MITRE Corporation awarded $64.7M for cybersecurity R&D, continuing a long-standing FFRDC relationship

Contract Overview

Contract Amount: $64,749,977 ($64.7M)

Contractor: THE Mitre Corporation

Awarding Agency: Department of Commerce

Start Date: 2020-09-30

End Date: 2024-09-29

Contract Duration: 1,460 days

Daily Burn Rate: $44.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: NCCOE FFRDC CYBERSECURITY ENGINEERING, RESEARCH AND DEVELOPMENT SUPPORT SERVICE

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850

State: Maryland Government Spending

Plain-Language Summary

Department of Commerce obligated $64.7 million to THE MITRE CORPORATION for work described as: NCCOE FFRDC CYBERSECURITY ENGINEERING, RESEARCH AND DEVELOPMENT SUPPORT SERVICE Key points: 1. This contract represents a significant investment in specialized cybersecurity engineering and research. 2. The FFRDC model allows for objective, long-term research and development support. 3. Performance is measured against defined objectives for R&D tasks. 4. The contract's duration suggests a strategic, ongoing need for these services. 5. Cybersecurity R&D is a critical area for national security and economic stability. 6. The fixed-fee structure provides some cost predictability for the government.

Value Assessment

Rating: good

The $64.7 million award over four years for cybersecurity R&D support is substantial but aligns with the nature of Federally Funded Research and Development Centers (FFRDCs). MITRE, as an FFRDC, is expected to provide high-level, objective research. Benchmarking against similar FFRDC contracts for specialized R&D is difficult due to their unique nature, but the pricing appears consistent with the expertise and long-term commitment required. The Cost Plus Fixed Fee (CPFF) structure incentivizes cost control while allowing for the flexibility needed in research environments.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple qualified entities had the opportunity to bid. While specific details on the number of bidders are not provided, the full and open nature suggests a competitive process that should drive fair pricing and innovation. The FFRDC designation itself often influences the competitive landscape, as these centers are established to provide unique, long-term capabilities.

Taxpayer Impact: A full and open competition process is generally favorable for taxpayers as it aims to secure the best value through a wide range of potential providers, fostering price discovery and potentially leading to more cost-effective outcomes.

Public Impact

The National Institute of Standards and Technology (NIST) benefits from advanced cybersecurity research and engineering. This contract supports the development of new cybersecurity technologies and methodologies. The research has broad implications for national cybersecurity posture and critical infrastructure protection. Workforce implications include specialized roles for researchers and engineers in cybersecurity. The geographic impact is primarily national, given the nature of cybersecurity research and its application.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in long-term R&D projects if not tightly managed.
Reliance on a single FFRDC contractor may limit exposure to diverse external innovation.
The CPFF contract type can sometimes lead to less incentive for aggressive cost reduction compared to fixed-price contracts.

Positive Signals

MITRE's established track record as an FFRDC provides a high degree of confidence in their capabilities.
The FFRDC model is designed for objective, non-commercial research, ensuring unbiased technical advice.
Long-term contract provides stability for critical cybersecurity R&D efforts.
Full and open competition ensures a robust selection process.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on cybersecurity engineering. The market for cybersecurity R&D is substantial and growing, driven by increasing digital threats and the need for advanced protective measures. MITRE, as an FFRDC, operates in a unique space, providing objective research and analysis to government sponsors. Comparable spending benchmarks are difficult to establish precisely due to the specialized nature of FFRDC work, but overall government spending on cybersecurity R&D is in the billions annually.

Small Business Impact

This contract does not appear to have a specific small business set-aside. As a large contract awarded to a major FFRDC contractor, the primary focus is on specialized R&D capabilities. Subcontracting opportunities for small businesses may exist, but they would likely be determined by MITRE based on specific project needs rather than a direct government mandate for this particular award. The impact on the small business ecosystem is indirect, potentially through subcontracting or by MITRE's research informing broader industry standards.

Oversight & Accountability

Oversight is provided by the National Institute of Standards and Technology (NIST), the sponsoring agency. As an FFRDC, MITRE operates under specific government oversight agreements designed to ensure objectivity and adherence to research goals. Accountability is managed through performance metrics and deliverables outlined in the contract. Transparency is generally maintained through reporting requirements, though the proprietary nature of some R&D findings may limit public disclosure.

