DoD's $12.1M Common Tactical Edge Network Contract Awarded to Lockheed Martin for R&D

Contract Overview

Contract Amount: $12,089,694 ($12.1M)

Contractor: Lockheed Martin Corporation

Awarding Agency: Department of Defense

Start Date: 2022-07-11

End Date: 2026-02-20

Contract Duration: 1,320 days

Daily Burn Rate: $9.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: COMMON TACTICAL EDGE NETWORK

Place of Performance

Location: KING OF PRUSSIA, MONTGOMERY County, PENNSYLVANIA, 19406

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Defense obligated $12.1 million to LOCKHEED MARTIN CORPORATION for work described as: COMMON TACTICAL EDGE NETWORK Key points: 1. The contract is for Research and Development in Physical, Engineering, and Life Sciences. 2. Lockheed Martin Corporation is the sole awardee. 3. The contract has a duration of 1320 days. 4. The award type is a Delivery Order under a larger contract. 5. The contract is Firm Fixed Price.

Value Assessment

Rating: fair

The contract value of $12.1M for R&D is moderate. Benchmarking against similar large-scale R&D contracts is difficult without more specific project details. The firm fixed price structure aims to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method typically leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The competitive award process is intended to ensure taxpayer funds are used efficiently for this R&D effort.

Public Impact

Enhances tactical edge network capabilities for the Department of Defense. Supports advanced research and development in critical defense technologies. Potential for technological advancements with broad national security implications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • R&D contracts can have uncertain outcomes and cost overruns.
  • Reliance on a single large contractor for critical technology development.

Positive Signals

  • Firm Fixed Price contract provides cost certainty.
  • Awarded under Full and Open Competition.

Sector Analysis

This contract falls under the Research and Development sector, specifically NAICS 541715. Spending in this sector is crucial for maintaining technological superiority but can be subject to high risk and long development cycles.

Small Business Impact

No specific information is provided regarding small business participation in this contract. Large R&D contracts often involve complex subcontracting, but direct small business set-asides are not indicated.

Oversight & Accountability

The Department of the Air Force is the contracting agency. Oversight will focus on R&D progress, adherence to the fixed-price terms, and delivery milestones.

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 scope creep in R&D projects.
  • Long contract duration increases exposure to technological obsolescence.
  • Dependence on a single contractor for critical technology.
  • Uncertainty of R&D outcomes and deliverables.

Tags

research-and-development-in-the-physical, department-of-defense, pa, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.1 million to LOCKHEED MARTIN CORPORATION. COMMON TACTICAL EDGE NETWORK

Who is the contractor on this award?

The obligated recipient is LOCKHEED MARTIN CORPORATION.

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 $12.1 million.

What is the period of performance?

Start: 2022-07-11. End: 2026-02-20.

What specific technological advancements are expected from this R&D effort, and how will they translate into tangible operational benefits for the tactical edge?

The contract aims to advance the Common Tactical Edge Network, likely focusing on improving data dissemination, communication resilience, and situational awareness in contested environments. Expected benefits include faster decision-making, enhanced interoperability between different military branches, and more robust command and control capabilities under challenging operational conditions.

What are the key performance indicators (KPIs) and milestones used to track the progress and success of this R&D contract, given its long duration?

Key performance indicators likely include successful prototype development, system integration testing, demonstration of specific functionalities (e.g., bandwidth, latency, security), and adherence to technical specifications. Milestones would be phased, with regular reviews and deliverables tied to specific R&D objectives, ensuring progress is tracked against the overall project timeline and budget.

How does the $12.1M investment compare to other R&D efforts in tactical networking, and what is the anticipated return on investment in terms of enhanced warfighter capabilities?

Without specific benchmarks for similar tactical networking R&D, a direct comparison is difficult. However, $12.1M represents a significant investment. The anticipated ROI is measured by the degree to which the developed network enhances mission effectiveness, reduces operational risks, and provides a technological advantage over adversaries, ultimately contributing to national security.

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: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp

Address: 230 MALL BLVD, KING OF PRUSSIA, PA, 19406

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

Financial Breakdown

Contract Ceiling: $54,420,287

Exercised Options: $12,807,373

Current Obligation: $12,089,694

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA872618D0007

IDV Type: IDC

Timeline

Start Date: 2022-07-11

Current End Date: 2026-02-20

Potential End Date: 2026-02-20 00:00:00

Last Modified: 2026-01-08

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