DoD Awards $33.6M R&D Contract to Anduril Industries for Physical Sciences Research

Contract Overview

Contract Amount: $33,586,934 ($33.6M)

Contractor: Anduril Industries, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-07-26

End Date: 2026-06-30

Contract Duration: 1,800 days

Daily Burn Rate: $18.7K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: AWARD OF SMALL BUSINESS INNOVATIVE RESEARCH PHASE III CONTRACT

Place of Performance

Location: COSTA MESA, ORANGE County, CALIFORNIA, 92626

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $33.6 million to ANDURIL INDUSTRIES, INC. for work described as: AWARD OF SMALL BUSINESS INNOVATIVE RESEARCH PHASE III CONTRACT Key points: 1. Significant award to Anduril Industries, a prominent defense technology firm. 2. Contract focuses on advanced physical sciences R&D, a critical sector for defense. 3. Potential for innovation in defense capabilities, but competition details are limited. 4. Firm Fixed Price contract type aims to control costs. 5. Long duration of 1800 days suggests a complex, multi-year project.

Value Assessment

Rating: questionable

The contract value of $33.6 million over five years is substantial. Without specific deliverables or benchmarks for similar R&D efforts, assessing its value for money is difficult. The 'NOT AVAILABLE FOR COMPETITION' status raises concerns about price discovery.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was not available for competition, indicating a sole-source or limited source justification. This limits the opportunity for competitive bidding, potentially impacting price discovery and the government's ability to secure the best possible price.

Taxpayer Impact: The lack of competition may lead to a higher cost for taxpayers compared to a fully competitive procurement.

Public Impact

Advancement of cutting-edge R&D in physical sciences for national security. Potential for new defense technologies and capabilities to emerge from this contract. Economic impact through investment in a specialized technology firm and its workforce. Transparency concerns due to the non-competitive nature of the award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences. Spending in this sector is crucial for maintaining technological superiority, but often involves high risk and uncertainty. Benchmarks are difficult due to the specialized nature of R&D.

Small Business Impact

The data indicates this contract was not awarded to a small business (sb: false). Therefore, there is no direct benefit to small businesses from this specific award, though subcontractors could potentially be involved.

Oversight & Accountability

The 'NOT AVAILABLE FOR COMPETITION' status warrants close oversight to ensure the justification for limited competition is sound and that the government is receiving fair value. Robust monitoring of deliverables and performance is essential.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, department-of-defense, ca, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $33.6 million to ANDURIL INDUSTRIES, INC.. AWARD OF SMALL BUSINESS INNOVATIVE RESEARCH PHASE III CONTRACT

Who is the contractor on this award?

The obligated recipient is ANDURIL INDUSTRIES, 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 $33.6 million.

What is the period of performance?

Start: 2021-07-26. End: 2026-06-30.

What specific R&D objectives does this contract aim to achieve, and how do they align with current defense priorities?

The contract focuses on 'Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)'. While broad, this suggests advancements in areas like materials science, advanced manufacturing, or complex systems engineering. Alignment with defense priorities would likely involve enhancing existing platforms, developing novel sensing capabilities, or improving operational effectiveness through scientific breakthroughs.

Given the sole-source nature, what mechanisms are in place to ensure the $33.6 million represents a fair and reasonable price?

Typically, sole-source procurements rely on detailed cost proposals, historical pricing data from the contractor, and independent government cost estimates. The contracting officer must perform thorough price analysis, potentially including audits, to justify the reasonableness of the price. The lack of competition means the government cannot leverage market forces to drive down costs.

How will the effectiveness and impact of the R&D outcomes be measured and evaluated over the contract's five-year duration?

Effectiveness will likely be measured through milestone-based deliverables, technical reviews, and prototype demonstrations. The contract's success hinges on the contractor's ability to achieve defined R&D objectives and transition findings into potential applications. Periodic performance reviews and final reports will assess the scientific and technical merit of the work performed.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2722 MICHELSON DR, IRVINE, CA, 92612

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

Financial Breakdown

Contract Ceiling: $33,586,934

Exercised Options: $33,586,934

Current Obligation: $33,586,934

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2021-07-26

Current End Date: 2026-06-30

Potential End Date: 2026-06-30 00:00:00

Last Modified: 2025-09-09

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