Team Infidel
Forum Spin Doctor
Reuters.com
October 28, 2008
By Jim Wolf, Reuters
WASHINGTON -- The Pentagon is set to name three rival industry teams for the first stage of a potential $40 billion competition to replace the workhorse Humvee vehicle used by U.S. forces in Iraq and elsewhere.
The 27-month technology development contracts being awarded are to build and test the Joint Light Tactical Vehicle, or JLTV, a family of light armored combat and scout trucks.
Army officials said they expect the awards to be announced this week, possibly as soon as Wednesday. The Pentagon's top six suppliers are among those bidding.
Competitors include Lockheed Martin Corp teamed with BAE Systems; Northrop Grumman Corp, paired with specialty truck maker Oshkosh Corp; and General Dynamics Corp with Humvee maker AM General LLC.
Also included are a separate pairing of BAE and Navistar International Corp; Force Protection and Finmeccanica SpA unit DRS Technologies; Textron Inc teamed with Boeing Co and SAIC Inc; and Raytheon Co and Blackwater USA.
The military is seeking a vehicle that offers more maneuverability, reliability and roadside-bomb protection than the Humvee, which entered service in 1985 during the Cold War.
Initially, the Pentagon plans to buy 60,000 JLTVs for the Army, Marine Corps and the U.S. Special Operations Command. They will start phasing out the current fleet of 160,000 Humvees -- short for High Mobility, Multi-Wheeled Vehicles.
The round one winners are to build four test configurations each during the first 15 months, followed by 12 months of testing, according to a Congressional Research Service report dated Aug. 28.
Preliminary, low-rate production deals could occur as early as 2011, in tandem with continued development of less-mature designs through 2013. Company officials have estimated production ultimately could be worth as much as $40 billion over a decade or more.
"After the technical development phase the current intent is for another full and open competition for the system development and demonstration phase which will allow all interested parties to compete," said Lt. Col. Martin Downie, an Army spokesman.
James McAleese, a McLean, Virginia, lawyer specializing in aerospace and government contracting, predicted that eventual production contracts would go to no more than two of the teams about to be tapped to build prototypes.
Army leaders want to push at least one vehicle into limited production by 2011 as part of their broader modernization plan, he said.
"This gives the three immediate winners a huge leg up in terms of both time and government funding," McAleese said. Ultimately, the Army and Marine Corps likely will be able to afford only one or two full-rate production contracts, he added.
Humvees are the vehicular backbone of U.S. forces worldwide, with more than 10,000 used by coalition forces during the 2003 invasion of Iraq to overthrow President Saddam Hussein.
The JLTVs are to include scalable armor protection, enhanced suspension and equipment to link into current and future tactical data networks. The program is a joint Army and Marine Corps effort, with the Army designated as the lead service.
The Army estimates that each JLTV will cost $418,000, almost 70 percent higher than the initial target of $250,000 per vehicle that would have let it replace all of its Humvees with JLTVs, according the Congressional Research Service report.
U.S. defense officials have voiced interest in international involvement in JLTV development. Australia, Britain, Israel and Canada are among countries reported to be discussing possible co-development funding.
The choice of three teams is designed to check designs and cost estimates, evaluate manufacturing processes and refine program requirements, Lt. Col. Wolfgang Petermann, the Army's JLTV product manager, has said.
The Humvee is the linear descendant of the Jeep, which became the main four-wheel-drive transport of the U.S. Army and allies during World War II.
The Pentagon envisions Humvees remaining in service for many years to come; about 3,000 to 5,000 continue to be produced annually.
October 28, 2008
By Jim Wolf, Reuters
WASHINGTON -- The Pentagon is set to name three rival industry teams for the first stage of a potential $40 billion competition to replace the workhorse Humvee vehicle used by U.S. forces in Iraq and elsewhere.
The 27-month technology development contracts being awarded are to build and test the Joint Light Tactical Vehicle, or JLTV, a family of light armored combat and scout trucks.
Army officials said they expect the awards to be announced this week, possibly as soon as Wednesday. The Pentagon's top six suppliers are among those bidding.
Competitors include Lockheed Martin Corp teamed with BAE Systems; Northrop Grumman Corp, paired with specialty truck maker Oshkosh Corp; and General Dynamics Corp with Humvee maker AM General LLC.
Also included are a separate pairing of BAE and Navistar International Corp; Force Protection and Finmeccanica SpA unit DRS Technologies; Textron Inc teamed with Boeing Co and SAIC Inc; and Raytheon Co and Blackwater USA.
The military is seeking a vehicle that offers more maneuverability, reliability and roadside-bomb protection than the Humvee, which entered service in 1985 during the Cold War.
Initially, the Pentagon plans to buy 60,000 JLTVs for the Army, Marine Corps and the U.S. Special Operations Command. They will start phasing out the current fleet of 160,000 Humvees -- short for High Mobility, Multi-Wheeled Vehicles.
The round one winners are to build four test configurations each during the first 15 months, followed by 12 months of testing, according to a Congressional Research Service report dated Aug. 28.
Preliminary, low-rate production deals could occur as early as 2011, in tandem with continued development of less-mature designs through 2013. Company officials have estimated production ultimately could be worth as much as $40 billion over a decade or more.
"After the technical development phase the current intent is for another full and open competition for the system development and demonstration phase which will allow all interested parties to compete," said Lt. Col. Martin Downie, an Army spokesman.
James McAleese, a McLean, Virginia, lawyer specializing in aerospace and government contracting, predicted that eventual production contracts would go to no more than two of the teams about to be tapped to build prototypes.
Army leaders want to push at least one vehicle into limited production by 2011 as part of their broader modernization plan, he said.
"This gives the three immediate winners a huge leg up in terms of both time and government funding," McAleese said. Ultimately, the Army and Marine Corps likely will be able to afford only one or two full-rate production contracts, he added.
Humvees are the vehicular backbone of U.S. forces worldwide, with more than 10,000 used by coalition forces during the 2003 invasion of Iraq to overthrow President Saddam Hussein.
The JLTVs are to include scalable armor protection, enhanced suspension and equipment to link into current and future tactical data networks. The program is a joint Army and Marine Corps effort, with the Army designated as the lead service.
The Army estimates that each JLTV will cost $418,000, almost 70 percent higher than the initial target of $250,000 per vehicle that would have let it replace all of its Humvees with JLTVs, according the Congressional Research Service report.
U.S. defense officials have voiced interest in international involvement in JLTV development. Australia, Britain, Israel and Canada are among countries reported to be discussing possible co-development funding.
The choice of three teams is designed to check designs and cost estimates, evaluate manufacturing processes and refine program requirements, Lt. Col. Wolfgang Petermann, the Army's JLTV product manager, has said.
The Humvee is the linear descendant of the Jeep, which became the main four-wheel-drive transport of the U.S. Army and allies during World War II.
The Pentagon envisions Humvees remaining in service for many years to come; about 3,000 to 5,000 continue to be produced annually.