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By: Martin Banks The European Union will launch a call for a new batch of proposals as part of Europe's new Permanent Structured Cooperation (PESCO) initiative this week. At the same time, officials said that the 34 existing PESCO projects are still considered to be at a very initial “incubation phase,” meaning they have yet to come to fruition. The PESCO defense pact – a show of unity and a tangible step in EU integration – was set up in December 2017 between EU governments and involved two phases of joint initiatives, each consisting of 17 projects. The third and latest phase, to be launched this week, is for an unspecified number of new projects. The founding PESCO members, including France, Germany and Italy, have been asked to table proposals by the summer with a view to these being approved by the end of 2019. The new batch of projects is likely to be smaller than the previous two, the second of which was launched last November, and is expected to be more “mature” when it comes to the projects' setup, including support by member states, one official said. EU members are responsible for developing and implementing PESCO projects. An EU defence source said, “They are still at an initial stage, or incubation phase.” Twelve of the existing 34 schemes are expected to reach initial operational capability by 2022, with four of these due to be implemented later this year, according to the source. The 34 schemes include a harbor and maritime surveillance and protection (HARMSPRO) project, designed to deliver a new maritime capability with the ability to conduct surveillance and protection of specified maritime areas, from harbors up to littoral waters. Another is the Training Mission Competence Centre which aims to improve the availability and professionalism of personnel for EU training missions. The list also includes a European armoured infantry vehicle and cyber rapid response teams. Other projects involve developing new equipment, such as infantry fighting vehicles, amphibious assault vehicles, light armored vehicles, indirect fire support, strategic command-and-control systems for EU defense missions, minesweeping drones, upgrading maritime surveillance and developing a joint secure software defined radio. Long blocked by London, PESCO, is one of the most tangible steps in EU integration since Britons voted to leave the bloc, as militaries begin to plan, spend and deploy together. The eventual aim of PESCO is to develop and deploy forces together, backed by a multi-billion-euro fund for defense research and development. The idea aims to bring together European countries with a military capacity and political desire to collaborate on planning, carry out joint analyses of emerging crises and to react to them quickly. Speaking recently in the European parliament in Brussels, Finnish Prime Minister Juha Sipilä welcomed the establishment of PESCO as a “step in the right direction” but said PESCO members “should now concentrate on implementation and reaching results.” The EU source said, “Some might find it surprising that the 34 projects are still at the ideation phase but you have to remember that the PESCO project was launched only recently so the record is not bad. We are not talking about a ‘project factory' but a commitment on the part of participating members to work more closely in the area of security and defence.” EU defence expert Paul Taylor wrote, “It is worth noting that the PESCO effort is still at a relatively early stage of development.” Jamie Shea, a senior fellow at Friends of Europe, a leading Brussels think tank, commented, “It is welcome news that the number of PESCO projects is likely soon to grow still further beyond the current 34. But to sustain political and public interest in this initiative it is important that we see soon the first deliverables to show that the good intentions are being followed with real and new European military capabilities.” Shea added, “Moreover the key test for the success of PESCO will not just be to generate more multinational efforts but also to produce capabilities that plug the current shortfalls in the EU's most urgent requirements and move it towards its goal of strategic autonomy.” https://www.defensenews.com/global/europe/2019/05/06/european-union-tees-up-new-military-cooperation-proposals/

NAVY Lockheed Martin, Rotary and Mission Systems, Moorestown, New Jersey, is awarded a $84,925,824 cost-plus-incentive-fee modification to previously awarded contract N00024-13-C-5116 for AEGIS combat system engineering, architecture, development, integration and test; Naval Integrated Fire Control-Counter Air integration and test; and training, studies and computer program maintenance. Work will be performed in Moorestown, New Jersey, and is expected to be completed by December 2019. Fiscal 2014 and 2017 shipbuilding and conversion (Navy); fiscal 2018 and 2019 research, development, test, and evaluation (Navy); fiscal 2019 operations and maintenance (Navy); and fiscal 2019 other procurement (Navy) funding in the amount of $58,414,159 will be obligated at the time of award and funding in the amount of $4,217,275 will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity. G2 Software Systems Inc.,* San Diego, California, is awarded a $83,493,639 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee, multiple-award contract to provide command and control (C2) technologies and capabilities in the areas of innovative science and technology research, systems engineering, architecture, design, development, integration, testing, configuration management, quality assurance, and implementation and support of C2 net-centric military operations. This is one of six contracts awarded. All awardees will have the opportunity to compete for task orders during the ordering period. This two-year contract includes four two-year options