DoD Invests $18.4M in Next-Gen Mercury Ion Atomic Clock Development by Frequency Electronics Inc
Contract Overview
Contract Amount: $18,366,017 ($18.4M)
Contractor: Frequency Electronics Inc
Awarding Agency: Department of Defense
Start Date: 2022-01-10
End Date: 2026-09-11
Contract Duration: 1,705 days
Daily Burn Rate: $10.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 999
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: A COMPACT MERCURY ION CLOCK FOR USE AS A NEXT-GENERATION DEPARTMENT OF DEFENSE (DOD) ATOMIC CLOCK, WHICH IS CURRENTLY UNDER DEVELOPMENT AT THE JET PROPULSION LABORATORY (JPL).
Place of Performance
Location: UNIONDALE, NASSAU County, NEW YORK, 11553
State: New York Government Spending
Plain-Language Summary
Department of Defense obligated $18.4 million to FREQUENCY ELECTRONICS INC for work described as: A COMPACT MERCURY ION CLOCK FOR USE AS A NEXT-GENERATION DEPARTMENT OF DEFENSE (DOD) ATOMIC CLOCK, WHICH IS CURRENTLY UNDER DEVELOPMENT AT THE JET PROPULSION LABORATORY (JPL). Key points: 1. The contract aims to develop a compact mercury ion clock for advanced DoD applications. 2. Frequency Electronics Inc. is the sole awardee, indicating a specialized capability or limited market. 3. The project falls under R&D for advanced physical sciences, a critical area for defense. 4. The contract type (Cost Plus Fixed Fee) suggests potential for cost overruns if not managed closely.
Value Assessment
Rating: good
The $18.4 million award for R&D is within a reasonable range for developing cutting-edge atomic clock technology. Benchmarking is difficult due to the novel nature of the technology, but the investment reflects the strategic importance of advanced timing systems.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
While the contract is listed as full and open, the award to a single entity suggests that Frequency Electronics Inc. likely possesses unique expertise or technology for this specific mercury ion clock. The price discovery mechanism relies on the negotiation of a Cost Plus Fixed Fee structure.
Taxpayer Impact: Taxpayer funds are being invested in advanced research with the potential for significant future defense capabilities, though the immediate return on investment is uncertain.
Public Impact
Enhances national security through advanced timing capabilities for critical defense systems. Drives innovation in precision measurement and quantum technologies. Potential for spin-off technologies benefiting civilian sectors like telecommunications and navigation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost overruns due to R&D complexity
- Technology maturity and integration challenges
- Limited competition may lead to higher costs
Positive Signals
- Development of a critical next-generation defense asset
- Investment in high-tech R&D
- Potential for technological leadership
Sector Analysis
This contract falls under the Research and Development sector, specifically focusing on advanced physical sciences. Spending in this area is crucial for maintaining technological superiority but carries inherent risks associated with innovation and development timelines.
Small Business Impact
The contract was not awarded to small businesses, indicating the specialized nature of this advanced technology development likely requires large-scale resources and established expertise.
Oversight & Accountability
The Department of Defense, through the Department of the Navy, is overseeing this R&D effort. Robust oversight will be critical to manage costs, timelines, and ensure the successful development of the mercury ion clock.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for cost overruns
- Technological feasibility and maturity
- Integration challenges with existing DoD systems
- Long-term sustainment and maintenance costs
Tags
research-and-development-in-the-physical, department-of-defense, ny, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $18.4 million to FREQUENCY ELECTRONICS INC. A COMPACT MERCURY ION CLOCK FOR USE AS A NEXT-GENERATION DEPARTMENT OF DEFENSE (DOD) ATOMIC CLOCK, WHICH IS CURRENTLY UNDER DEVELOPMENT AT THE JET PROPULSION LABORATORY (JPL).
Who is the contractor on this award?
The obligated recipient is FREQUENCY ELECTRONICS INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $18.4 million.
What is the period of performance?
Start: 2022-01-10. End: 2026-09-11.
What is the projected timeline for the successful development and deployment of the compact mercury ion clock?
The contract is set to conclude on September 11, 2026, suggesting a development and initial testing phase within this timeframe. However, full deployment and integration into DoD systems could extend beyond this date, depending on further testing, validation, and procurement cycles.
What are the primary risks associated with the Cost Plus Fixed Fee contract structure for this R&D project?
The primary risk with a CPFF contract for R&D is the potential for cost overruns. While the fixed fee provides a ceiling for the contractor's profit, the government bears the risk of increased costs if the research proves more complex or expensive than initially estimated. Effective cost monitoring and control are essential.
How will the performance and effectiveness of the mercury ion clock be validated to ensure it meets DoD requirements?
Validation will likely involve rigorous testing and evaluation phases throughout the development lifecycle. This includes laboratory testing of key performance parameters, environmental testing, and potentially field trials to assess accuracy, stability, and reliability under operational conditions, ensuring it meets stringent DoD specifications.
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: BASIC RESEARCH
Solicitation ID: N0001421SB001
Offers Received: 999
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 55 CHARLES LINDBERGH BLVD, UNIONDALE, NY, 11553
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $20,263,099
Exercised Options: $20,263,099
Current Obligation: $18,366,017
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2022-01-10
Current End Date: 2026-09-11
Potential End Date: 2026-09-11 00:00:00
Last Modified: 2025-12-02
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