Related Government Programs

Cybersecurity Research and Development
National Cybersecurity Center of Excellence (NCCOE)
Federally Funded Research and Development Centers (FFRDCs)
National Institute of Standards and Technology (NIST) Programs

Risk Flags

Long-term R&D contracts carry inherent uncertainty in outcomes.
Reliance on a single FFRDC may limit exposure to broader market innovation.
CPFF contract type requires careful cost monitoring to ensure value.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $64.7 million to THE MITRE CORPORATION. NCCOE FFRDC CYBERSECURITY ENGINEERING, RESEARCH AND DEVELOPMENT SUPPORT SERVICE

Who is the contractor on this award?

The obligated recipient is THE MITRE CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Commerce (National Institute of Standards and Technology).

What is the total obligated amount?

The obligated amount is $64.7 million.

What is the period of performance?

Start: 2020-09-30. End: 2024-09-29.

What is MITRE's track record with cybersecurity R&D contracts for the government?

MITRE Corporation has a long and extensive track record as a Federally Funded Research and Development Center (FFRDC), with a significant portion of its work dedicated to cybersecurity research and development for various government agencies. As an FFRDC, MITRE is specifically chartered to provide objective, independent research and analysis. Their work often involves developing new technologies, frameworks, and best practices to address evolving cybersecurity threats. They have been instrumental in areas such as threat intelligence, secure software development, critical infrastructure protection, and national cybersecurity strategy. This specific contract builds upon that established expertise, leveraging their deep understanding of complex systems and emerging cyber risks to support NIST's mission.

How does the value of this contract compare to similar cybersecurity R&D efforts?

The $64.7 million award over four years for cybersecurity engineering, research, and development support is substantial, reflecting the specialized and critical nature of the work. Comparing this directly to 'similar' contracts is challenging because FFRDCs like MITRE operate under unique agreements and are tasked with highly specific, often foundational, research that differs from typical IT services or product procurement. However, government spending on cybersecurity R&D is a significant area, with numerous contracts awarded across agencies. This award appears to be in line with the scale of investment typically seen for FFRDC support in critical technology domains, where long-term, in-depth research is required rather than off-the-shelf solutions.

What are the primary risks associated with this type of R&D contract?

The primary risks associated with this type of R&D contract, particularly with an FFRDC like MITRE, revolve around the inherent uncertainties of research and development. These include the possibility of research not yielding expected breakthroughs, potential for scope creep as new challenges emerge, and the challenge of translating complex research findings into practical, implementable solutions. For a Cost Plus Fixed Fee (CPFF) contract, there's also a risk that costs could exceed initial estimates if not managed diligently, although the fixed fee provides a ceiling. Ensuring continued alignment with evolving government needs and maintaining objectivity over the contract's duration are also key considerations.

How effective is the FFRDC model for delivering cybersecurity R&D?

The FFRDC model is generally considered highly effective for delivering cybersecurity R&D due to its core design principles. FFRDCs are established to provide long-term, objective, and independent research and development capabilities that government agencies cannot readily replicate internally or obtain through traditional, short-term contracts. They foster deep expertise, maintain continuity, and operate free from commercial conflicts of interest. This allows them to tackle complex, strategic challenges and provide unbiased advice. For cybersecurity, this model is particularly valuable as it enables sustained focus on evolving threats and the development of foundational technologies and policies critical for national security.

What are historical spending patterns for cybersecurity R&D at NIST or similar agencies?

Historical spending patterns for cybersecurity R&D at NIST and similar agencies show a consistent and increasing trend over the years. Agencies like NIST, the Department of Defense, and the Department of Homeland Security allocate significant budgets to cybersecurity research to stay ahead of emerging threats. NIST, in particular, focuses on developing standards, guidelines, and best practices, which often involves substantial R&D investment. While specific figures fluctuate annually based on priorities and budget allocations, the overall trajectory indicates a growing commitment to advancing cybersecurity capabilities through research, often utilizing FFRDCs for specialized expertise. This $64.7M award to MITRE aligns with this pattern of sustained investment in critical cybersecurity R&D.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Social Sciences and Humanities

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 1333ND20QNB770467

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 7515 COLSHIRE DR, MC LEAN, VA, 22102

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: $70,923,519

Exercised Options: $68,569,778

Current Obligation: $64,749,977

Subaward Activity

Number of Subawards: 22

Total Subaward Amount: $17,989,576

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: DOCSB134114CQ0010

IDV Type: IDC

Timeline