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May 22, 2019 | International, Aerospace, Naval, Land, C4ISR, Security, Other Defence

BAE Makes Big Bet On Small Companies: FAST Labs

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BOSTON: BAE Systems, the third-largest defense contractor in the world, is funding innovative small startups to get innovative technology quickly to its Defense Department customers. Through an initiative called FAST Labs, BAE is both providing seed capital directly to startups and funding a number of accelerators to widen the potential market.

The standard tactics include simply buying a smaller company to gain its technology or investing in a startup in order to control the direction of its research. Instead, BAE's FAST Labs is attempting to serve as a middle man connecting startups with DoD customers and BAE's various units.

“By giving [the startups] the feasibility money, we can expose them to those harsh requirements that exist in the aerospace and defense world, but we can also in turn do social engineering inside our company,” Jerry Wohletz, the vice president and general management of BAE FAST Labs, told me. The idea is to introduce the startups' designs to BAE's factory and engineering work force, he said, “because we need to get it out of R&D land and get it into those products and services” that BAE knows its defense customers are looking for.

FAST Labs is focused on research related to next-generation electronics, intelligent autonomous systems, cyber, electronic warfare, and sensors and processing. Wohletz explained that BAE does in-house research on capabilities that are solely of interest to DoD and the Intelligence Community, but it is reaching out to startups in order to partner on products and services based on commercial market needs.

“A lot of aerospace and defense companies have venture capital funds,” Wohletz said. “That's not what we are trying to do. This is not an equity play to drive bottom line performance. We talk here about innovation velocity. We want speed to market.”

Therefore, BAE is also putting its money — but more importantly its time — into a number of technology accelerators, such as Techstars in Boston, Capitol Factory in Austin, Texas, and MASSChallenge with hubs in both cities. FAST Labs has a team of scouts whose job is to attend pitches all across the country. “This is not based on ownership. We leave them their freedom,” Francesca Scire-Scappuzzo, who heads the scout team, told me. “We want innovation not just to support our market, we want to support their own innovation” for the commercial market.

“Other defense contractors are trying to get involved with venture capital, but they for the most part don't really get it. BAE was in early, and they had the benefit of being linked with us,” Lt. Col. Dave Harden, chief operating officer of AFWERX, the Air Force's innovation hub, told me during the Techstars Air Force Accelerator Demo Day here last Thursday. Indeed, BAE cosponsored the event, and put upfront investment in at least three of 10 start-up companies participating.

Neither Wohletz or Scire-Scappuzzo would tell me the size of BAE's budget for startup investment, but Wohletz said “it's getting bigger every year.” Further, the company is using accelerators not just to help itself innovate, Wohletz said, but also to find foreign companies to partner with in bids where the buying country requires offsets, such as India. “It's a completely different way of looking at this than we have done in the past,” he summed up.

https://breakingdefense.com/2019/05/bae-makes-big-bet-on-small-companies-fast-labs/

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  • Le premier contrat de R&T du SCAF (avion de combat du futur) passe au grill du Bundestag

    February 12, 2020 | International, Aerospace

    Le premier contrat de R&T du SCAF (avion de combat du futur) passe au grill du Bundestag