which, if exercised, would bring the overall, cumulative value of this contract to an estimated $93,030,165. All work will be performed in San Diego, California, and is expected to be completed May 6, 2021. If the options are exercised, the period of performance would extend through May 6, 2029. Fiscal 2019 working capital (Navy) funds in a guaranteed amount of $10,000 will be obligated at the time of award and will not expire by the end of the current fiscal year. Funds will be obligated as task orders are issued using research, development, test and evaluation (Navy); operations and maintenance (Navy); other procurement (Navy); shipbuilding construction (Navy); and working capital fund (Navy). This contract was competitively procured via a request for proposal (N66001-18-R-0002) and publication on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Fourteen offers were received and six were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-0059). Geocent,* Metairie, Louisiana, is awarded a $83,338,808 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee, multiple-award contract to provide command and control (C2) technologies and capabilities in the areas of innovative science and technology research, systems engineering, architecture, design, development, integration, testing, configuration management, quality assurance, and implementation and support of C2 net-centric military operations. This is one of six contracts awarded. All awardees will have the opportunity to compete for task orders during the ordering period. This two-year contract includes four two-year options which, if exercised, would bring the overall, cumulative value of this contract to an estimated $93,030,165. All work will be performed in San Diego, California, and is expected to be completed May 6, 2021. If the options are exercised, the period of performance would extend through May 6, 2029. A guarantee of $10,000 using fiscal 2019 working capital (Navy) funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test and evaluation (Navy); operations and maintenance (Navy); other procurement (Navy); shipbuilding construction (Navy); and working capital fund (Navy). This contract was competitively procured via a request for proposal (N66001-18-R-0002) and publication on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Fourteen offers were received and six were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-0060). Forward Slope Inc.,* San Diego, California, is awarded a $76,903,173 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee, multiple-award contract to provide command and control (C2) technologies and capabilities in the areas of innovative science and technology research, systems engineering, architecture, design, development, integration, testing, configuration management, quality assurance, and implementation and support of C2 net-centric military operations. This is one of six contracts awarded. All awardees will have the opportunity to compete for task orders during the ordering period. This two-year contract includes four two-year options which, if exercised, would bring the overall, cumulative value of this contract to an estimated $93,030,165. All work will be performed in San Diego, California, and is expected to be completed May 6, 2021. If the options are exercised, the period of performance would extend through May 6, 2029. A guarantee of $10,000 using fiscal 2019 working capital (Navy) funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test and evaluation (Navy); operations and maintenance (Navy); other procurement (Navy); shipbuilding construction (Navy); and working capital fund (Navy). This contract was competitively procured via a request for proposal (N66001-18-R-0002) and publication on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Fourteen offers were received and six were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-0058). Advanced Sciences and Technologies LLC (AS&T),* Berlin, New Jersey, is awarded a $68,106,416 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee, multiple-award contract to provide command and control (C2) technologies and capabilities in the areas of innovative science and technology research, systems engineering, architecture, design, development, integration, testing, configuration management, quality assurance, and implementation and support of C2 net-centric military operations. This is one of six contracts awarded. All awardees will have the opportunity to compete for task orders during the ordering period. This two-year contract includes four two-year options which, if exercised, would bring the overall, cumulative value of this contract to an estimated $93,030,165. All work will be performed in San Diego, California, and is expected to be completed May 6, 2021. If the options are exercised, the period of performance would extend through May 6, 2029. A guarantee of $10,000 using fiscal 2019 working capital (Navy) funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test and evaluation (Navy); operations and maintenance (Navy); other procurement (Navy); shipbuilding construction (Navy); and working capital fund (Navy). This contract was competitively procured via a Request for Proposal (N66001-18-R-0002) and publication on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Fourteen offers were received and six were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-0056). Solute Inc.,* San Diego, California, is awarded a $55,891,672 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee, multiple-award contract to provide command and control (C2) technologies and capabilities in the areas of innovative science and technology research, systems engineering, architecture, design, development, integration, testing, configuration management, quality assurance, and implementation and support of C2 net-centric military operations. This is one of six contracts