The Insider

By John Liang
June 26, 2012 at 3:20 PM

The Pentagon is prepared to be an "early adopter" of some technologies in ways that other departments cannot be, according to Deputy Defense Secretary Ashton Carter. In an April 16 speech on energy security at the Georgia Institute of Technology, Carter said:

First, there's some areas where we are cost insensitive in a way that the rest of the economy won't and can't be. We're prepared to invest and adopt before the rest of the economy and, sometimes, after we do -- sometimes but not always -- sometimes, that leads to a more economical version of the same product down the line as technology improves, a product that can be adopted and accommodated by the rest of the economy.

In the meantime, we both benefit on our own terms.

Secondly, unlike so many in the economy, we in the Department of Defense take the long view. We're going to be around a long time. Our cost of capital compares extremely favorably to anyone else's in the economy.

We're prepared to make investments that are sure to pay off, but won't pay off for a while, whereas others can't afford to place those kinds of bets as easily. We're prepared to do so. It’s in the national interest. It's in the warfighters' interest. It's in the taxpayers' interest. We can justify it as a larger value and a larger meaning over time to society as a whole.

By Tony Bertuca
June 25, 2012 at 4:48 PM

Two Ohio lawmakers announced last week that the Marine Corps plans to keep vital vehicle machinery stationed at the Joint Services Manufacturing Center in Lima, OH, thereby abandoning plans to move the gear to a service-run facility and protecting the combat vehicle industrial base.

Sen. Rob Portman (R-OH) and Rep. Mike Turner (R-OH), members of the House and Senate armed services committees, released a statement on June 22 heralding the Marines' decision to maintain their hull machining line located at the Lima plant.

“Following the Obama Administration’s cancellation of the Expeditionary Fighting Vehicle (EFV) Program, the Marine Corps' program manager began reviewing the future use of all EFV-associated equipment procured as part of that program,” the statement reads. “Although there was a preliminary determination to relocate that equipment to a Marine Corps facility, further consideration determined that this was not a time-sensitive decision and the disposition of this equipment will not happen until after the issue can be more thoroughly studied.”

The Marines are also scheduled to conduct a business-case analysis that will allow them to compile a cost/benefit analysis focused on maintaining the defense industrial base, according to the statement.

Portman and Turner have been lobbied hard by General Dynamics, which runs the government-owned and contractor-operated JSMC, to keep the facility's production lines warm in spite of Army plans to pause spending on the Abrams tank, which is built there.

According to the statement, Portman and Turner “worked with the Marine Corps to ensure proper consideration was given” to the matter before a final decision was made to relocate the hull machining line.

“We’d like to thank Senator Portman, Congressman Turner, and the entire Ohio delegation for their constant work on behalf of the Joint Services Manufacturing Center at Lima,” said Keith Deters, the plant manager who JSMC for General Dynamics. “They know that the work done there is important to the defense of this country and helps ensure our manufacturing base remains strong.”

By Christopher J. Castelli
June 22, 2012 at 7:40 PM

Defense Department officials held a "director-level" meeting at the Pentagon this morning with officials from the Japanese defense and foreign-affairs ministries to provide an update on issues related to recent crashes of V-22 Osprey aircraft, Pentagon Press Secretary George Little said in a statement.

The meeting was led by Christopher Johnstone, the Pentagon policy shop's director for Northeast Asia, and Brig. Gen. Terrence O'Shaughnessy, the Joint Staff's deputy director for politico-military affairs for Asia, Little said. The session also included representatives from the Marine Corps and Air Force, who provided updates on the status of the investigations into recent Osprey mishaps, he said. Assistant Secretary of Defense for Asian and Pacific Security Affairs Mark Lippert, who Little said Thursday would participate in the session, did not.

"DOD takes the inquiries made by the Japanese government very seriously and provided relevant information to the extent currently possible, and will continue to do so," Little said. The Marine Corps' plans to base MV-22 Ospreys in Japan are facing potential delays amid increasing concern there about the safety of the aircraft. An Air Force CV-22 Osprey crashed June 13 during a routine training mission at Hurlburt Field's Eglin Range, north of Navarre, FL. "The Osprey is a highly capable aircraft with an excellent operational safety record, which includes more than five years of worldwide deployments and 140,000 flight hours," Little said.

By John Liang
June 22, 2012 at 6:08 PM

The Air Force is doing a bit of reshuffling within its senior space and missile defense ranks, according to a just-released Pentagon announcement:

Maj. Gen. Terrence A. Feehan, program executive for programs and integration, Missile Defense Agency, Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics, Huntsville, Ala., to vice commander, Space and Missile Systems Center, Air Force Space Command, Los Angeles Air Force Base, Calif.

Brig. Gen. Samuel A. Greaves, who has been selected for the rank of major general, director, strategic plans, programs and analyses, Headquarters Air Force Space Command, Peterson Air Force Base, Colo., to deputy director, Missile Defense Agency, Office of the Under Secretary of Defense for Acquisition, Technology, and Logistics, Huntsville, Ala.

Brig. Gen Roger W. Teague, vice commander, Space and Missile Systems Center, Air Force Space Command, Los Angeles Air Force Base, Calif., to director, strategic plans, programs and analyses, Headquarters Air Force Space Command, Peterson Air Force Base, Colo.