    Par Michel Cabirol Le premier contrat de Recherche et Technologie du programme SCAF (Système de combat aérien du futur) doit être approuvé mercredi en principe par le Bundestag. Un contrat qui s'élève à 155 millions d'euros au total et financé à parité par la France et l'Allemagne. Le programme Système de combat d'avion du futur (SCAF) est sur la piste d'envol. Et c'est le Bundestag, le parlement allemand, qui a bizarrement (constitution allemande oblige) le "Go" entre ses mains pour faire décoller ce programme européen (Allemagne, France et Espagne) vital pour la souveraineté européenne. Traversé par les jeux de la politique intérieure allemande et ouvert aux influences industrielles ainsi qu'à une volonté propre de peser sur ces grands programmes franco-allemands, le Bundestag devra donc approuver ou pas mercredi le premier contrat de R&T (Recherche et technologie) du SCAF. Enfin, il ne faut pas non plus négliger le fait que le ministère de la Défense puisse jouer en sous-main avec le Parlement allemand en vue de négocier de nouvelles contreparties avec la France. Une chose est sure, le SCAF est prévu à l'ordre du jour du Bundestag de mercredi. C'est ce qui a été décidé mais le suspense est garanti jusqu'au tout dernier moment, le dossier pourrait être retiré par le gouvernement de l'ordre du jour si les recommandations du Parlement sur ce contrat donnaient lieu à de nouvelles surenchères. Il y a peu de temps encore, le gouvernement d'Angela Merkel était plutôt confiant sur ce calendrier. "Mais la prudence reste donc de mise", explique-t-on à Paris. Si tout a été négocié aux petits oignons par les étatiques (ministères des Armées et de la Défense) et les industriels, il est encore possible que des jeux politiques internes allemands parasitent le vote du contrat au Bundestag. "Mesdames et messieurs les parlementaires du Bundestag, votre vote dans quelques jours sur le démonstrateur du SCAF, aura une importance décisive, et enverra un signal politique fort, sur la volonté de nos deux pays de construire l'Europe de la défense", avait lancé à Strasbourg le 5 février la ministre des Armées, Florence Parly en conclusion de son discours devant l'Assemblée parlementaire franco-allemande. Un contrat signé en décembre en attente du Bundestag Le travail entre les étatiques français et allemands a été bien fait (tout est parfaitement équilibré dans le programme entre la France et l'Allemagne) et plutôt rapidement. D'autant que le contrat a été déjà signé en décembre par les industriels, qui se sont mis d'accord sur le devis. Un contrat qui sera mis en vigueur bien évidemment sous réserve d'acceptation du Bundestag. Quel est ce dossier qui va passer mercredi au grill des parlementaires allemands ? C'est un contrat de R&T de 155 millions d'euros (soit 148 millions pour la tranche ferme et 7 millions pour la tranche optionnelle), financé à parité par la France et l'Allemagne (77,5 millions d'euros chacun) et d'une durée de 18 mois. Ce contrat porte sur l'ensemble des cinq piliers du programme (avion, moteur, combat collaboratif connecté, drones et coordination du programme). Il doit faire travailler les industriels ensemble sur les technologies ainsi que sur leur maturation avec l'ambition de développer des démonstrateurs à l'horizon de 2026. Deux dossiers du SCAF (capteurs et furtivité) ont été remis à plus tard. Un premier contrat dit d'études de concept de 65 millions d'euros financé à parité avait signé en janvier 2019 avec une tranche ferme et une tranche optionnelle qui a été affermie fin octobre. Vers un contrat de démonstrateurs Ce premier contrat de R&T doit logiquement amener les industriels vers un deuxième contrat plus ambitieux, qui reste encore à définir par la France et l'Allemagne. Il doit être signé entre mi-21 et mi-22 et permettra avec des financements plus importants d'aller encore plus loin dans les travaux communs en vue de réaliser des démonstrateurs, dont notamment l'avion, le moteur, les drones et le combat collaboratif connecté. "Il y aura une stratégie complète de démonstration", souligne-t-on à La Tribune. Le montant de ce futur contrat devrait s'élever à plus de 1 milliard d'euros au moins. Tout dépendra si la phase de démonstration est saucissonnée en plusieurs tranches comme le voudrait le Bundestag afin de contrôler au plus serré le programme SCAF et donc peser sur le discussions entre la France et l'Allemagne. Au total, l'Allemagne et la France devront mettre plusieurs milliards d'euros. Et là, le programme deviendra irréversible, ce qui affaiblira le pouvoir de nuisance du Bundestag. Mais d'ici là, la course de haies va se poursuivre pour les Français face aux Allemands, qui n'auront de cesse de vouloir se renforcer et acquérir des compétences qu'ils n'ont pas pour devenir la première industrie aérospatiale européenne. https://www.latribune.fr/entreprises-finance/industrie/aeronautique-defense/le-premier-contrat-de-r-t-du-scaf-avion-de-combat-du-futur-passe-au-grill-du-bundestag-839400.html

