Defense contracts dominated by top-five prime defense companies: time for military reform?

April 22, 2019
WASHINGTON – It's been a good two-year stretch for defense contracts, but future budget constraints could tame the trend. Defense Systems reports.
WASHINGTON – It's been a good two-year stretch for defense contracts, but future budget constraints could tame the trend. Defense Systems reports. Continue reading original article

The Military & Aerospace Electronics take:

22 April 2019 -- A new Center for Strategic International Studies report found that in just two years, fiscal 2015 through 2017, the U.S. Department of Defense (DOD) contract obligations grew more than double the rate of total obligation authority with the Big Five prime defense companies reaping the benefits.

Defense contract obligations increased more than 13 percent -- three points higher than non-defense contracting. DOD’s total obligation authority grew just 5 percent.

Starting in 2018, DOD put its focus on military reform efforts and major organizational changes, namely acquisition system reform, moving to a commercial cloud (JEDI), and the 2018 defense spending bill's general push for information technology services.

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John Keller, chief editor
Military & Aerospace Electronics

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