awarded. All awardees will have the opportunity to compete for task orders during the ordering period. This two-year contract includes four two-year options which, if exercised, would bring the overall, cumulative value of this contract to an estimated $93,030,165. All work will be performed in San Diego, California, and is expected to be completed May 6, 2021. If the options are exercised, the period of performance would extend through May 6, 2029. A guarantee of $10,000 using fiscal 2019 working capital (Navy) funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test and evaluation (Navy); operations and maintenance (Navy); other procurement (Navy); shipbuilding construction (Navy); and working capital fund (Navy). This contract was competitively procured via a request for proposal (N66001-18-R-0002) and publication on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Fourteen offers were received and six were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-0061). United Technologies Corp., Pratt & Whitney Engines, East Hartford, Connecticut, is awarded $55,675,476 for modification P00005 to a previously awarded fixed-price-incentive-firm contract (N00019-18-C-1021). This modification provides additional funding for F135 long lead items to support the production delivery schedule, exercises an option for additional initial spare parts, and provides program administrative labor for the global spares pool in support the Navy; Air Force, and Marine Corps, non-U. S. Department of Defense (DoD) participants and Foreign Military Sales (FMS) customers. Work will be performed in East Hartford, Connecticut (67 percent); Indianapolis, Indiana (26.5 percent); and Bristol, United Kingdom (6.5 percent), and is expected to be completed in April 2022. Fiscal 2019 aircraft procurement (Navy, Air Force, and Marine Corps); non-U.S. DoD participant and FMS funds in the amount of $55,675,476 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This effort combines purchases for the Navy ($4,161,749; 7.5 percent); Air Force ($3,116,792; 5.6 percent); Marine Corps ($556,570; 1.0 percent); non-U.S. DoD participants ($24,899,106; 44.7 percent); and FMS Customers ($22,941,259; 41.2 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Data Intelligence LLC,* Marlton, New Jersey, is awarded a $48,103,672 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee, multiple-award contract to provide command and control (C2) technologies and capabilities in the areas of innovative science and technology research, systems engineering, architecture, design, development, integration, testing, configuration management, quality assurance, and implementation and support of C2 net-centric military operations. This is one of six contracts awarded. All awardees will have the opportunity to compete for task orders during the ordering period. This two-year contract includes four two-year options which, if exercised, would bring the overall, cumulative value of this contract to an estimated $93,030,165. All work will be performed in San Diego, California, and is expected to be completed May 6, 2021. If the options are exercised, the period of performance would extend through May 6, 2029. A guarantee of $10,000 using fiscal 2019 working capital (Navy) funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test and evaluation (Navy); operations and maintenance (Navy); other procurement (Navy), shipbuilding construction (Navy); and working capital fund (Navy). This contract was competitively procured via a request for proposal (N66001-18-R-0002) and publication on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Fourteen offers were received and six were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-0057). Black Construction/MACE International JV, Harmon, Guam, is awarded a $29,877,000 firm-fixed-price contract for the construction of a three-megawatt photovoltaic electrical generation system at Naval Support Facility (NSF) Diego Garcia. The work to be performed provides for the construction (design-bid-build) of a three-megawatt photovoltaic electrical generation system and the supporting electrical distribution system upgrades required to interconnect the photovoltaic array with the existing NSF Diego Garcia. The project will also include site preparation, fencing, perimeter lighting and a ground cover system. Work will be performed in Diego Garcia, British Indian Ocean Territories and is expected to be completed by June 2021. Fiscal 2015 military construction (Department of Defense) contract funds in the amount of $29,877,000 are obligated on this award and will not expire at the end of the current fiscal year. This contract was competitively procured via the Federal Business Opportunities website with one proposal received. The Naval Facilities Engineering Command, Pacific, Joint Base Pearl Harbor-Hickam, Hawaii, is the contracting activity (N62742-19-C-1324). Nathan Kunes Inc.,* San Diego, California, is awarded a $13,681,778 indefinite-delivery/indefinite-quantity cost-plus-fixed-fee contract for development, implementation and testing of computer network defense measures; development of wireless computing security, cross-domain solutions, and vulnerability assessments; and system and security engineering to evaluate commercial information assurance products. This two-year contract includes one three-year option which, if exercised, would bring the cumulative value of this contract to an estimated $35,236,186. All work will be performed in San Diego, California. The period of performance of the base award is from May 7, 2019, through May 6, 2021. If the option is exercised, the period of performance would extend through May 6, 2024. