DoD Awards $33.7M for A3M Block I Modems to L3 Technologies, Inc
Contract Overview
Contract Amount: $33,728,891 ($33.7M)
Contractor: L3 Technologies, Inc.
Awarding Agency: Department of Defense
Start Date: 2024-10-01
End Date: 2027-12-31
Contract Duration: 1,186 days
Daily Burn Rate: $28.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: A3M- BLOCK I - 1 RACK UNIT (RU) FORM FACTOR MODEM PRODUCTION
Place of Performance
Location: CAMDEN, CAMDEN County, NEW JERSEY, 08103
Plain-Language Summary
Department of Defense obligated $33.7 million to L3 TECHNOLOGIES, INC. for work described as: A3M- BLOCK I - 1 RACK UNIT (RU) FORM FACTOR MODEM PRODUCTION Key points: 1. Contract awarded to L3 Technologies, Inc. for A3M Block I modem production. 2. Significant award value of $33.7 million. 3. Competition method was 'Full and Open', suggesting potential for competitive pricing. 4. Sector is Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing. 5. Delivery order under an existing contract, with a duration of 1186 days.
Value Assessment
Rating: fair
The contract value of $33.7M for 1186 days (approx. 3 years) for modem production appears to be within a reasonable range for specialized hardware. Benchmarking against similar production runs for advanced communication equipment would be necessary for a definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'Full and Open Competition', which generally allows for the widest range of potential bidders and can lead to better price discovery. The specific impact on price depends on the number and competitiveness of the bids received.
Taxpayer Impact: Taxpayer funds are being used for the procurement of essential communication equipment for the Department of Defense. The competitive nature of the award aims to ensure value for money.
Public Impact
Ensures the Department of Defense has access to critical A3M Block I modem technology. Supports the wireless communications equipment manufacturing sector. Potential for technological advancements in military communication systems. Award contributes to the economic activity within New Jersey.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics in provided data.
- Potential for obsolescence in rapidly evolving communication technology.
- Reliance on a single delivery order may limit long-term strategic planning.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type can provide cost certainty.
- Long-term contract duration allows for stable production and delivery.
Sector Analysis
The procurement falls within the Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing sector. Spending in this sector for defense applications is crucial for maintaining technological superiority and operational readiness.
Small Business Impact
The provided data does not indicate any specific provisions or set-asides for small businesses in this contract. Further investigation would be needed to determine the extent of small business participation.
Oversight & Accountability
As a delivery order under an existing contract, oversight may be integrated into the broader contract management framework. The Department of the Air Force is responsible for ensuring performance and accountability.
Related Government Programs
- Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- Technological obsolescence risk.
- Dependence on a single supplier for this specific modem type.
- Potential for cost overruns if unforeseen technical issues arise.
- Ensuring interoperability with existing and future defense systems.
Tags
radio-and-television-broadcasting-and-wi, department-of-defense, nj, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $33.7 million to L3 TECHNOLOGIES, INC.. A3M- BLOCK I - 1 RACK UNIT (RU) FORM FACTOR MODEM PRODUCTION
Who is the contractor on this award?
The obligated recipient is L3 TECHNOLOGIES, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $33.7 million.
What is the period of performance?
Start: 2024-10-01. End: 2027-12-31.
What is the specific technical capability and operational necessity of the A3M Block I modem that justifies this expenditure?
The A3M Block I modem likely provides critical communication capabilities for specific Department of Defense platforms or operations. Its necessity stems from requirements for secure, reliable, and potentially high-bandwidth data transmission in challenging environments. Understanding its unique features and the absence of viable commercial off-the-shelf alternatives would clarify the justification for this specialized procurement.
What are the key performance indicators (KPIs) and quality assurance measures in place to ensure the modems meet stringent military standards?
While the contract type is Firm Fixed Price, detailed KPIs and QA measures are not specified in the provided data. Typically, such contracts would include clauses for testing, acceptance criteria, and defect reporting. The Department of the Air Force's quality assurance representatives would monitor production and conduct inspections to ensure compliance with technical specifications and performance requirements.
How does the cost of these A3M Block I modems compare to similar, albeit potentially less advanced, communication equipment procured by other government agencies or commercial entities?
A direct cost comparison is challenging without knowing the exact specifications and technological advancements of the A3M Block I modem. However, given its likely specialized nature for defense applications, it may be priced higher than standard commercial modems. Benchmarking against other defense-specific communication systems with similar functionalities and production volumes would provide a more relevant comparison.
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
Solicitation ID: FA880819R0002
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: L3harris Technologies, Inc
Address: 11 FEDERAL ST, CAMDEN, NJ, 08103
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $33,728,891
Exercised Options: $33,728,891
Current Obligation: $33,728,891
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: FA880820D0002
IDV Type: IDC
Timeline
Start Date: 2024-10-01
Current End Date: 2027-12-31
Potential End Date: 2027-12-31 00:00:00
Last Modified: 2025-06-24
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