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The Defense News Top 100 defense contractors list is out, along with some analysis of this year's compilation. Overall the list is holding steady, especially at the top. But we're seeing some newcomers, with projection from more, attributed to DoD's increasing purchasing of software and other capabilities that can be supplied from small and mid-size businesses.
Forbes has an article giving a deep dive into the business practices of TransDigm, the company who came to notoriety for acquiring aviation parts suppliers and charging exorbitant prices to the DoD and other customers as a sole supplier. The article discusses some creative accounting practices and pressure for executives to record substantial profits--or be forced out of the company. TransDigm is up 6 spots on the Top 100 list, now at number 41.
The White House issued an Executive Order limiting financial investment in foreign companies developing technologies relevant to national security: semiconductors and microelectronics, quantum information technologies and artificial intelligence.
DoD launched Task Force Lima, taking an enterprise approach to the use of generative AI. Housed under the Chief Digital and Artificial Intelligence Officer, the task force will "develop, evaluate, recommend, and monitor the
implementation of generative AI technologies across the Department."
This week marked one year since the passage of the CHIPS and Science Act, off to a solid start already. Companies have announced over $166 billion in manufacturing in semiconductors and electronics, colleges are adding training for the semiconductor industry, and planning is underway for the National Semiconductor Technology Center.
Margaux Hoar and Robyn M. Bolton offer lessons learned about innovation in toilet paper. Surprisingly applicable to DoD, their article discusses the need to plan for production at scale and to drastically limit the number of requirements.
In wildfire-stricken Maui, assistance is coming from the Navy, Coast Guard, and Marines. As we watch this sad news unfold, we bring a reminder of some NPS research on Humanitarian Assistance and Disaster Relief -- a key aspect of the DoD's mission that is not often in the foreground.
Our top story showcases continuing streamlining in space acquisition to incorporate commercial capabilities quickly and effectively. NGIA has been using bailment agreements since 2019 as well as other transaction authorities to shorten timelines and enhance public-private connections.
This Week's Top Story
Space agencies are reforming acquisition to accelerate commercial tech integration
Chris Riotta, Nextgov
U.S. space agencies are developing a set of new acquisition programs and policies to speed up the purchasing of critical emerging technologies while reducing barriers to entry for the commercial space industry, officials said on Tuesday.
Frank Avila, acting director of the National Geospatial-Intelligence Agency, said his organization is increasingly leveraging procurement vehicles known as bailment agreements, which can be established in a matter of weeks and allow the agency to temporarily own and test commercial satellite systems and other technology solutions.
"It's kind of a very low barrier to entry for a company to put this solution in front of us, and us to be able to kick the tires on the solution rather quickly," Avila said at an event hosted by the nonprofit Intelligence and National Security Alliance. "That can help inform what we do next, in some cases, evolving to a greater partnership with industry to mature that solution ... or in some cases, go straight to contract."
The National Geospatial-Intelligence Agency began using the unconventional procurement method in 2019, issuing three bailment agreements that year. The agency issued more than 20 additional bailment agreements by 2021, while increasingly adopting Other Transaction Authority agreements to boost its research and development initiatives.
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