Three defense contracting giants with significant Alabama ties are competing head-to-head for an estimated $55 billion contract to build the next ultra high-tech “B-3” stealth bomber.
According to a POLITICO report, Northrup is spending some serious cash in Washington to campaign against Boeing, which is teaming up to subcontract with Lockheed Martin, all three of which have significant operations in Huntsville, to woo Congress toward giving them the contract.
From the POLITICO article:
Whichever team wins, production of up to 100 bombers means significant economic benefits for subcontractors across the country building radars, communications networks, engines, landing gear and any number of other components. The Pentagon wants the aircraft to be “modular,” says Undersecretary of Defense for Acquisition, Technology and Logistics Frank Kendall, meaning the Air Force would hold competitions for its major sub-systems that would pit competitors against each other with the hope of driving down prices for taxpayers.
“There’s an awful lot at stake here, both in terms of dollars and the future of two companies as military air framers,” said Richard Aboulafia of the Teal Group, an aerospace consulting group in Fairfax, Virginia. “If Boeing doesn’t get it, then they can make a choice: Either get out of combat aircraft or buy Northrop’s aircraft unit. If Northrop doesn’t, well, that’s the end of any dream of ever being a military air framer again, or a combat air framer again.”
It is too early to tell at this point where the B-3 will end up being built, but Northrup has indicated it would likely choose Palmdale, California, if it wins the contract.
“Conventional wisdom says Lockheed and Boeing, the world’s largest and second-largest defense contractors, are the front-runners,” says the POLITICO article. “Company insiders said they have proven they could succeed together on the Air Force’s F-22 Raptor, for which Lockheed was the prime and Boeing its subcontractor. The two firms delivered some 300 military aircraft combined last year. Size, scale and expertise make them the stronger team, the companies say.”
The B-3 stealth bombers would cost approximately $550 million each, and Congress is expected to award the contract this summer.
