ATFLIR, the world's first Generation III Targeting FLIR, was developed in response to a requirement for the pilot and WSO to be able to acquire a target with improved target recognition and at a greater standoff range. ATFLIR's magnification is 30X versus previous FLIR capabilities at 4x. An additional requirement to provide autonomous precision targeting coordinates to "smart" weapons, such as JSOW and JDAM, will be met with ATFLIR.
The ATFLIR acquisition strategy is to award a sole source EMD contract for the development, fabrication, test and integration of the ATFLIR into the F/A-18 C/D and E/F aircraft weapon systems. McDonnell Douglas Corporation (MDC), a wholly owned subsidiary of The Boeing Company, as the sole designer, developer, and manufacturer of the F/A-18 aircraft weapon systems had the requisite knowledge, experience and technical data required to successfully complete the complex integration of the ATFLIR into the F/A-18 C/D and E/F aircraft weapon system in the time required. Accordingly the government selected MDC to provide the integrated ATFLIR capability as contractor furnished equipment.
McDonnell Douglas conducted a competitive source selection to determine the ATFLIR hardware subcontractor in accordance with its internal procedures. The Government announced its intent to have MDC run a technology demonstration at the onset of the ATFLIR program. Based on this intent and the incentive of a potential $1B production run, five supplier teams developed prototype ATFLIR systems with their own funds. In the case of the ATFLIR, an additional incentive for industry to make an investment in prototypes was the opportunity for the winner to "take all" and potentially sell advanced FLIR systems to JSF and foreign customers.
To ensure MDC was impartial in its ATFLIR subcontractor selection, the government was an observer of MDC’s source selection process. The observation process allowed the government to conclude that Boeing’s competition was fair and reasonable and best value for the Navy. The government concurred with Boeing’s selection of Raytheon as the major subcontractor for ATFLIR development.
The ATFLIR program has a required Initial Operating Capability (IOC) date of May 2002 (to meet F/A-18E/F first deployment); however, the required FY 98/99 funding was not available. As a result, the government and contractor entered into an innovative commercial business contractual approach. With this EDM contract option approach, the government will not pay for fabrication of the EDMs until they are ready for delivery in October FY 00. This delivery date is when additional funding should be available from a POM 00 issue.