Raytheon Awarded $36.1M for Electronic Combat Systems to Enhance Electromagnetic Spectrum Capabilities

Contract Overview

Contract Amount: $36,140,405 ($36.1M)

Contractor: Raytheon Company

Awarding Agency: Department of Defense

Start Date: 2018-06-29

End Date: 2023-06-30

Contract Duration: 1,827 days

Daily Burn Rate: $19.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: CET 17-770, PHYSICAL MICROELECTRONICS, ALGORITHM AND RADIO FREQUENCY (RF) SPECTRUM-ENABLED ELECTRONIC COMBAT SYSTEMS (PARSECS) THIS PURPOSE OF THIS TASK IS TO IDENTIFY, PROTOTYPE, INTEGRATE, TEST AND EVALUATE AND DELIVER FOUR (4) HORSEMEN ECS SYSTEMS -- TO MEET CURRENT AND EMERGING MISSIONS THAT CAN BE ADDRESSED THROUGH ELECTROMAGNETIC SPECTRUM (EMS) AND ELECTRONIC WARFARE CAPABILITY.

Place of Performance

Location: SUNNYVALE, SANTA CLARA County, CALIFORNIA, 94086

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $36.1 million to RAYTHEON COMPANY for work described as: CET 17-770, PHYSICAL MICROELECTRONICS, ALGORITHM AND RADIO FREQUENCY (RF) SPECTRUM-ENABLED ELECTRONIC COMBAT SYSTEMS (PARSECS) THIS PURPOSE OF THIS TASK IS TO IDENTIFY, PROTOTYPE, INTEGRATE, TEST AND EVALUATE AND DELIVER FOUR (4) HORSEMEN ECS SYSTEMS -- TO MEET CURRENT AND EMERGI… Key points: 1. The contract focuses on developing and integrating advanced electronic combat systems for current and emerging missions. 2. Key technologies include microelectronics, algorithms, and RF spectrum utilization for electronic warfare. 3. The project aims to deliver four distinct Horsemen ECS systems. 4. This initiative addresses critical needs in the electromagnetic spectrum and electronic warfare domains.

Value Assessment

Rating: good

The Cost Plus Fixed Fee contract type suggests potential for cost overruns if not managed tightly. However, the fixed fee component provides some predictability. Benchmarking against similar R&D and engineering services contracts for advanced electronic systems is recommended.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing by allowing all eligible contractors to bid.

Taxpayer Impact: Full and open competition is expected to yield a fair price for the government, maximizing taxpayer value for these advanced defense systems.

Public Impact

Enhances national defense capabilities in electronic warfare and electromagnetic spectrum operations. Supports technological advancement in critical defense microelectronics and RF systems. Potential for dual-use applications in civilian sectors requiring advanced signal processing and communication.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type requires careful monitoring to control costs.
Long performance period (1827 days) increases risk of scope creep or evolving requirements.
Specific system performance metrics and integration challenges need close oversight.

Positive Signals

Awarded under full and open competition, suggesting competitive pricing.
Focus on critical defense capabilities addresses significant national security needs.
Prototyping and testing phases allow for iterative development and risk mitigation.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to defense electronics and electronic warfare. Spending in this area is driven by the need for technological superiority and adaptation to evolving threats in the electromagnetic spectrum.

Small Business Impact

The data indicates the prime contractor is Raytheon Company, a large business. There is no explicit mention of small business participation in this specific award notice, suggesting potential for limited direct involvement or subcontracting opportunities.

Oversight & Accountability

The Department of Defense, through the Defense Microelectronics Activity, is the awarding agency. Oversight will likely involve technical reviews, milestone tracking, and financial audits to ensure contract compliance and effective use of funds.

Related Government Programs

Engineering Services
Department of Defense Contracting
Defense Microelectronics Activity Programs

Risk Flags

Potential for cost overruns due to CPFF contract type.
Long contract duration increases risk of requirement changes or obsolescence.
Complexity of integrating advanced microelectronics and RF systems.
Need for continuous adaptation to evolving electronic warfare threats.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.1 million to RAYTHEON COMPANY. CET 17-770, PHYSICAL MICROELECTRONICS, ALGORITHM AND RADIO FREQUENCY (RF) SPECTRUM-ENABLED ELECTRONIC COMBAT SYSTEMS (PARSECS) THIS PURPOSE OF THIS TASK IS TO IDENTIFY, PROTOTYPE, INTEGRATE, TEST AND EVALUATE AND DELIVER FOUR (4) HORSEMEN ECS SYSTEMS -- TO MEET CURRENT AND EMERGING MISSIONS THAT CAN BE ADDRESSED THROUGH ELECTROMAGNETIC SPECTRUM (EMS) AND ELECTRONIC WARFARE CAPABILITY.

Who is the contractor on this award?

The obligated recipient is RAYTHEON COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Microelectronics Activity).

What is the total obligated amount?

The obligated amount is $36.1 million.

What is the period of performance?

Start: 2018-06-29. End: 2023-06-30.

What are the specific performance metrics for the four Horsemen ECS systems, and how will their successful integration and testing be validated?

The specific performance metrics for the Horsemen ECS systems are not detailed in this award notice. Validation will likely involve a series of rigorous testing and evaluation phases, including laboratory tests, field trials, and operational assessments. The Defense Microelectronics Activity will oversee the integration process, ensuring each system meets defined technical specifications and mission requirements before final delivery.

Given the CPFF contract type and long duration, what mechanisms are in place to mitigate cost overruns and ensure value for money?

The Cost Plus Fixed Fee structure, while allowing for flexibility, necessitates robust cost control measures. The government will likely employ detailed cost tracking, regular financial reviews, and milestone-based payments. The fixed fee provides a ceiling for contractor profit, incentivizing efficiency. Close monitoring of technical progress against budget will be crucial to identify and address potential cost escalations early.

How will the developed electronic combat systems adapt to the rapidly evolving nature of the electromagnetic spectrum and potential adversary countermeasures?

The contract emphasizes identifying, prototyping, and integrating systems to meet 'current and emerging missions.' This suggests an agile development approach. The focus on 'algorithm and radio frequency (RF) spectrum-enabled' capabilities implies a design that can be updated and adapted. Continuous research, development, and testing cycles will be essential to ensure the systems remain effective against evolving threats and technological advancements in the EMS.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

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

Solicitation ID: HQ072715R0001

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: RTX Corp

Address: 2000 E EL SEGUNDO BLVD, EL SEGUNDO, CA, 90245

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: $49,914,357

Exercised Options: $49,914,357

Current Obligation: $36,140,405

Actual Outlays: $5,157,078

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $1,357,602

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HQ072716D0006

IDV Type: IDC

Timeline