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Oshkosh Corporation Lands Huge Defense Contract
Oshkosh has impressed the US Army with its vehicles before; the Mine Resistant Ambush Protected Vehicle (M-ATV) now used in Afghanistan does an excellent Job of keeping troops protected from IEDs.
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For Lockheed, which is building the F-35 Joint Strike Fighter for the Air Force, Marines and Navy, this would have been a test of the company’s ability to design and build a vehicle based nearly entirely on computer simulations. When I asked how the JLTV might change how the Army and Marines fight, I was told this evening that the new vehicle would basically restore mobility that had been taken for granted when the Humvee was designed.
JLTV manufacturing will be performed in Oshkosh, with deliveries beginning 10 months after award. Oshkosh beat back impressive efforts by Lockheed Martin and AM General to win today’s $6.75 billion contract.
The losing bidders have ten days to file a protest with the Government Accountability Office after they’ve been briefed on the Army’s decision, and Lockheed said it may do so. AM General said it was reviewing the decision and considering all options.
JLTV is an Army-led, joint acquisition program with the U.S. Marine Corps (USMC) meant to close an existing gap in each service’s light tactical vehicle fleet. He says they’re not sure right now how many jobs they might add once production begins, in earnest, in two or three years.
The Marine Corps will get its 5,500 JLTVs early in the program, with the first group of vehicles expected to be ready for combat use in fiscal year 2018. Its shares jumped more than 11% following the announcement of the deal.
Oshkosh Defense won a major contract to build the ground vehicle that could become a symbol of the U.S. Army for a generation and will eventually replace the Pentagon’s storied, but aging fleet of Humvees.
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The new trucks will replace numerous 120 000 worn-out Humvee trucks and will provide soldiers with greater protection against mines and roadside bombs, one of the Army’s requirements for the new vehicle.