U.S. Army awards $55.7M sole-source contract to DRS for Bradley IBAS targeting system upgrades

Melbourne, Florida — DRS Network and Imaging Systems LLC has been awarded a sole-source contract valued at $55,714,779 to provide engineering services for the Improved Bradley Acquisition Subsystem (IBAS), the sighting, targeting, and missile control system used by Bradley Fighting Vehicle crews.

The Army Contracting Command-Redstone, based at Redstone Arsenal, Alabama, issued the contract on July 6, 2026, after determining that DRS is the only qualified source capable of performing the work.

About the IBAS System

IBAS is the subsystem that fuses sensors, optics, and fire control software into a unified targeting picture for the gunner. It is central to the Bradley Fighting Vehicle's lethality, enabling crews to spot, track, and engage enemy targets.

The Bradley Fighting Vehicle is the U.S. Army's armored troop carrier and fire support platform. A tracked combat vehicle, it has been a mainstay of American mechanized infantry units since the 1980s and has recently drawn renewed attention for its battlefield performance in Ukraine.

Contract Details

• Contract Number: W31P4Q-26-C-0018
• Award Date: July 6, 2026
• Awarding Agency: Army Contracting Command-Redstone (Redstone Arsenal, Alabama)
• Contractor: DRS Network and Imaging Systems LLC (Melbourne, Florida)
• Value: $55,714,779
• Type: Sole-source (non-competitive)

Justification for Sole-Source Award

Federal contracting rules generally require agencies to open work to multiple bidders. However, the award notice states that DRS is the only responsible source capable of performing the work, citing statutory authority under Title 10 of the U.S. Code, as implemented by federal acquisition regulations governing situations where no other supplier can meet an agency's requirements.

A redacted Justification and Approval document prepared by the Army's Tactical Aviation and Ground Munitions Project Office at Redstone Arsenal provides further detail.

Historical Context

IBAS was originally developed under a competitive, two-source arrangement between Raytheon and DRS (or their corporate predecessors). Over the program's lifespan, a series of corporate acquisitions and government-approved transfer agreements consolidated ownership of the complete IBAS technical data package — including proprietary schematics, source code, diagnostic software, and specialized depot-level test equipment — entirely in DRS's hands.

Raytheon, despite being an original developer of the technology, no longer possesses the current, complete data needed to service the fielded system and has not submitted a bid on any IBAS solicitation since a 2018 contract, according to the justification document.

Market Research and Responses

Officials posted public notices seeking alternative sources on SAM.gov, the government's contract opportunity portal, in December 2024 and again in August 2025. Four firms responded with capability statements:

• DRS
• Raytheon
• Cortina Solutions
• Ricardo Defense

After technical evaluation, the Army determined only DRS qualified. Raytheon's submission confirmed it lacked access to the current, complete technical data package needed to perform obsolescence management and failure analysis on the fielded system. Cortina Solutions and Ricardo Defense, as non-incumbent vendors, could not demonstrate any legitimate rights to the underlying proprietary intellectual property.

Alternatives Considered and Rejected

The justification document outlines why the Army rejected alternative approaches:

• Full and open competition: Would require a new vendor to reverse-engineer one of the most complex subsystems on the Bradley. The document describes this as involving "extreme duplication of cost" that would exceed the value of the contract itself and introduce a schedule delay of several years.

• Shifting work in-house: Government depots and engineering centers lack the proprietary data and specialized test equipment controlled by DRS.

• Taking no action: Judged the most damaging option, as it would immediately halt efforts to fix parts obsolescence and failure issues across the Bradley fleet. The document warns this would directly degrade the vehicle's operational readiness and put the safety of soldiers who rely on the vehicle at risk.