  • Contract Awards by US Department of Defense - Aug 1, 2019

    August 2, 2019 | International, Aerospace, Naval, Land, C4ISR, Security

    Contract Awards by US Department of Defense - Aug 1, 2019

    DEFENSE LOGISTICS AGENCY Tesoro Refining and Marketing Co., San Antonio, Texas (SPE602-19-D-0506, $348,692,953); BP Products North America Inc., Chicago, Illinois (SPE602-19-D-0514, $315,599,804); Par Hawaii Refining LLC, Houston, Texas (SPE602-19-D-0510, $271,274,321); Valero Marketing and Supply Co., San Antonio, Texas (SPE602-19-D-0504, $260,554,844); Equillon Enterprises LLC, doing business as Shell Oil Products, Houston, Texas (SPE602-19-D-0509, $228,126,037); BP West Coast Products LLC, Blaine, Washington (SPE602-19-D-0512, $157,502,370); U.S. Oil and Refining Co., Tacoma, Washington (SPE602-19-D-0513, $156,746,055); Petro Star Inc.,* Anchorage, Alaska (SPE600-19-D-0505, $110,836,555); Phillips 66 Co., Houston, Texas (SPE602-19-D-0515, $58,246,377); Epic Aviation LLC, Salem, Oregon (SPE602-19-D-0508, $38,905,276); and Sinclair Oil Corp.,* doing business as Sinclair, Salt Lake City, Utah, (SPE602-19-D-0507, $38,197,366), have each been awarded a fixed-price with economic-price-adjustment, indefinite-delivery/indefinite-quantity contract under solicitation SPE602-19-R-0703 for various types of fuel. These were competitive acquisitions with 21 offers received. They are one-year contracts with a 30-day carryover. Locations of performance are Texas, Illinois, Washington, Alaska, Oregon, Utah, and the Rocky Mountain Region of the continental U.S., with an Oct. 30, 2020, performance completion date. Using customer is Defense Logistics Agency Energy. Type of appropriation is fiscal 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Virginia. Petro Star Inc.,* Anchorage, Alaska, has been awarded a maximum $52,630,968 fixed-price with economic-price-adjustment, indefinite-delivery/indefinite-quantity contract for JA1 jet fuel. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a one-year contract with a 30-day carryover. Location of performance is Alaska, with an Oct. 30, 2020, performance completion date. Using customer is Air Force. Type of appropriation is fiscal 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Virginia (SPE602-19-D-0517). Sysco Raleigh LLC, Selma, North Carolina, has been awarded a maximum $49,019,871 fixed-price with economic-price-adjustment, indefinite-quantity contract for full line food distribution. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a 286-day contract with no option periods. Location of performance is North Carolina, with a May 16, 2020, performance completion date. Using customers are Army, Navy, Air Force, Marine Corps and federal civilian agencies. Type of appropriation is fiscal 2019 defense working capital funds. The contracting agency is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE300-19-D-3230). Oshkosh Defense LLC, Oshkosh, Wisconsin, has been awarded a maximum $27,537,300 firm-fixed-price requirements contract for pneumatic tire wheel assemblies. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a three-year contract with no option periods. Locations of performance are Wisconsin and New Jersey, with a July 29, 2022, performance completion date. Using military service is Army. Type of appropriation is fiscal 2019 through 2022 Army working capital funds. The contracting activity is the Defense Logistics Agency Land and Maritime, Warren, Michigan (SPRDL1-19-D-0130). (Awarded July 30, 2019) U.S. TRANSPORTATION COMMAND Crowley Logistics Inc., Jacksonville, Florida, has been awarded a contract modification, P00009, on contract HTC711-17-D-R003 in the estimated amount of $328,000,000. This modification provides continued surface transportation coordination services for the movement of freight within the continental U.S. and Canada under the Department of Defense Freight Transportation Services program to the Defense Logistics Agency and Defense Contract Management Agency. Work will be performed in the continental U.S. and in Canada. The period of performance is from Aug. 1, 2019, to July 31, 2020. Fiscal 2019 transportation working capital funds were obligated at award. This modification brings the total cumulative