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

State: California Government Spending

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

Positive Signals

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

Risk Flags

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 ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – 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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