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using operations and maintenance (Navy); other procurement (Navy); and research, development, test and evaluation (Navy). This contract was competitively procured via request for proposal N66001-18-R-0351 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Two offers were received and one was selected for award. The Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-0089). BAE Systems, Information and Electronics Systems Integration Inc., Hudson, New Hampshire, is awarded $10,853,462 for cost-plus-fixed-fee delivery order N0001919F0019 against a previously issued basic ordering agreement (N00019-16-G-0021) for the upgrade of the Advanced Precision Kill Weapon System (APKWS) guidance section. This delivery order provides for non-recurring tasks to combine the Rotary Wing APKWS II and the Fixed Wing APKWS II Guidance Sections into one hardware and software solution. Work will be performed in Hudson, New Hampshire (93 percent); and Austin, Texas (7 percent), and is expected to be completed in April 2021. Fiscal 2018 and 2019 procurement of ammunition (Navy and Marine Corps) funds in the amount of $10,853,462 will be obligated at time of award, none of which will expire at the end of the fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. DEFENSE LOGISTICS AGENCY San Antonio Lighthouse for the Blind,** San Antonio, Texas, has been awarded a maximum $11,295,446 modification (P000013) exercising the second one-year option period of a one-year base contract (SPE1C1-17-D-B024) with two one-year option periods for flame resistant, operational camouflage pattern, intermediate weather outer layer trousers. This is a firm-fixed price, indefinite-delivery/indefinite-quantity contract. Location of performance is Texas, with an Oct. 31, 2020, performance completion date. Using military service is Army. Type of appropriation is fiscal 2019 through 2020 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania. UPDATE: Federal Contracts Corp., Tampa, Florida (SPE8EC-19-D-0040), has been added as an awardee to the multiple-award contract supplying felling trailers for commercial trucks and trailers, issued against solicitation SPE8EC-17-R-0008, announced April 20, 2017. *Small business **Mandatory source https://dod.defense.gov/News/Contracts/Contract-View/Article/1840893/source/GovDelivery/

BY MARCUS WEISGERBER That's the cheapest price yet for the Air Force version of the fifth-generation jet. Lockheed Martin is offering to come down more than 10% on the price of the least-expensive F-35 as it negotiates the largest sale yet of Joint Strike Fighters. The company is offering to sell the Pentagon about 100 F-35As — the version flown by the U.S. Air Force and most allies — for less than $80 million each, down from $89.5 million apiece in the deal signed last September. That price point suggests the company will meet its 2020 price targets for the warplane, whose lengthy development and higher-than-expected initial costs have drawn much criticism. The 100 F-35A are part of a block buy of three production lots of the jets — in all, roughly 450 jets. The order will include F-35Bs for the Marine Corps, F-35Cs for the U.S. Navy, and a variety of the jets for allies. “We currently have an offer submitted to the Department of Defense for Lots 12-14 that is below the $80 million F-35A for lot 14 in 2020, per our longstanding commitment,” company spokesman Mike Friedman wrote in an email Tuesday. “This represents equal or less than the procurement cost of legacy jets, while providing a generational leap in capability.” The latest round of F-35 negotiations come as the Air Force is planning to buy new Boeing-made F-15 Eagle fighters for the first time in two decades. While the new Eagles would replace existing F-15s, Lockheed has arguedthe F-35 is a cheaper alternative and offers stealth and other technology that comes standard in a more modern, fifth-generation warplane. The proposed purchase of three batches of jets simultaneously is meant to get a better price than past years' annual purchases of a few dozen of the jets. A 2018 Rand study put the potential savings at more than $2 billion. Lockheed has delivered more than 385 F-35s to the U.S. Air Force, Navy, Marine Corps and American allies. “As we ramp up production, each year we have lowered cost, reduced build time, improved quality and on time delivery,” Friedman said. “Moving forward, we are focused on and taking action to further reduce costs across both production and sustainment.” https://www.defenseone.com/business/2019/05/price-drop-lockheed-pitches-80m-f-35a-pentagon/156825

By: Valerie Insinna NATIONAL HARBOR, Md. — The U.S. Navy and Marine Corps are monitoring the development of the Air Force's T-X training jet, but it may be years before they can launch their own competitions to replace the T-45, officials said Monday. “We're watching the T-X. Obviously the Air Force is going through that process,” Lt. Gen. Steven Rudder, the Marine Corps' deputy commandant for aviation, said during a panel at the Navy League's Sea-Air-Space conference. “At some point, we're going to have to replace the T-45. We're going to have to replace the F-5,” he said, referring to the T-45 Goshawk (used by the Navy and Marine Corps to train fighter pilots) and the F-5 (used to simulate adversaries during exercises). “Our adversary requirement is not going away. It only increases. That's another one that with our Air Force counterparts we're watching closely on many different fronts,” he added. Last year, the Air Force chose a Boeing-Saab team to build a new, clean-sheet trainer, awarding the firms a contract worth up to $9.2 billion. Although the service's program of record is 351 T-X jets and 46 simulators, the agreement gives it the flexibility to buy up to 475 aircraft and 120 simulators. A Navy and Marine Corps buy would add several hundred aircraft to the Air Force's eventual order — a massive financial win for Boeing, which bid extremely low on the T-X solicitation with the expectation of raking in big profits during the production stage. Boeing