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GovCon's Benchmark Report Turns 10

The wait is over—the 2026 GAUGE Report is now available.

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DEFENSE & AEROSPACE

USSF's rocket launch program just got a lot bigger, with a new $30 billion ceiling.

The USSF just tripled its National Security Space Launch Phase 3 Lane 1 contract ceiling from $5.6 billion to $17 billion, pushing the program's total cumulative value to $30 billion. The move is driven by a sharp increase in satellite mission demand and a need to ease medium-to-heavy launch constraints across the industry. FYI, annual on-ramp solicitations will continue through FY29.

FY27 NDAA stalled in both chambers with no deal in sight.

The FY27 NDAA remains in limbo. The Senate failed a cloture vote 50-46, preventing floor consideration, while the House rejected its procedural rule 198-224 on June 30 over disputes tied to voter ID provisions. Both chambers have authorized $1.15 trillion but must each pass their own versions before negotiations can begin. The House was scheduled to vote on a revised rule July 21. Congress has passed the NDAA every year for 65 consecutive years.

Project Convergence to stress-test next-gen comms gear in sweltering Mojave Desert.

The Army is using Project Convergence Capstone 6 at Fort Irwin to stress-test its Next Gen Command and Control prototype in Mojave Desert heat, rugged terrain and contested conditions before making additional acquisition decisions. The exercise will help the Army refine hardware/software choices, auto-PACE communications, software-defined networking and edge compute capabilities as it prepares to begin fielding NGC2 gear to I Corps next year.

ICYMI:

  • USN RFI: MADIS and L-MADIS EW System.

  • USAF RFI: Fire Control Radar.

  • Meet Staff Sgt. Star: The Army's AI chatbot handling policy questions for 12,000 recruiters and counting.

  • Large-scale cybersecurity exercise focuses on operational technology.

  • Navy Bits2Effects strategy outlines roadmap to weaponize data, AI.

Defense Contract Awards

  • USAF awarded $2 billion in contracts to three firms for technical and management advisory support.

  • JHU APL booked a $199M USAF R&D Engineering Services contract.

  • Tech Tactical won a $15M Army IO Analysis, Devt, Engineering IDIQ.

  • ATS got a $16M USN METCAL, IT and Information Assurance deal.

  • Red Canyon Technologies wins $4M DISA ReForged deal for Legacy App Modernization.

Follow the Defense Leaders

  • USAF’s DTO named its new Chief.

  • Everfox selected a COO.

Defense Job Openings

CHART

R. Corinne Blackford, An Overview of Small Business Contracting, Congressional Research Service, R45576, updated May 14, 2024. (Source)

INTEL COMMUNITY

FY27 Intelligence Authorization Act advances with Iran threat assessment requirement.

The House Intelligence Committee advanced the FY27 Intelligence Authorization Act, including an amendment requiring the DNI to produce a National Intelligence Estimate on Iran's threat posture over the next five years, due within 180 days of enactment. The assessment must cover Iran's nuclear program, ballistic missiles, proxy groups, and Strait of Hormuz conditions. The broader bill also includes provisions expanding AI capabilities and strengthening counterterrorism.

McMaster tells Congress US counterintelligence is "way behind."

Former National Security Advisor H.R. McMaster told the House Intelligence Committee that America was "extraordinarily negligent" on counterintelligence for two decades while China and Russia quietly gained ground. His assessment: Beijing used US private equity, tech companies, and PLA scientists to extract intellectual property and develop military AI, while Washington stayed focused on terrorism. Other witnesses said state and local entities don't even know what to look for.

ICYMI:

  • FBI RFI: Elevated Tactics Systems.

  • USCG RFI: High Energy Laser Technologies for Maritime Applications.

  • HICAR: USSOCOM wants a new carbine that can engage targets at 600 meters without changing the ammo logistics.

  • Lockheed Martin won an $11B USSOCOM logistics contract.

