DoD awards $5.2M contract for undersea drone autonomy software, with a 4-year performance period

Contract Overview

Contract Amount: $5,220,875 ($5.2M)

Contractor: THE Charles Stark Draper Laboratory, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-01-12

End Date: 2028-01-11

Contract Duration: 1,460 days

Daily Burn Rate: $3.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: DEVELOPMENT OF AUTONOMY SOFTWARE FOR THE LARGE DISPLACEMENT UNDERSEA UNMANNED VEHICLE AUTONOMOUS CONTROLLER AND DIGITAL SIMULATION.

Place of Performance

Location: WOBURN, MIDDLESEX County, MASSACHUSETTS, 01801

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $5.2 million to THE CHARLES STARK DRAPER LABORATORY, INC. for work described as: DEVELOPMENT OF AUTONOMY SOFTWARE FOR THE LARGE DISPLACEMENT UNDERSEA UNMANNED VEHICLE AUTONOMOUS CONTROLLER AND DIGITAL SIMULATION. Key points: 1. Contract focuses on critical software for autonomous undersea vehicles, enhancing naval capabilities. 2. Competition was full and open, suggesting a potentially competitive pricing environment. 3. The contract type is Cost Plus Fixed Fee (CPFF), which can shift risk to the government. 4. Performance period spans four years, indicating a long-term development and integration effort. 5. The contractor, Charles Stark Draper Laboratory, has a history in defense-related R&D. 6. This award falls under the 'All Other Transportation Equipment Manufacturing' NAICS code.

Value Assessment

Rating: fair

The contract value of $5.2 million for autonomy software development over four years appears moderate. Benchmarking against similar complex software development contracts for defense systems is challenging without more detailed scope information. The Cost Plus Fixed Fee (CPFF) structure means the government bears the risk of cost overruns, which warrants careful monitoring. However, the fixed fee component provides some cost certainty for the contractor's effort.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders were likely solicited. This approach generally fosters a competitive environment, which can lead to better pricing and innovation. The number of bids received and the specific evaluation criteria would provide further insight into the intensity of the competition and its impact on the final price.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it increases the likelihood of obtaining the best value through market forces. It ensures that a wide range of qualified contractors can compete, driving down costs and improving the quality of services or products delivered.

Public Impact

The primary beneficiaries are the Department of the Navy and the broader U.S. defense apparatus, gaining advanced autonomous capabilities for undersea operations. The contract will deliver critical software for the Large Displacement Undersea Unmanned Vehicle (LDUUV) Autonomous Controller and its digital simulation. Geographic impact is national, supporting U.S. naval dominance and technological superiority. Workforce implications include specialized software engineering and systems integration roles, likely concentrated within the contractor's facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee (CPFF) contract type can lead to cost overruns if not managed diligently, as the government assumes the majority of the cost risk.
The complexity of autonomy software development carries inherent technical risks that could impact schedule and performance.
Long-term development cycles for advanced defense systems can be subject to changing requirements and technological obsolescence.

Positive Signals

Award to a known entity (Charles Stark Draper Laboratory) with presumed expertise in advanced systems development.
Full and open competition suggests a robust market assessment and potential for competitive pricing.
Clear definition of the software's purpose (LDUUV Autonomous Controller) provides focus for development.

Sector Analysis

This contract falls within the broader defense sector, specifically focusing on advanced unmanned systems and artificial intelligence applications. The market for autonomy software is rapidly growing, driven by defense modernization efforts across various domains. Comparable spending benchmarks would typically involve R&D contracts for complex control systems, simulation software, and AI integration for military platforms, often ranging from several million to tens of millions of dollars.

Small Business Impact

The contract data indicates no specific small business set-aside (ss: false) or subcontracting goals (sb: false) were explicitly mentioned in this award notice. This suggests the primary contract was not targeted towards small businesses. However, the prime contractor, Charles Stark Draper Laboratory, may engage small businesses for subcontracting opportunities as part of their project execution, which would be detailed in their subcontracting plan.

Oversight & Accountability

Oversight for this Cost Plus Fixed Fee contract will likely be managed by the Department of the Navy's contracting and program management offices. Accountability measures would include regular progress reports, milestone reviews, and audits of incurred costs. Transparency is facilitated through contract award databases, though detailed performance metrics and cost breakdowns are typically not publicly disclosed for national security reasons. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Unmanned Maritime Systems (UMS)
Naval Software Development
Artificial Intelligence in Defense
Autonomous Systems Research
Undersea Warfare Technology

Risk Flags

Cost Plus Fixed Fee contract type carries inherent cost overrun risk for the government.
Long performance period increases potential for scope changes or technological obsolescence.
Autonomy software development is complex and carries significant technical risks.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $5.2 million to THE CHARLES STARK DRAPER LABORATORY, INC.. DEVELOPMENT OF AUTONOMY SOFTWARE FOR THE LARGE DISPLACEMENT UNDERSEA UNMANNED VEHICLE AUTONOMOUS CONTROLLER AND DIGITAL SIMULATION.