is set to deliver the first simulators to Joint Base San Antonio-Randolph, Texas, in 2023. In fiscal 2024, the Air Force will have enough simulators and trainers to declare its first squadron as operational. Angie Knappenberger, the Navy's deputy director of air warfare, said the timing of a T-X buy could be “problematic” because of the current schedule of the TH-57 replacement, which is taking priority over a new jet trainer. “Once we're able to accomplish that — the helicopter trainer replacement — then we're going to look more forward to something like the T-45 replacement. T-X would certainly be in the running as a candidate for something like that,” she said.https://www.defensenews.com/digital-show-dailies/navy-league/2019/05/07/the-air-forces-new-trainer-jet-is-attracting-the-navys-and-marine-corps-interests The Navy in January released a request for proposals for the TH-57 replacement, kick-starting a competition with Airbus, Bell and Leonardo that could potentially lead to a contract awarded this year. The service wants to buy 130 helicopter trainers from FY20 to FY23. Knappenberger did not elaborate on why the timing of the T-X program could be challenging for the Navy, but the service plans to finish purchasing new helicopter trainers just as Boeing starts producing and delivering T-Xs to the Air Force. Another key factor may be whether the T-X can be outfitted with the gear necessary for taking off from and landing on aircraft carriers, and how quickly Boeing could complete the engineering work involved. Like Rudder, Knappenberger noted the appeal of buying enough T-X trainers to fill the service's adversary air requirements, saying she's “curious to see” the jet's red air capabilities. The Air Force is also assessing the T-X's ability to conduct other mission sets. “You could imagine a version of the airframe that could be equipped as a light fighter. You can imagine a version that is equipped as an adversary air-training platform,” Air Combat Command head Gen. Mike Holmes told reporters in March. https://www.defensenews.com/digital-show-dailies/navy-league/2019/05/07/the-air-forces-new-trainer-jet-is-attracting-the-navys-and-marine-corps-interests

DAVID PUGLIESE, OTTAWA CITIZEN The defence and aerospace industry is abuzz about the letters the U.S. government sent to Canada over the upcoming competition to acquire a new fleet of fighter jets to replace the RCAF's CF-18s. In short, the Trump administration has given an ultimatum to Prime Minister Justin Trudeau and his government. If Canada insists that industrial and technological benefits must come from the outlay of $19 billion for a new fighter jet fleet then Lockheed Martin's F-35 stealth jet is out of the race. Full stop. The U.S. argument is that because Canada is a partner in the F-35 program it cannot ask Lockheed Martin to meet specific industrial benefits for a Canadian competition if the F-35 is selected. Under the F-35 agreement, partner nations are prohibited from imposing requirements for industrial benefits as the work is determined on the best value basis. In other words, Canadian firms compete and if they are good enough they get work on the F-35 program. Over the last 12 years, Canadian firms have earned $1.3 billion U.S. for their work on building F-35 parts. The U.S. had boldly stated it cannot offer the F-35 for the Canadian competition if there are requirements to meet for set industrial benefits. But that ultimatum could seriously backfire on the Trump administration. Trudeau and the Liberal government has never been keen on the F-35 (Trudeau campaigned against purchasing the jet). There have also been a number of negative headlines over the last year outlining the increasing maintenance costs for the F-35s, not a good selling point for the jet. The U.S. ultimatum may have just given Trudeau a way out of his F-35 dilemma, particularly if the prime minister can say that it was it was the Americans themselves who decided not to enter the F-35 in the Canadian competition. Trudeau will also be able to point to the other firms ready and keen to chase the $19 billion contract. Airbus, a major player in Canada's aerospace industry, says it is open to producing its Eurofighter Typhoon in Canada with the corresponding jobs that will create. Boeing, which has a significant presence in Canada, will offer the Super Hornet. Saab has also hinted about building its Gripen fighter in Canada if it were to receive the jet contract. To be sure, if the U.S. withdraws the F-35 from the competition, retired Canadian military officers and the defence analysts working for think-tanks closely aligned with the Department of National Defence be featured in news reports about how the Royal Canadian Air Force will be severely hindered without the F-35. Some Canadian firms involved in the F-35 program may complain publicly about lost work on the F-35 program but companies tend not criticize governments for fear they won't receive federal contracts or funding in the future. There will be talk about how U.S.-Canada defence relations will be hurt but then critics will counter that U.S. President Donald Trump used national security provisions to hammer Canada in ongoing trade disputes. And let's face it. Defence issues are rarely a factor in federal elections or in domestic politics. The Trump administration, which is not the most popular among Canadians, may have just given Trudeau a political gift. https://ottawacitizen.com/news/national/defence-watch/trump-may-have-given-trudeau-the-excuse-he-needs-to-ditch-the-f-35

