DoD Awards $896M R&D Contract to Lockheed Martin for Advanced Technology Development
Contract Overview
Contract Amount: $8,961,056 ($9.0M)
Contractor: Lockheed Martin Corporation
Awarding Agency: Department of Defense
Start Date: 2024-08-15
End Date: 2028-02-13
Contract Duration: 1,277 days
Daily Burn Rate: $7.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: GHOST
Place of Performance
Location: CHERRY HILL, CAMDEN County, NEW JERSEY, 08002
Plain-Language Summary
Department of Defense obligated $9.0 million to LOCKHEED MARTIN CORPORATION for work described as: GHOST Key points: 1. Significant investment in advanced R&D, focusing on physical, engineering, and life sciences. 2. Lockheed Martin, a major defense contractor, is the sole awardee. 3. Contract duration extends over 3.5 years, indicating a substantial project scope. 4. The award falls under the 'Research and Development in the Physical, Engineering, and Life Sciences' NAICS code.
Value Assessment
Rating: good
The contract value of $896.1M for a 1277-day duration suggests a significant R&D effort. Benchmarking against similar large-scale R&D contracts is difficult without more specific project details, but the value appears commensurate with advanced technology development by a prime contractor.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which is positive for price discovery. However, the specific details of the competition and how Lockheed Martin was selected as the awardee are not provided, leaving room for further analysis.
Taxpayer Impact: Taxpayer funds are being invested in potentially groundbreaking research and development, which could yield long-term technological advantages and economic benefits if successful.
Public Impact
Advancement of critical scientific and engineering capabilities for national security. Potential for technological breakthroughs with broad applications beyond defense. Economic stimulus through contract work and potential job creation in New Jersey.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific project details limits understanding of R&D focus.
- Sole awardee may not represent the most cost-effective solution without further justification.
- Contract type (Cost Plus Fixed Fee) can incentivize cost overruns if not closely monitored.
Positive Signals
- Awarded under full and open competition.
- Significant investment in a critical R&D sector.
- Long-term contract duration allows for in-depth research and development.
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this area is crucial for maintaining technological superiority and innovation, often involving substantial investments in specialized expertise and facilities.
Small Business Impact
The data indicates this contract was not set aside for small businesses and was awarded to Lockheed Martin Corporation, a large prime contractor. There is no information on subcontracting opportunities for small businesses within this award.
Oversight & Accountability
Oversight will be critical given the Cost Plus Fixed Fee structure to ensure efficient use of funds and prevent cost overruns. The Department of Defense's contracting oversight mechanisms will be key to ensuring accountability and successful project completion.
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 risk.
- Lack of specific R&D project details.
- Potential for cost overruns.
- Limited visibility into competitive alternatives for a sole awardee.
Tags
research-and-development-in-the-physical, department-of-defense, nj, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $9.0 million to LOCKHEED MARTIN CORPORATION. GHOST
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 $9.0 million.
What is the period of performance?
Start: 2024-08-15. End: 2028-02-13.
What specific research areas are being prioritized under this contract, and how do they align with current DoD strategic objectives?
The contract is broadly categorized under 'Research and Development in the Physical, Engineering, and Life Sciences.' Without further details, it's difficult to pinpoint specific research areas. However, given the awardee and the agency, it likely supports advanced materials, propulsion systems, sensor technology, or other critical defense capabilities aligned with evolving strategic threats and technological advancements.
What is the justification for awarding this substantial R&D contract to a single entity, and were alternative approaches considered?
While awarded under 'full and open competition,' the data doesn't specify the justification for a single awardee. Typically, this might occur if a specific entity possesses unique capabilities, intellectual property, or a proven track record essential for the project's success. A thorough review of the source selection documentation would be needed to understand the rationale and alternatives explored.
How will the effectiveness and impact of the research conducted under this contract be measured and evaluated?
Effectiveness will likely be measured through milestone achievements, technical performance metrics, and the successful development of prototypes or technologies as defined in the contract's Statement of Work. Periodic reviews by the Department of the Air Force will assess progress against objectives, ensuring the research contributes to desired defense capabilities and technological advancements.
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: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Lockheed Martin Corp
Address: 3 EXECUTIVE CAMPUS FL 6, CHERRY HILL, NJ, 08002
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $16,608,768
Exercised Options: $16,608,768
Current Obligation: $8,961,056
Actual Outlays: $5,793
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2024-08-15
Current End Date: 2028-02-13
Potential End Date: 2028-02-13 00:00:00
Last Modified: 2026-01-08
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