DoD's $101.9M Growler Electronic Attack Software Development Faces Limited Competition

Contract Overview

Contract Amount: $10,190,000 ($10.2M)

Contractor: Northrop Grumman Systems Corporation

Awarding Agency: Department of Defense

Start Date: 2025-11-06

End Date: 2026-05-05

Contract Duration: 180 days

Daily Burn Rate: $56.6K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: AIRBORNE ELECTRONIC ATTACK GROWLER BLOCK II NEXT GENERATION ELECTRONIC ATTACK UNIT SOFTWARE DEVELOPMENT, INTEGRATION AND TEST

Place of Performance

Location: POINT MUGU NAWC, VENTURA County, CALIFORNIA, 93042

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $10.2 million to NORTHROP GRUMMAN SYSTEMS CORPORATION for work described as: AIRBORNE ELECTRONIC ATTACK GROWLER BLOCK II NEXT GENERATION ELECTRONIC ATTACK UNIT SOFTWARE DEVELOPMENT, INTEGRATION AND TEST Key points: 1. Significant investment in advanced electronic warfare capabilities. 2. Sole-source nature raises concerns about price discovery and value. 3. High-tech sector, requiring specialized engineering expertise. 4. Potential for cost overruns due to cost-plus contract type.

Value Assessment

Rating: questionable

The contract is Cost Plus Fixed Fee, which can incentivize contractor overspending. Benchmarking is difficult without competitive data, but the $101.9M value for 180 days of development and integration suggests a high per-unit cost.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract is not available for competition, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there is no competitive pressure to reduce bids.

Taxpayer Impact: The lack of competition for this critical defense system may result in taxpayers paying a premium for the software development and integration.

Public Impact

Enhances U.S. Navy's electronic warfare capabilities. Supports advanced airborne electronic attack missions. Development of next-generation electronic attack systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competition.
  • Cost-plus contract type carries inherent risk.
  • Lack of publicly available benchmark data.
  • Potential for scope creep in software development.

Positive Signals

  • Addresses critical defense need.
  • Invests in advanced technology.
  • Supports specialized engineering services.

Sector Analysis

This contract falls within the Engineering Services sector, specifically related to advanced aerospace and defense technology. Spending in this area is often characterized by high R&D costs and specialized expertise, with significant government investment.

Small Business Impact

The data does not indicate any specific provisions or awards to small businesses for this contract. The prime contractor is a large aerospace and defense corporation, suggesting limited direct opportunities for small businesses in this specific award.

Oversight & Accountability

Oversight will be crucial given the sole-source nature and cost-plus contract type. The Department of the Navy will need robust mechanisms to monitor costs, schedule, and performance to ensure value for taxpayer money.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Sole-source award
  • Cost-plus contract type
  • Lack of competition
  • Potential for cost overruns
  • Limited transparency on pricing
  • High dollar value for development

Tags

engineering-services, department-of-defense, ca, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.2 million to NORTHROP GRUMMAN SYSTEMS CORPORATION. AIRBORNE ELECTRONIC ATTACK GROWLER BLOCK II NEXT GENERATION ELECTRONIC ATTACK UNIT SOFTWARE DEVELOPMENT, INTEGRATION AND TEST

Who is the contractor on this award?

The obligated recipient is NORTHROP GRUMMAN SYSTEMS CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $10.2 million.

What is the period of performance?

Start: 2025-11-06. End: 2026-05-05.

What is the projected return on investment for this advanced electronic attack system, considering the sole-source nature of its development?

Quantifying the ROI for advanced defense systems is complex, especially with sole-source contracts. The value is primarily measured by enhanced mission effectiveness and strategic advantage, rather than direct financial returns. The lack of competition means the government relies on internal cost analysis and negotiation to ensure a reasonable price, but the true value proposition is tied to its operational impact and deterrence capabilities.

What are the primary risks associated with the Cost Plus Fixed Fee contract type for this software development, and how are they being mitigated?

The main risk with CPFF is that the contractor may not be sufficiently incentivized to control costs, potentially leading to overruns. Mitigation strategies typically involve stringent oversight, detailed cost tracking, performance metrics, and clear definition of fixed-fee milestones. The government must actively manage the scope and ensure all costs are reasonable, allocable, and allowable.

How will the effectiveness of the Growler Block II software be measured and validated, particularly given the limited competition in its development?

Effectiveness will be measured through rigorous testing and validation processes, including system integration tests, performance benchmarks, and operational assessments conducted by the Department of the Navy. Despite limited competition in development, the government will likely employ independent verification and validation (IV&V) teams and user acceptance testing to ensure the software meets all specified requirements and performs as intended in operational environments.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: MODIFICATION OF EQUIPMENTMODIFICATION OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N6893616R0069

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Northrop Grumman Corporation

Address: 925 OYSTER BAY RD, BETHPAGE, NY, 11714

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

Financial Breakdown

Contract Ceiling: $19,170,947

Exercised Options: $19,170,947

Current Obligation: $10,190,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: N6893619D0007

IDV Type: IDC

Timeline

Start Date: 2025-11-06

Current End Date: 2026-05-05

Potential End Date: 2026-05-05 00:00:00

Last Modified: 2025-12-09

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