Who is the contractor on this award?

The obligated recipient is THE CHARLES STARK DRAPER LABORATORY, 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 $5.2 million.

What is the period of performance?

Start: 2024-01-12. End: 2028-01-11.

What is the track record of The Charles Stark Draper Laboratory, Inc. with similar autonomy software development contracts for the Department of Defense?

The Charles Stark Draper Laboratory, Inc. has a long-standing history of supporting the Department of Defense (DoD) and other government agencies in advanced research, development, and engineering, particularly in areas like guidance, navigation, and control (GNC) systems, and complex software development. They have been involved in numerous projects related to missile systems, spacecraft, and autonomous vehicles. While specific details on past autonomy software contracts for LDUUVs are not publicly itemized here, their extensive experience in related fields suggests a strong capability. Their historical performance on complex, high-stakes defense contracts would be a key factor in the DoD's decision-making process for awarding this current contract.

How does the $5.2 million contract value compare to other DoD investments in LDUUV autonomy software?

The $5.2 million contract value for the development of autonomy software for the LDUUV Autonomous Controller and digital simulation is a moderate investment for a critical component of an advanced unmanned system. The DoD invests billions annually in unmanned systems across all domains (air, land, sea, space). Specific investments in autonomy software for LDUUVs can vary significantly based on the maturity of the technology, the scope of development (e.g., basic research vs. system integration), and the number of vehicles being supported. This particular award appears to be for a focused development effort, potentially a specific module or enhancement, rather than the entire autonomy suite for a large fleet. Benchmarking requires comparing the scope, duration, and complexity against other similar software development efforts within the naval or broader defense unmanned systems portfolio.

What are the primary technical risks associated with developing autonomy software for Large Displacement Undersea Unmanned Vehicles?

Developing autonomy software for Large Displacement Undersea Unmanned Vehicles (LDUUVs) presents several significant technical risks. These include ensuring robust navigation and control in GPS-denied underwater environments, reliable sensor fusion from various underwater sensors (sonar, inertial navigation, etc.), effective decision-making algorithms for complex mission planning and obstacle avoidance, and secure communication protocols. The software must also be resilient to the harsh underwater environment (pressure, temperature, salinity) and capable of long-duration missions. Furthermore, integrating AI and machine learning for adaptive behaviors introduces challenges in verification, validation, and ensuring predictable performance under all operational conditions. The simulation aspect of this contract aims to mitigate some of these risks through extensive virtual testing.

What is the significance of the 'Cost Plus Fixed Fee' (CPFF) contract type for this project?

The 'Cost Plus Fixed Fee' (CPFF) contract type means the government agrees to pay the contractor's actual costs incurred, plus a predetermined fixed fee representing the contractor's profit. For the government, this structure shifts a significant portion of the cost risk to them; if the project costs more than anticipated, the government pays the higher actual costs. However, the fixed fee provides the contractor with a defined profit margin, incentivizing them to complete the work efficiently. This contract type is often used for research and development efforts where the scope or costs are not precisely predictable at the outset. For taxpayers, it means potential for higher overall costs if the project runs over budget, necessitating strong government oversight to control expenditures.

How does the 4-year performance period (1460 days) impact the assessment of this contract's value and risk?

A 4-year performance period for the development of autonomy software indicates a complex, long-term project requiring significant integration and testing. This extended duration allows for iterative development, refinement, and adaptation to evolving requirements or technologies. From a risk perspective, longer contracts can be susceptible to scope creep, changes in program priorities, or technological obsolescence. However, for advanced software like autonomy systems, a longer period is often necessary to achieve the required level of maturity, reliability, and performance. The value assessment must consider the total lifecycle cost and the eventual capability delivered, weighing the upfront investment against the strategic advantage gained by the LDUUV program over the long term.

Industry Classification

NAICS: Manufacturing › Other Transportation Equipment Manufacturing › All Other Transportation Equipment Manufacturing

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: N6660417R0350

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 555 TECHNOLOGY SQ, CAMBRIDGE, MA, 02139

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

Financial Breakdown

Contract Ceiling: $23,915,696

Exercised Options: $17,728,179

Current Obligation: $5,220,875

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N6660418DC806

IDV Type: IDC

Timeline