Bidder Squabble Could Delay ADS-B Launch

 - March 5, 2007, 9:13 AM

Industry observers expect protests from Lockheed Martin and ITT claiming that Raytheon enjoys an unfair advantage in the FAA’s reported $1.5 billion nationwide ADS-B program, following the agency’s  announcement that all three qualified as bidders. Lockheed Martin and ITT have reportedly prepared comprehensive offers for the “performance-based” FAA contract under which the winner would design, build, install, operate and maintain 500 dual-frequency ADS-B ground stations to handle separate GA UAT and airline 1090 ADS-B transmissions, and provide the certified service to the FAA on a fee basis. Raytheon’s proposal calls for eliminating UAT, transitioning GA to 1090 and requiring only single-frequency stations. Unofficial estimates suggest the FAA could save more than $200 million if the agency chooses Raytheon’s plan. Lockheed Martin and ITT at this point can claim that in qualifying Raytheon, the FAA gave tacit approval to a proposal that does not comply with the agency’s original concept, or that the Request for Offers planned for March be delayed by several months so they can prepare competitive bids.

June 2017
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