face value of the contract from $110,285,829 to $438,285,829. U.S. Transportation Command, Directorate of Acquisition, Scott Air Force Base, Illinois, is the contracting activity. AIR FORCE Raytheon Co., Woburn, Massachusetts, has been awarded a $36,250,251, firm-fixed-price contract modification (P00014) to previously awarded contract FA8730-17-C-0010 for the Qatar Early Warning Radar (QEWR). This modification is for procurement and storage of obsolescent spares in support of QEWR sustainment. The modification brings the total cumulative face value of the contract to $1,094,776,076. Work will be performed in Woburn, Massachusetts, and is expected to be completed by August 2023. This modification involves 100% foreign military sales to the country of Qatar. Foreign Military Sales funds in the amount of $36,250,251 are being obligated at the time of award. The Air Force Life Cycle Management Center, Hanscom Air Force Base, Massachusetts, is the contracting activity. Summers Concrete Contracting Inc., Hahira, Georgia, has been awarded a ceiling $25,000,000 indefinite-delivery/indefinite-quantity contract for repair airfield pavements. This contract provides for repair or alteration of airport runways and taxiways construction requirements. Work will be performed at Moody Air Force Base, Valdosta, Georgia; and Sebring, Florida, and is expected to be completed by July 31, 2024. This award is the result of a competitive acquisition with three offers received. No funds are being obligated at the time of award. The 23d Contracting Squadron, Moody Air Force Base, Georgia, is the contracting activity (FA4830-19-D-A001). Verdis-Takisaki JV, Coeur d'Alene, Idaho (FA4620-19-D-A007); National Native American Construction Inc., Coeur d'Alene, Idaho (FA4620-19-D-A010); Global-Northcon JV, Hayden, Idaho (FA4620-19-D-A011); and Imperial Construction NW LLC, Wapato, Washington (FA4620-19-D-A012), have been awarded a combined, not-to-exceed $23,000,000 indefinite-quantity multiple award task order contract for design-build construction efforts. Work will be performed at Fairchild Air Force Base, Washington, and is to be expected to be complete by July 31, 2024. These awards are the result of a competitive acquisition and eight offers were received. Fiscal 2019 operation and maintenance funds in the amount of $500 are being obligated to each company at the time of award. The 92d Contracting Squadron, Fairchild Air Force Base, Washington, is the contracting activity. L3 Technologies Inc., Link Training & Simulation Division, Arlington, Texas, has been awarded a $10,411,380 cost-plus-fixed-fee contract task order modification (P00011) to the previously awarded FA8621-19-6251 task order for F-16 aircraft simulator training program services. This contract modification will provide aircraft concurrency requirements for the M7.3 Operation Flight Plan to deliver medium and high-fidelity simulation capability to train pilots for the F-16 aircraft platform. The modification brings the total cumulative face value of the contract to $28,440,800. Work will be performed at Arlington, Texas, and is expected to be completed by March 31, 2021. Fiscal 2019 research and development funds in the amount of $800,000 are being obligated at the time of award. The Air Force Life Cycle Management Center, Wright-Patterson AFB, Ohio, is the contract activity. University of Dayton Research Institute, College Park, Dayton, Ohio, has been awarded a $9,800,000 cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract. This contract provides enhancement and improvement to the non-destructive evaluation capabilities for aerospace structures and components. This contract promotes discovery and provides increased accuracy, precision, reliability and optimization of the material state awareness of aerospace materials. Work will be performed at Wright-Patterson Air Force Base, Ohio, and is expected to be completed by Aug. 3, 2026. This award is the result of a competitive acquisition and three offers were received. Fiscal 2019 research, development, test and evaluation funds in the amount of $304,000 will be obligated at the time of award via task order 0001. The Air Force Research Laboratory, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-19-D-5230). ARMY