Highlights: Onboard computer provides superior processing capacity and enhanced situational awareness Processor, based on advanced open systems and COTS, allows for faster and easier upgrades Reaffirms Harris' strategy to leverage open systems processors into new platforms Harris Corporation (NYSE:HRS) has been awarded a contract by The Boeing Company to partner with Boeing AvionX in supplying the mission management open systems processor for the MQ-25 unmanned aerial refueling program. “Harris and Boeing have invested substantial R&D to develop affordable, high-performance solutions that allow for faster and easier upgrades,” said Ed Zoiss, president, Harris Electronic Systems. “This contract reaffirms Harris' strategy to leverage open systems processors into new platforms.” The mission management processor is based on an advanced open systems architecture solution and commercial-off-the-shelf (COTS) technology. The mission management processor manages sensor and communications functions on the MQ-25, providing the onboard processing capacity necessary to support advanced computing needs. Harris will provide hardware and firmware in conjunction with Boeing's open systems architecture solution. The MQ-25 is the U.S. Navy's first operational carrier-based unmanned aircraft and is designed to provide a much-needed refueling capability. The contract supports Boeing's engineering and manufacturing development program to provide four MQ-25 aircraft to the U.S. Navy for Initial Operational Capability by 2024. Harris has been a supplier to Boeing since the 1980s on a wide range of military aircraft, munition, and satellite programs. This latest contract will continue job growth for Harris in Florida, which is a supplier of mission management processors to Boeing and other major aircraft programs. “The MQ-25 program is vital because it will help the U.S. Navy extend the range of the carrier air wing, and Boeing and our industry team is all-in on delivering this capability,” said Dave Bujold, Boeing's MQ-25 program director. “The work we're doing is also foundational for the future of Boeing – where we're building autonomous systems from seabed to space.” https://www.harris.com/press-releases/2019/05/harris-corporation-awarded-contract-to-support-boeings-mq-25-unmanned-tanker

By Simon Carroll Like Canadians, Swedes are natural innovators. When faced with challenges like a shifting global economy, the threat of climate change or the rapidly evolving landscape of modern national defence – both countries adapt and innovate based on evidence, reason and shared progressive values. This is so much the case that Swedish and Canadian governments are both actively implementing innovation agendas intended not only to grow their respective high-tech and aerospace industries (among others) from the inside-out, but to help them access and leverage the very best global talent and expertise in these fields. Canada's Innovation and Skills Plan, for instance, seeks to encourage greater business investments in research and to capitalize on Canadian inventions through “shared risk taking and partnerships”. The more Canada and Sweden build and use these partnerships to innovate together, the stronger both countries will be, now and in the future. At Saab, we believe opportunities to develop and grow partnerships with Canadian government and industry are not only a ‘good fit' – we believe these opportunities will help actualize Canada's ambitious innovation vision for decades to come. In large part, Swedish companies are well-positioned to help Canada reach its innovation goals because innovation is inherent in their DNA. Sweden is consistently judged one of the world's most innovative countries by the annual Bloomberg Innovation Index, which placed Sweden second in 2018 (behind South Korea and ahead of Singapore, Germany and Switzerland), and by the World Intellectual Property Organization's Global Innovation Index, which ranks Sweden among the top three countries. This level of recognition is well-earned. Swedes are early adopters of new technologies, are highly trend-sensitive and, collectively, produce one per cent of the world's knowledge while constituting less than one-thousandth of the world's population. The Swedish government formalized this innovative spirit in 2001 when it created the national Innovation Agency, Vinnova – one of the first of its kind in the world. Of course, Sweden has long been home to a suite of classically innovative and instantly-recognizable brands like Volvo, Ikea, and Ericsson, but its government's exceptional focus on innovation in recent decades has grown this small but mighty nation's startup hub into a full-blown entrepreneurial powerhouse. By no coincidence, Sweden has produced more “$100 million-plus IPO exits” than any other country in the world, with examples including popular music streaming platform Spotify and the financial technology company iZettle. Having research-intensive companies, such as Saab, is yet another reason Sweden does so well in global innovation rankings. The majority of Saab's people are trained engineers and around 23 per cent of its total revenues are spent on research and development (R&D) every year. That's a lot compared with other companies, but it's what it takes to think ahead and develop products and solutions with future capabilities in mind. The Swedish approach to future technology generation is one that actively combines government- and university-based research and development capabilities with those of industry to solve common problems and to develop new, unique solutions. Harnessing the unique talents and energy contributed by each of these spheres builds a strong engine for innovative thinking and new technology development – all of which is central to Saab's corporate ethos. Saab Canada is already an extensive supplier of military equipment to the Canadian Armed Forces – from radars and sensors for the Royal Canadian Navy to ground combat weapons and signature management systems for the Canadian Army – as well as supplying transponders to the Canadian Coast Guard and maritime traffic management systems to the Great Lakes Pilotage Authority. Saab is also partnered with many small, medium and large-sized