Department of Defense Research, Development Test & Evaluation (DoD RDT&E): Market Analysis and Outlook

G2 Solutions
September 1, 2008
31 Pages - SKU: GTS1904372
License type:
Table of Contents Related Reports
Countries covered: United States

Market Findings
  • RDT&E budgets have increased in the recent past due to delays in moving major programs into production; this trend will continue but associated funding growth will slow considerably in the near-term

    • - Congress has commenced efforts to gain more oversight into RDT&E program schedule and cost over-runs
    - Programs showing excessive cost growth or failing to meet technical milestones will be increasingly threatened by cancellation
  • Army and Navy RDT&E funding will decrease significantly over near and long-term, as large platform programs transition to procurement and funds are sent to those accounts to complete acquisitions
Near Term Outlook
  • DoD Supplemental funding will be partially replaced by Baseline Increases
  • Future Combat Systems will provide the majority of RDT&E spending for the near term
  • RDT&E per annum growth will be less than <1% during the next 4-5 years
    • Competitive Outlook
  • Boeing/SAIC Future Combat Systems is one of the largest RDT&E projects and significant funding will flow through the program. However, current focus is on fieldable systems which may result in some programs being delayed or cancelled
  • Northrop Grumman may find significant opportunities as new UAV requirements are emerging
  • Boeing led teams have not faired as well as others in capturing new projects within MDA.


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