DoD awards $27.5M contract to General Dynamics for wireless communications equipment

Contract Overview

Contract Amount: $27,531,605 ($27.5M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-08-10

End Date: 2026-03-20

Contract Duration: 1,683 days

Daily Burn Rate: $16.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: NGLD-M

Place of Performance

Location: DEDHAM, NORFOLK County, MASSACHUSETTS, 02026

State: Massachusetts Government Spending

Plain-Language Summary

Department of Defense obligated $27.5 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: NGLD-M Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract is a firm-fixed-price delivery order, providing cost certainty for the government. 3. The duration of the contract is over 1600 days, indicating a long-term need. 4. The awardee, General Dynamics Mission Systems, is a large, established defense contractor. 5. The contract falls under the 'Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing' NAICS code. 6. The contract value is significant but needs to be benchmarked against similar procurements.

Value Assessment

Rating: good

The contract value of $27.5 million over approximately 4.5 years appears reasonable for specialized wireless communications equipment. Benchmarking against similar procurements for advanced communication systems would provide a clearer picture of value for money. Given the firm-fixed-price structure, the government has a degree of cost certainty, which is a positive indicator. However, without specific details on the equipment's capabilities and market prices for comparable systems, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 5 bids suggests a healthy level of competition for this requirement. A competitive process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The full and open competition likely resulted in a more competitive price, benefiting taxpayers by ensuring the government is not overpaying for the required wireless communications equipment.

Public Impact

The Department of the Army is the primary beneficiary, receiving critical wireless communications equipment. This contract supports the operational readiness and communication capabilities of military personnel. The equipment is likely to be deployed across various Army units, potentially with a national geographic impact. The contract supports jobs within the defense manufacturing sector, specifically in wireless communications technology.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if the equipment is highly specialized and proprietary.
Long contract duration could lead to technology obsolescence if not managed proactively.
Dependence on a single large contractor for critical communication systems.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Firm-fixed-price contract provides cost predictability for the government.
General Dynamics Mission Systems is an experienced provider of defense technology solutions.
The contract duration aligns with the expected lifecycle of advanced communication systems.

Sector Analysis

The defense sector, particularly within wireless communications, is characterized by rapid technological advancement and significant government investment. This contract fits within the broader market for military-grade communication systems, which are essential for modern warfare and operations. Spending in this area is driven by the need for secure, reliable, and high-bandwidth communication capabilities. Comparable spending benchmarks would involve looking at other large-scale procurements for tactical radios, satellite communication terminals, and network infrastructure within the Department of Defense.

Small Business Impact

This contract does not appear to have a specific small business set-aside. General Dynamics Mission Systems is a large business. There is no explicit information provided regarding subcontracting plans for small businesses. The impact on the small business ecosystem is likely minimal unless General Dynamics actively engages small businesses as subcontractors for specialized components or services.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Defense's contracting and program management offices. Accountability measures are inherent in the firm-fixed-price contract type, which holds the contractor responsible for delivering specified goods at the agreed-upon price. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Tactical Radio Systems
Secure Communications Equipment
Department of Defense Procurement
Wireless Communication Technology
Defense Manufacturing Contracts

Risk Flags

Long contract duration may pose technology obsolescence risk.
Dependence on a single large contractor for critical systems.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $27.5 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. NGLD-M

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS MISSION SYSTEMS, INC..

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $27.5 million.

What is the period of performance?

Start: 2021-08-10. End: 2026-03-20.

What specific types of wireless communication equipment are being procured under this contract, and what are their intended military applications?

The contract falls under NAICS code 334220 (Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing). While the specific equipment is not detailed in the provided data, it likely includes advanced tactical radios, secure communication devices, and potentially components for broader wireless networks used by the Army. These systems are crucial for command and control, situational awareness, and data transmission in diverse operational environments, from garrison to forward deployed locations. The exact applications would depend on the specific capabilities and features of the procured hardware, which are typically classified based on operational security requirements.

How does the awarded amount of $27.5 million compare to historical spending on similar wireless communication equipment by the Department of the Army?

To accurately compare the $27.5 million award to historical spending, one would need to analyze past procurements for similar wireless communication equipment by the Department of the Army. This would involve identifying contracts with comparable NAICS codes, contract types (e.g., firm-fixed-price), and equipment specifications. Factors such as inflation, technological advancements, and changes in military requirements over time would need to be considered for a meaningful comparison. Without access to a comprehensive historical database of Army procurements for this specific equipment category, a precise benchmark is difficult to establish. However, $27.5 million over approximately 4.5 years suggests an average annual expenditure of around $6.1 million, which is a substantial but not unprecedented figure for specialized defense electronics.

What is General Dynamics Mission Systems' track record in delivering wireless communication equipment to the Department of Defense, and have they faced any significant performance issues on past contr

General Dynamics Mission Systems (GDMS) is a well-established prime contractor for the Department of Defense, with a long history of delivering complex systems, including communications equipment. They are known for their expertise in areas like tactical radios, command and control systems, and cybersecurity. While specific performance issues on past contracts are not detailed in the provided data, GDMS generally has a strong reputation. However, like any large defense contractor, they may have encountered challenges on specific programs related to schedule, cost, or technical performance. A thorough review of contract performance databases (e.g., CPARS) would be necessary to assess their specific track record on similar wireless communication procurements.

What are the potential risks associated with a firm-fixed-price contract for advanced wireless communication equipment, and how are these mitigated?

The primary risk with a firm-fixed-price (FFP) contract for advanced wireless communication equipment is that the contractor may face unforeseen cost increases during development or production, potentially leading to reduced profit margins or pressure to cut corners on quality if not managed properly. For the government, the risk is that the initial price might be inflated to account for contractor risk. Mitigation strategies include robust technical specifications, clear performance metrics, and thorough pre-award cost analysis. The government also relies on contract oversight, quality assurance inspections, and the contractor's reputation. For GDMS, as an experienced contractor, the FFP structure likely aligns with their understanding of the production costs for such equipment, and they would have factored in potential risks during their bid.

Given the contract's duration and the rapid pace of technological change in wireless communications, what measures are in place to ensure the procured equipment remains relevant and effective througho

Ensuring the relevance of advanced technology over a contract duration of over 1600 days (approx. 4.5 years) requires proactive management. Measures typically include clearly defined performance specifications that allow for some technological evolution within the contract's scope, or options for upgrades and modernization. The contract might also include provisions for technical refresh cycles or phased deliveries of updated versions. The Department of the Army likely has a robust technology insertion strategy and conducts regular reviews to assess the evolving threat landscape and technological advancements. The firm-fixed-price nature might limit flexibility for major upgrades unless explicitly defined in the contract or through subsequent modifications, highlighting the importance of initial specifications and potential future-proofing.

Industry Classification

NAICS: Manufacturing › Communications Equipment Manufacturing › Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Wico Limited

Address: 150 RUSTCRAFT RD, DEDHAM, MA, 02026

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

Financial Breakdown

Contract Ceiling: $30,786,997

Exercised Options: $30,786,997

Current Obligation: $27,531,605

Subaward Activity

Number of Subawards: 10

Total Subaward Amount: $2,325,677

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W15P7T21D0002

IDV Type: IDC

Timeline