Canadian companies up and down its supply chain, across all of its product areas from Nova Scotia-based MilAero for electrical cable assemblies, to Bombardier with its Global 6000 business jet used for GlobalEye, an airborne early warning and control solution. As a contender for Canada's future fighter jet program, Saab's ‘future-proof' Gripen E aircraft presents even greater opportunities for collaboration and development activities between the military and aerospace sectors of both countries. These kinds of partnerships mean that Canadian companies not only benefit from Saab's innovative thinking, but are also empowered to further develop their own, Canadian-made innovations that can then be exported worldwide – generating economic benefits right here in Canada. Looking to the future, Saab will continue working closely with our Canadian partners to pursue opportunities here and abroad, where we can build on existing collaboration and continue to strengthen the innovation that runs deep in our respective countries. https://ipolitics.ca/2019/05/06/swedish-companies-like-saab-a-best-fit-for-canadas-innovation-agenda/

Murray Brewster · CBC News The Trump administration fired two warning shots last year over the Liberal government's long-delayed plan to replace Canada's CF-18 fighters, saying the procurement process discriminates against the Lockheed-Martin-built F-35 stealth jet, according to a new academic report. The study by a researcher at the Macdonald-Laurier Institute (MLI) cites leaked Pentagon letters written last summer and late fall to officials at Public Services and Procurement Canada. The report, released Monday, largely blames the Liberal government for the delays in the procurement, while making only a passing reference to the inability of the former Conservative government to deliver on the same program. The report's major revelation involves the leaked letters — which are expected to inflame the debate over the nearly decade-long on-again, off-again plan to replace the air force's 1980s-vintage CF-18s with modern warplanes. The source of the Pentagon's irritation is a federal government policy that insists defence manufacturers deliver specific industrial benefits to Canadian companies. Canada accused of angling for better deal That's not how the F-35 program is structured. Countries that participated in the development of the stealth jet — as Canada did — pay an annual fee to remain part of the program, which gives domestic aerospace companies in those countries the right to bid on F-35 work. The U.S. undersecretary for defence acquisition and sustainment wrote to Canada's assistant deputy minister of defence procurement in Public Services and Procurement Canada last summer to complain about the Industrial and Technological Benefits (ITB) policy. Ellen Lord warned the policy runs contrary to the F-35 participation agreement and accused Canada of trying to leverage a better deal than its allies. "This text basically stated that Canada had signed the [Memorandum of Understanding] clearly understanding these provisions and could not now try to renegotiate a better deal," said the Aug. 31, 2018 letter, leaked to MLI researcher Richard Shimooka. Lord went on to say the current procurement process "would be fundamentally and structurally prejudicial to any F-35 bid." The point was hammered home when former U.S. Vice-Admiral Mathias Winter, in charge of the Joint Program Office overseeing F-35 development, wrote to Canada's head of future fighter development at Public Services. After reviewing the federal government's draft request for proposals, Winter wrote that the F-35 would not be able to participate given the way the system is structured now. "Fundamentally, the F-35 program is different from Foreign Military Sales or Direct Commercial sales procurements," said the Dec. 18, 2018 letter. "The current [Future Fighter Capability Program] does not allow the F-35 to participate in a fair and open competition that recognizes the special nature and distinct advantages of the partnership." Lockheed-Martin is one of four manufacturers that plan to bid on the fighter jet replacement program. Several defence and defence industry sources told CBC News in a story published last month that the full tender was expected to be released at the end of May, with final bids to be delivered by the end of the year. There is considerable uncertainty about the timeline, however, because of questions and disputes about the project's industrial expectations. "A delay is inevitable," said one defence industry source on Monday. With the release of the letters, the institute's analysis peels back the curtain on perhaps the most contentious of the disputes: how to reconcile the existing F-35 benefits package with the federal government's standard procurement model. Lockheed-Martin would not confirm whether the issues raised in the letters remain active concerns, but sources within both the defence industry and the federal government say there is an ongoing dialogue. The U.S. defence giant, in a statement, said it did not commission the report but acknowledged it had provided "factual information to several think tanks in Canada" about its various programs. The company said the structure of the F-35 program means it is the U.S. defence department that does all of the talking. "We continue to provide our feedback to the U.S. government, which leads all government-to-government discussions related to the Canadian fighter replacement competition," said Cindy Tessier, head of communications for Lockheed Martin Canada. She touted the $1.25 billion in contracts already awarded to Canadian companies because of the F-35 program and said the potential is there for more work once the fighter aircraft reaches full production in a few years. "As a valued current partner on the program, Canadian industry has the opportunity to produce and sustain