readiness. Investment in future defense technologies.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- CPFF contract type may lead to cost escalation.
- R&D projects inherently carry risk of technical challenges and delays.
Positive Signals
- Awarded under full and open competition.
- Focus on critical autonomous systems development.
- Long-term contract duration allows for sustained development.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on physical and engineering sciences. Spending in this area is crucial for maintaining technological advantage but requires careful oversight due to inherent uncertainties.
Small Business Impact
The data indicates this contract was not awarded to small businesses (sb: false). Larger prime contractors like Leidos may subcontract to small businesses, but direct award data is not provided.
Oversight & Accountability
The contract is managed by the Department of the Air Force for NIWC Pacific. Oversight will be critical to manage the CPFF structure and ensure project milestones are met effectively.
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
- Cost Plus Fixed Fee contract type.
- Inherent risks in R&D projects.
- Complexity of autonomous systems integration.
- Cybersecurity vulnerabilities in networked systems.
Tags
research-and-development-in-the-physical, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $97.2 million to LEIDOS, INC.. AUTONOMOUS AND AUTOMATED SYSTEMS DESIGN, SYSTEM ENGINEERING, AND LIFE-CYCLE DEVELOPMENT ENGINEERING FOR NAVAL INFORMATION WARFARE CENTER PACIFIC (NIWC PAC)
Who is the contractor on this award?
The obligated recipient is LEIDOS, 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 $97.2 million.
What is the period of performance?
Start: 2021-03-12. End: 2026-03-14.
What is the projected return on investment for this R&D spending in terms of enhanced naval capabilities?
The return on investment is difficult to quantify precisely due to the nature of R&D. However, successful development of autonomous and automated systems is expected to significantly enhance naval operational effectiveness, reduce personnel risk in hazardous environments, and potentially lower long-term operational costs through increased efficiency and reduced manning requirements.
What are the primary technical risks associated with developing autonomous and automated systems for naval warfare, and how are they being mitigated?
Key technical risks include sensor reliability in harsh maritime environments, cybersecurity vulnerabilities, integration complexity with existing naval platforms, and the ethical considerations of autonomous decision-making. Mitigation strategies likely involve rigorous testing, phased development, robust cybersecurity protocols, and clear operational guidelines established by NIWC Pacific.
How will the effectiveness of the developed systems be measured to ensure they meet the intended operational requirements?
Effectiveness will likely be measured through a combination of simulation, laboratory testing, and operational field trials. Key performance parameters (KPPs) related to mission success, system reliability, survivability, and integration with naval command and control systems will be assessed against predefined benchmarks and operational requirements set by NIWC Pacific.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Leidos Holdings, Inc.
Address: 1750 PRESIDENTS ST, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $97,264,715
Exercised Options: $97,264,715
Current Obligation: $97,214,715
Subaward Activity
Number of Subawards: 143
Total Subaward Amount: $96,994,750
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA807518D0009
IDV Type: IDC
Timeline
Start Date: 2021-03-12
Current End Date: 2026-03-14
Potential End Date: 2026-03-14 00:00:00
Last Modified: 2025-11-17
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