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Building a Ready, Agile, All-domain Joint Force
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The fiscal year 2021 Department of Defense (DoD) budget request outlined in this research is the fourth budget under the Trump administration. The DoD request for 2021 maintains a high level of spending, but may encounter opposition from both sides of the political aisle. This research details the Defense Departments and Agency programs requests that offer the best opportunities for companies trying to enter the US defense market. The research includes market drivers and restraints that shed light on some budget numbers and the importance of participating as a primary or subcontractor on a variety of defense projects and programs. The research assists in understanding the government’s focus and the services it is likely to require in the future.
This research service focuses on the US DoD spending requests for research, development, test & evaluation (RDT&E), procurement, and operations and maintenance (O&M) categories. The analyst has segmented the budget request by military department and 20 technology areas, such as aircraft, ships, ground vehicles and command and control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR).
The research also provides information on contract activity for 2019. The contract activity encompasses Army, Navy/Marine Corps, Air Force, and Joint Services contracts awarded, and lists the analyst’s estimate of the top 10 US DoD contractors based on available government data. The base year for DoD budgets is 2019, and the market forecast is estimated from 2020 to 2025.
Research, new purchases, and services for computers, healthcare, and base operations support are included. Classified budget requests are included, but cannot be broken out into technology areas. Budget requests include base, overseas contingency operations (OCO), and emergency categories.
Products and services that are inherent in new-build tactical ground vehicles, ships, and aircraft platforms are included if distinctly specified by program or modification. Program funding and contract values do not always align year-to-year due to administrative costs, multi-year contracts, and technology use across segments. Program and contract segmentation, large multi-year contract assessment, and funding forecasts for 2020 and beyond are made at the analyst’s discretion.
The purpose of this study is to discuss the 2021 DoD budget request. While the market is mature, there are signs that steady growth and new concepts are ahead, and this study will outline and provide commentary regarding those signs.
Key Issues Addressed
Author: Brad Curran
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