components and systems to a fleet that is expected to grow to more than 4,000 aircraft," she said. A spokeswoman for Public Services Minister Carla Qualtrough did not address the Pentagon letters directly, but did say the government has engaged in continuous dialogue with potential bidders as it sought feedback on the proposed tender. "The approach is inherently designed to encourage continuous supplier engagement," said Ashley Michnowski. "We do this so that suppliers are able to make informed business decisions. "Our government has been hard working to address as much of the supplier feedback as possible to ensure a level playing field and a fair and open competition with as many eligible suppliers as possible." The process is not yet complete, although it is nearing its conclusion and a final request for proposals will be issued soon, she added. https://www.cbc.ca/news/politics/trump-administration-claims-ottawa-s-jet-procurement-plan-is-unfair-to-f-35-says-report-1.5125009

By Lee Berthiaume, The Canadian Press OTTAWA — U.S. officials have threatened to pull the F-35 out of the competition to replace the Royal Canadian Air Force's aging CF-18 fighters over the Liberal government's plan to ask bidders to re-invest some of the giant purchase contract in Canadian industry. The warnings are in two letters sent to the government last year and obtained by defence analyst Richard Shimooka. They were released in a report published Monday by the Macdonald-Laurier Institute think-tank. They say the requirement is incompatible with Canada's obligations as a member of the group of countries working together to develop the F-35 stealth fighter in the first place. While the re-investment requirement is standard for most Canadian military procurements, the U.S. officials note Canada agreed not to include it when it signed on as one of nine F-35 partner countries in 2006. Companies in those countries must instead compete for work associated with the plane — only companies from those countries are eligible, but they're supposed to compete on equal footing. The U.S. officials say conditions on bidders that would privilege Canadian companies will mean the F-35 won't be entered in the race. The F-35, which is built by Lockheed Martin, had been expected to go up against the Eurofighter Typhoon, Saab Gripen and Boeing Super Hornet for an 88-plane procurement worth about $19 billion. French company Dassault pulled its Rafale from contention late last year. "In summary, we cannot participate in an offer of the F-35 weapon system where requirements do not align with the F-35 partnership," U.S. Vice-Admiral Mathias Winter, program executive officer for the Pentagon's F-35 office, wrote on Dec. 18. "Such an offer would violate (the F-35 agreement) and place the entire F-35 partnership at risk." In his letter to Paula Folkes-Dallaire, senior director of the fighter-jet program at Public Services and Procurement Canada, Winter asked for clarity by Jan. 31 as to the government's decision on the re-investment requirements. Winter's letter followed a similar one from Ellen Lord, the Pentagon's head of military procurement, on Aug. 31, 2018. In a statement, Public Procurement Minister Carla Qualtrough's spokeswoman said the government has engaged in several rounds of discussions and exchanges with potential bidders, which included providing them with opportunities "to ask questions, raise concerns and provide suggestions. "Our government has been hard working to address as much of the supplier feedback as possible to ensure a level playing field and a fair and open competition with as many eligible suppliers as possible," added Ashley Michnowski. "This stage of the process is not yet complete, though is nearing its conclusion and a final (request for proposals) will be issued soon." The Pentagon's F-35 office did not return requests for comment. Stephen Harper's Conservatives first announced plans to buy 65 F-35s without a competition in 2010, but backed off that plan over questions about cost and concerns over the Defence Department's tactics in getting government approval for the deal. During the 2015 federal election campaign, Justin Trudeau's Liberals promised they would immediately launch an open and fair competition to replace the CF-18s, but not buy the F-35. The Trudeau government has since said the F-35 will be allowed to compete while officials had been expecting to finally launch that competition in the coming weeks. That the re-investment requirement remains unresolved is both surprising and unsurprising given defence experts have long warned it would be a significant obstacle to running a fair and open competition that includes the F-35. Canada, which has already contributed roughly $500 million over the past 20 years toward developing the F-35, could in theory quit as a partner country, but would have to pay more for the stealth fighters if the F-35 won the competition. Canada could also be on the hook for hundreds of millions more in development fees despite quitting the program, while Canadian companies would not be allowed to compete for work related to the aircraft. In a recent interview, the Department of National Defence's head of military procurement, Patrick Finn, said the government is trying to strike the right balance between military and economic priorities when it comes to the fighter-jet competition. "The feedback we're seeing from some suppliers some are quite content, some would like to see some more flexibility in other areas," he said. "So it's making all of that work, respecting (companies') strengths, keeping everybody in the competition and doing it in a way that brings the right capability to the air force for decades to come." —Follow @leeberthiaume on Twitter Lee Berthiaume, The Canadian Press https://www.nationalnewswatch.com/2019/05/06/ottawas-planned-fighter-competition-incompatible-with-f-35-obligations-u-s-3