February 26, 2020 | International, Aerospace
By: Chiara Vercellone
WASHINGTON — In its quest to modernize the U.S. Air Force's stockpile of intercontinental ballistic missiles, Northrop Grumman has partnered with Bechtel and Kratos Defense and Security Solutions, the company announced Tuesday.
The two companies are the latest addition to Northrop Grumman's nationwide team devoted to replace the Minuteman III with next-generation missiles, as the company announced in September its collaboration with hundreds of companies across the defense, construction and engineering industries.
“Together, this expanded team has the capacity, capability and credentials needed to deliver – on time – a safe, secure, reliable and effective nuclear deterrent capability for the U.S. and its allies for the next 50 years,” said Greg Manuel, vice president of Northrop Grumman's Ground Based Strategic Deterrent team.
Bechtel, an engineering, construction and project management company, will provide construction and integration, and launch system design, according to the announcement. Kratos Defense and Security Solutions, which specializes in unmanned systems and missile defense, will provide vehicle transporters.
Northrop Grumman is the de facto winner of the $85 billion contract, expected to be awarded in the fourth quarter of 2020, after Boeing declined to bid on the program by the Dec. 13 deadline. Boeing claimed Northrop Grumman had an advantage to offer the lowest-cost system, thanks in part to its acquisition of one of only two U.S. solid-fuel rocket motor manufacturers. Boeing proposed, unsuccessfully, that the Air Force demand a joint team be formed between the two companies.
The Air Force said it will proceed with “an aggressive and effective sole-source negotiation,” according to a statement released in December.
Members of Congress have expressed concern over a sole-source contract. House Armed Services Committee Rep. Adam Smith, D-Wash., suggested the Air Force has shown bias toward Northrop Grumman and questioned the need for the program.
“It is very troubling that it's going to be a sole source contract,” Smith said at an event sponsored by Ploughshares Fund in October. “The thing to do would be to address the concerns that Boeing raised about the procurement process. Because, if Boeing is to be believed, they didn't say ‘We just can't do this anymore.' They said the process wasn't fair.”
In August, Northrop Grumman broke ground near Hill Air Force Base on a new facility that will serve as the headquarters for the company's workforce, which will add thousands of jobs in the state of Utah, according to the release.
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August 18, 2020 | International, Aerospace
August 17, 2020 Many nations have suffered significant financial losses as a result of the COVID-19 crisis. Will next-generation combat aircraft programs be delayed by future defense budgets cuts? Aviation Week's Executive Editor for Defense and Space, Jen DiMascio, answers: Even though defense budgets are likely to remain stable in the U.S. during the coming year, relief funding to combat the COVID-19 pandemic is likely to put pressure on spending over time. As a result, projects such as the U.S. Air Force's Next-Generation Air Dominance (NGAD) program could be slowed. Pentagon spending was already predicted to level off in the next few years, and the economic drop-off caused by the novel coronavirus and the torrent of debt the government is taking on to combat the pandemic adds even more pressure. The situation today is even more extreme than during the 2008-09 global economic crisis, according to Craig Caffrey, senior aerospace industry analyst for forecast and MRO at the Aviation Week Network. Caffrey forecasts that COVID-19 could shrink the global economy by 4-6% over the next five years, sending worldwide defense spending down 5%, or $70-80 billion. What all that means for next-generation fighter programs is difficult to say. The U.S. is already sacrificing NGAD funding for near-term needs. A bill to provide $700 billion for defense in fiscal 2021 in the House of Representatives would approximately halve funding for NGAD by $500 million for fiscal 2021 to offset an Air Force shortfall in fighter availability. Could such cutbacks slow development of next-generation efforts? It is hard to say, but constraints on spending are unlikely to ease. In Europe, the UK is aiming to field its next-generation Tempest in 2035. So far, £2 billion ($2.6 billion) has been allocated for technology development and maturation, but Caffrey foresees strong economic headwinds over the next five years. “I don't see where the money comes from for the full scope of Tempest as currently envisaged,” he says. The French-German Future Air Combat System (FCAS) may have more breathing room because the program is not expected to enter service until 2040. In the near-term, France, Germany and their new partner, Spain, are providing government aid to such high-tech programs to retain jobs during the COVID-19 pandemic. The real test will be whether funding can be sustained in 2022-23. Airbus CEO Guillaume Faury is lobbying for efforts such as EuroDrone and FCAS to continue, saying they will be required in the future. “We have the DNA to make them successful,” Faury told Aviation Week's Jens Flottau recently. “Europe feels the need to prepare for the sovereignty of the future, which includes the air and space power to protect your territory from the skies. I am very happy and optimistic that this is moving forward.” https://aviationweek.com/defense-space/budget-policy-operations/will-us-defense-cuts-delay-next-gen-combat-aircraft-programs
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