Defense Business Alert

Several services contractors say they're increasingly turning to products as a way to boost growth and differentiate themselves in a crowded market.

The Pentagon inspector general, in a new report, finds that TransDigm earned $16.1 million in excess profit for 46 parts sold to the Defense Logistics Agency and the Army for $26.2 million between 2015 and 2017.

Despite some employees' reservations, Microsoft said today it would continue working on the Army's augmented reality display called the Integrated Visual Augmentation System.

The Pentagon is moving forward with plans to score defense companies on cybersecurity, similar to measuring credit scores, as one Defense Department official says DOD's current efforts regarding contractor cybersecurity are not sufficient.

The number of new vendors joining the federal contracting market as prime contractors grew from 2001 to 2006, but then sharply decreased from 2007 to 2013, according to a report by the Center for Strategic and International Studies.

CACI International said this week it has agreed to acquire LGS Innovations as well as Mastodon Design for a total of $975 million.

The Pentagon wants to negotiate a solution for software rights allowing contractors to maintain their intellectual property and profit incentives, while also allowing for more open sharing of software capabilities and development across weapon systems, according to a Defense Department advisor.

The Pentagon is directing its acquisition workforce to better assess and enforce contractors' compliance with cybersecurity requirements, as officials are particularly concerned about adversaries stealing sensitive data from companies further down the supply chain.

Though Science Applications International Corp. fell short in pursuing two major military vehicle programs, the company's chief executive told Inside Defense he would not have changed the company's technical approach.