Kinder Brothers Excavating Inc.,* Dexter, Missouri (W912EQ-19-D-0009); SYTE Corp.,* Chicago, Illinois (W912EQ-19-D-0007); Randy Kinder Excavating Inc.,* Dexter, Missouri (W912EQ-19-D-0008); and C&M Contractors Inc.,* Doniphan, Missouri (W912EQ-19-D-0006), will compete for each order of the $50,000,000 firm-fixed-price contract for all plant, labor, materials and equipment for construction of relief wells, repairs to existing relief wells and construction of earthen berms. Bids were solicited via the internet with four received. Work locations and funding will be determined with each order, with an estimated completion date of Aug. 20, 2024. U.S. Army Corps of Engineers, Memphis, Tennessee, is the contracting activity. Sehlke Consulting LLC,* Arlington, Virginia, was awarded a $9,999,500 order-dependent contract for financial management support services. Bids were solicited via the internet with one received. Work locations and funding will be determined with each order, with an estimated completion date of Aug. 9, 2024. U.S. Army Contracting Command, Aberdeen Proving Ground, Maryland, is the contracting activity (W91CRB-19-A-0001). P&S Construction Inc.,* North Chelmsford, Massachusetts, was awarded a $9,457,700 firm-fixed-price contract for construction of a small arms range at Westover Air Reserve Base, Massachusetts. Bids were solicited via the internet with two received. Work will be performed in Westover, Massachusetts, with an estimated completion date of Dec. 9, 2020. Fiscal 2016, 2017 and 2018 military construction funds in the amount of $9,457,700 were obligated at the time of the award. U.S. Army Corps of Engineers, Louisville, Kentucky, is the contracting activity (W912QR-19-C-0020). Nisou LGC JV LLC,* Detroit, Michigan, was awarded an $8,945,520 firm-fixed-price contract for construction of the aerial port facility at Grissom Air Reserve Base, Indiana. Bids were solicited via the internet with two received. Work will be performed in Grissom, Indiana, with an estimated completion date of Oct. 12, 2020. Fiscal 2015, 2017 and 2019 military construction funds in the amount of $8,945,520 were obligated at the time of the award. U.S. Army Corps of Engineers, Louisville, Kentucky, is the contracting activity (W912QR-19-C-0026). Navistar Defense LLC, Lisle, Illinois, was awarded a $7,766,045 firm-fixed-price contract for 4x4 cargo trucks, 6x6 general transport truck, 6x6 30 ton recovery wrecker and medium tactical vehicles general transport truck spares. Bids were solicited via the internet with one received. Work will be performed in Lisle, Illinois, with an estimated completion date of Sept. 27, 2020. Fiscal 2019 operations and maintenance, Army funds in the amount of $7,766,045 were obligated at the time of the award. U.S. Army Contracting Command, Warren, Michigan, is the contracting activity (W56HZV-19-F-0455). NAVY Lockheed Martin, Mission Systems and Training, Baltimore, Maryland, is awarded $18,849,765 for cost-plus award-fee order N62786-19-F-0055 against the previously awarded basic ordering agreement N00024-15-G-2303 to provide engineering and management services for LCS-15 post shakedown availability. Lockheed Martin will provide support of the following: 62,462 man-hours level of effort; and to provide the work specification, pre-fabrication and material. Work will be performed in Moorestown, New Jersey (37%); Mayport, Florida (35%); Hampton, Virginia (14%); and Washington, District of Colombia (14%), and is expected to be complete by January 2021. Fiscal 2013 and 2019 shipbuilding and conversion (Navy); and fiscal 2019 other procurement (Navy) funding in the amount of $13,631,677 will be obligated at time of award and will not expire at the end of the current fiscal year. The Supervisor of Shipbuilding, Conversion and Repair, Bath, Maine, is the contracting activity. BAE Systems Land & Armaments LP, Minneapolis, Minnesota, is awarded an $8,411,293 cost-plus-fixed-fee delivery order for MK38 Gun Weapon System Repair Program support. This contract action is for labor, material and services required to support the Gun Weapon System Repair Program in pre/post testing, removal/installation, refurbishment, fleet technical assistance, maintenance, training