Such joint efforts and the use of digital engineering could allow smaller defense firms to focus on design work, whether for the whole aircraft of just subsystems, while the companies with more experience and resources could be drafted to systems integration and manufacturing, according to Eric Lofgren, a research fellow at George Mason University’s Center for Government Contracting.
Commercial technology or aerospace companies could also be interested in putting forward their own fighter jet designs, similar to how companies such as SpaceX and Blue Origin have gotten involved in military space launch programs. But that may depend largely on attracting someone whose interest in fighter jets goes beyond their business value, like billionaire SpaceX founder Elon Musk’s interest in space exploration, Lofgren said.
“Just 10-15 years ago, no one would have believed that this private company could come in and upset the monopoly that is space launch,” Lofgren said. “Obviously, it can be done. [But] usually it just takes a billion with a bunch of money that he’s willing to throw down, because the way the Department of Defense does pricing, the way that it does acquisition, it’s just not inviting to those types of [commercial] companies, so they have to be ideologically driven.”
That was from Law360’s article, “Fighter Jet Acquisition Plan Faces Strong Headwinds.” It’s interesting the article used the phrase “Faces Headwinds,” which was used in the recent article describing Advanced Battle Management System. And these are the Air Force’s two most important modernization programs.
Of course, the likelihood of a SpaceX for fighter aircraft is rather small. Commercial applications for high performance jets seems rather small compared to space. At any rate, an entrant couldn’t get a contract without a ton of private investment, and even if it does that very well, will struggle for revenue.
Commercial technology firms face another disadvantage compared to traditional defense contractors that essentially get a significant portion of their research and development costs reimbursed through their contracts with the government. Recuperating those costs privately may not always be feasible, and the requirements of defense contracting may not fit with their business model or cost accounting system.
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