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 on Bradley Fighting Vehicles.

The contract, issued on July 6, 2026, by the Army Contracting Command-Redstone at Redstone Arsenal, Alabama, was awarded without competitive bidding. Federal contracting rules generally require agencies to solicit multiple bidders, but 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.

About IBAS and the Bradley Fighting Vehicle

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

IBAS is the subsystem that fuses sensors, optics, and fire control software into the targeting picture a gunner sees before engaging a target. It enables crews to spot, track, and engage enemy targets.

Sole-Source Justification

The contract, formally numbered W31P4Q-26-C-0018, was supported by a redacted Justification and Approval document prepared by the Army's Tactical Aviation and Ground Munitions Project Office at Redstone Arsenal.

Key details from the justification include:

• Original development: IBAS was developed under a competitive, two-source arrangement between Raytheon and DRS (or their corporate predecessors), meaning the Army once had genuine choice between suppliers.
• Consolidation of data: Over the program's lifespan, 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's status: Despite being an original developer, Raytheon 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.

Market Outreach and Responses

The Army 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 for obsolescence management and failure analysis. 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 alternatives to a sole-source award:

• 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.
• In-house performance: Government depots and engineering centers lack the proprietary data and specialized test equipment controlled by DRS.
• 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 at risk.