and fleet modernization of MK 38 machine gun system. Work will be performed in Norfolk, Virginia (29%); San Diego, California (27%); Yokosuka, Japan (16%); Manama, Bahrain (7%); Rota Spain (7%); Everett, Washington (4%); Tacoma, Washington (4%); Pearl Harbor, Hawaii (4%); and Pascagoula, Mississippi (2%), and is expected to be complete by September 2021. Fiscal 2019 operations and maintenance (Navy); and fiscal 2019 weapons procurement (Navy and Coast Guard) in the amount of $1,050,000 will be obligated at the time of award, and $750,000 will expire at the end of the current fiscal year. This delivery order was solicited as a sole source under basic ordering agreement N00174-18-G-0001 in accordance with 10 U.S. Code 2304(c)(1). The Naval Surface Warfare Center, Indian Head, Explosive Ordnance Disposal Technology Division, Indian Head, Maryland, is the contracting activity (N00174-19-F-0420). Leidos Innovations Corp, Gaithersburg, Maryland, is awarded an $8,208,133 performance-based, indefinite-delivery/indefinite-quantity, firm-fixed-price contract for Micro-processor En-route Automated Radar Tracking System (MEARTS). The contract is for the acquisition of hardware, software, logistics and on-call help desk support for MEARTS. The contract includes a single five-year ordering period and one six-month option to extend services in accordance with Federal Acquisition Regulations (FAR) Clause 52.217-8. The option period, if exercised, would bring the cumulative value of this contract to an estimated $8,737,303. Work will be performed in Charleston, South Carolina, and is expected to be completed by January 2025. An order utilizing fiscal 2019 operations and maintenance (Navy) funds in the amount of $605,690 will be obligated at time of award. Contract funds will expire at the end of the current fiscal year. This requirement was not competitively procured because it is a sole-source acquisition pursuant to the authority of 10 U.S. Code 2304(c)(1) only one Responsible Source FAR Subpart 6.302-1). Naval Information Warfare Center Atlantic, Charleston, South Carolina, is the contracting activity (N65236-19-D-1001). EFW Inc., Fort Worth, Texas, is awarded $7,228,544 for firm-fixed-price delivery order N68335-19-F-0006 against a previously issued basic ordering agreement (N00019-17-G-0014). This delivery order procures 15 Fast Characterization Tools, 15 Helmet Kit Modification Fixtures, 15 Ready Room Testers and 20 Night Vision Goggle Modification Kits for the V-22 Color Helmet Mounted Display System. In addition, this delivery order provides drawing packages and the upgrade of five Fast Characterization Tools. Work will be performed in Haifa, Israel (70%); and Fort Worth, Texas (30%), and is expected to be completed in October 2020. Fiscal 2017 aircraft procurement (Air Force); and fiscal 2019 procurement defense-wide funds in the amount of $7,228,544 will be obligated at time of award, $3,496,053 of which will expire at the end of the current fiscal year. The Naval Air Warfare Center Aircraft Division, Lakehurst, New Jersey, is the contracting activity. DEFENSE INTELLIGENCE AGENCY CoSolutions EIS JV LLC,* Sterling, Virginia, was awarded a labor hour contract (HMM402-19-F-0098) with an estimated total value of $10,000,148 to support intelligence training in Europe. Work will be performed at the Regional Joint Intelligence Training Facility at RAF Molesworth, United Kingdom; Patch Barracks, Stuttgart, Germany; and, on a temporary duty basis, at other locations in Europe and within the continental U.S. The expected completion date is July 31, 2024, if all options are exercised. Fiscal 2019 operations and maintenance funds in the amount of $1,713,015 are being obligated at time of award. This contract was solicited through a small business set aside and one offer was received. The Virginia Contracting Activity, Washington, District of Columbia, is the contracting activity. *Small Business https://dod.defense.gov/News/Contracts/Contract-View/Article/1923647/source/GovDelivery/

  • Contracts for October 20, 2021

    October 21, 2021 | International, Aerospace, Naval, Land, C4ISR, Security

    Contracts for October 20, 2021

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