  • Kastellum Group bagged a $8M USCENTCOM CCJ5 Security Cooperation Contractor deal.

  • GDIT selected a National Intelligence Sector VP and GM.

  • The NRO Director has stepped down.

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CIVILIAN

VA commits $1.2B in Q3 as part of record $4.8B maintenance push.

The VA approved $1.2 billion in infrastructure improvements in Q3 FY26, part of what it calls the largest non-recurring maintenance budget in its history at $4.8 billion. Projects span 49 states, D.C., Puerto Rico, and Manila, covering everything from roof replacements and boiler upgrades to electronic health record modernization. Of the $4.8 billion, $2.3 billion has been obligated so far. For contractors in construction, IT, and healthcare infrastructure, the remaining $2.5 billion is still in play.

House Science Committee pushes back on NASA's biggest budget cut since Apollo.

The House Science Committee advanced H.R. 7273, a bill designed to lock in policy and funding direction for NASA's Artemis and Moon-to-Mars programs amid big budget cuts. The bill also establishes commercial crew and cargo authorities and a DOE-NASA research partnership. Artemis III hardware is already stacking at Kennedy Space Center, which makes the timing of the funding fight even more pointed.

GAO: FAA and TSA have significant aviation cybersecurity gaps to close.

GAO's July 16 audit found FAA has only fully implemented three of its seven cybersecurity objectives, with zero-trust migration, cyber monitoring, and privileged user controls still incomplete. TSA's situation is arguably worse: it's still operating off a 2018 cybersecurity roadmap that no longer aligns with DHS strategy, with no clear assignment of who's responsible for what. Five recommendations were issued.

ICYMI:

  • NASA RFI: Evaluations, Assessments and Support Services (EASS).

  • NASA PSEF solicitation: Proposals due November 10 for community planetary science research facilities.

  • DOE clears Natura Resources to advance toward building the nation's first molten salt nuclear reactor.

  • GAO looked at NTSB’s contracting for acquisition of products, services.

Civilian Contracts Awards

  • Amentum to build a 1 GW AI data center at Savannah River.

  • Chugach Intelligence Solutions landed a $158M NASA contract to support Ames Research Center.

  • Guidehouse inked a $25M DHS Analytics & Automation contract.

  • NASA tapped SpaceX's Starlink laser network to stream live video from the Orion spacecraft during the Artemis III lunar mission.

  • Spinsys-Dine secured a $10M HHS SCCOE Support BPA.

Follow Civilian Leaders

  • ASRC Federal announced its CEO.

  • QTS Data Centers has a new CFO.

  • Wing Group CEO is now a member of DOC Trade Advisory Committee.

Civilian Job Openings

M&A CORNER

Karman Space & Defense buys into Europe with $94M Walker acquisition.

Karman Space & Defense announced a $94 million deal to acquire Walker Precision Engineering, a Glasgow-based manufacturer whose components support missile seekers, guidance systems, and control systems on more than 25 European tactical missile and defense programs. The deal is Karman's first acquisition outside the US and adds facilities in Scotland, England, and Poland to its existing 17 US locations.

BTS acquires Augury to deepen FPGA and mission engineering capabilities.

BTS Software Solutions acquired Augury, LLC, a software engineering and programmable hardware firm known for full-stack mission applications and FPGA development. The deal adds hardware integration depth to BTS's existing portfolio in cyber, cloud, AI, and intelligence operations.

SHOWER THOUGHTS 🚿

  1. Does watching tv actually “rot” your brain? A longtime study has shown that watching too much TV in midlife can shrink your brain’s structure. SOURCE↗︎

  2. Is China trying to erase Tibet? A Tibetan's self-immolation outside the UN in NYC, China's ethnic unity law, and the DOS call to preserve Tibetan culture and religion—what will happen next? SOURCE↗︎

  3. Bad news for endangered animals: Interior Department scraps 50-year-old rule shielding threatened species. SOURCE↗︎

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