By John Liang
June 22, 2012 at 3:06 PM

Credit Suisse analysts attended Bloomberg Government's aerospace and defense conference this week, and this morning issued their thoughts on what they heard:

* Plenty of Rhetoric and Congress Still Lacks Direction: There was clear consensus that sequester has disastrous ramifications ranging from decimation of the defense industry, massive job loss and severe weakening of national security and the economy. But, nobody offered any semblance of a solution. Of course, among the speakers only the congressmen and senators are in any position of real power and they generally pointed figures at one another and stayed to party lines, although there were minor signals that modest compromise could occur down the road. Our sense is that no solution is imminent and this will not be addressed until after the election.

* Lack of Visibility Should Drive Continued Defense Stock Volatility: We expect shares to be pressured through summer and into the election, although there may be support for companies like LMT ahead of its anticipated September dividend hike. While most speakers expect an ultimate deal through compromise on revenues, cost-cutting and entitlements, it appears that such a deal will not materialize until the lame duck and perhaps even calendar Q1'13. Mechanically, we see a CR in place in calendar Q4'12 and there is some risk that Sequester then triggers on Jan 3rd. Our understanding is that such a trigger won't take effect until Feb 13th (CR in place until then), but we suspect eventual compromise on cuts of $250-300B, which is what we believe is currently discounted in the shares. If cuts are limited to $100B as Senator McCain (R-AZ) and Carl Levin (D-MI) hope, we see modest upside vs more severe downside with full sequester.

* Notable Comments: Perhaps Dov Zakheim (former DOD Comptroller) said it best. Sitting on a panel with Democratic and Republican congressmen, Zakheim was frank in saying he does not think that this Congress can cut a deal because it "would've done so already". He added that he expected GDP to decline 0.5% on Sequestration. Marian Blakey (CEO Aerospace Industries Association) quantified potential job loss at 1 million jobs (330k directly from contractors and another 570k associated positions).

Regarding negotiations, Congressman Forbes (R-VA) said it's easy to say "let's put everything on the table", but we [Congress] don't even have a table.

On a positive note, Senator McCain mentioned that an amendment had been tagged onto the Farm bill requiring a report on the effects of sequestration on DOD and the economy by August 15th and said it is irresponsible for the administration not to have done this analysis earlier.

Of course, InsideDefense.com was at the conference as well. Scroll down the Defense:Next blog to view our coverage.

By Jordana Mishory
June 21, 2012 at 8:46 PM

The Pentagon is not planning for potential sequestration cuts because it does not want to end up having to face the effects of its plans, a senior defense official said.

During a Bloomberg Government defense conference in Washington today, Assistant Secretary of Defense for Research and Engineering Zachary Lemnios said the department is not planning for potentially hundreds of billions of dollars of cuts from sequestration “because if you do, you sort of end up on that slope. And the secretary has made that point and we’re absolutely clear on that.”

Lemnios said the two chambers of Congress and the administration have to work together to solve the crisis. “It has to happen in that fashion rather than in this glide slope that ends up being a precipice that no body wants to be in,” Lemnios said.

He argued that it would be much more productive to spend the administration’s energy on proposing a solution rather than planning for a set of options that could possibly not happen.

During the session, Rep. Mo Brooks (R-AL) said he was completely puzzled by the Pentagon’s refusal to plan, contending that it was more political in nature than substantive. He said he and his colleagues on the House Armed Services Committee have pressed officials on the issue of what happens when sequestration gets triggered in January. Brooks said the administration responded that the Defense Department was going to start terminating contracts for the convenience of the government or renegotiating them.

“I would encourage the White House to start planning and the Pentagon to be freed from this restraint so that they can start planning, and most importantly so that they will be in a position where they can describe to the public the adverse affects of sequestration, so the public can make perhaps some informed decisions on the election day in November,” Brooks said.

He anticipated seeing massive numbers of industry layoffs due to these cuts.

Brooks laid out some scenarios that could occur to meet the sequestration funding levels: mothballing one or two carrier battle groups; mothballing one or two submarines; or mothballing a significant percentage of the fighter and bomber capabilities.

Lemnios did note that the Pentagon is planning for a future research and engineering portfolio that is more tightly coupled with academia and with industry.

By Christopher J. Castelli
June 21, 2012 at 5:43 PM

The Defense Department will brief Japanese defense officials tomorrow on the status of investigations concerning recent V-22 Osprey crashes, Pentagon Press Secretary George Little told reporters today. Assistant Secretary of Defense for Asian and Pacific Security Affairs Mark Lippert will participate in the briefing, Little said.

The Marine Corps' plans to base MV-22 Ospreys in Japan are facing potential delays amid increasing concern there about the safety of the aircraft. An Air Force CV-22 Osprey crashed June 13 during a routine training mission at Hurlburt Field's Eglin Range, north of Navarre, FL. InsideDefense.com reported last night that the Air Force has removed the commander of the 8th Special Operations Squadron, citing a lack of confidence in his leadership following that crash. The Marine Corps, meanwhile, has been investigating a fatal MV-22 Osprey crash in Morocco on April 11.

By Jordana Mishory
June 21, 2012 at 4:02 PM

The threat of sequestration introduces a huge amount of uncertainty for the defense industry, which could lead to negative behaviors, Brett Lambert, the deputy assistant secretary of defense for manufacturing and industrial base policy, said today.

Speaking at a Bloomberg Government defense conference in Washington, Lambert said the industrial base needs certainty to be able to make plans six months, 12 months or 18 months down the road to provide goods and services to the warfighter.

Sequestration, which would cut hundreds of billions of dollars from the Pentagon over the next decade, is slated to begin in January 2013 if lawmakers do not act.

"In the absence of certainty, people will tend to gravitate to the most negative behaviors," Lambert said. He noted that the Budget Control Act of 2011, which set up sequestration as a trigger if Congress failed to create a plan to cut the deficit by at least $1.2 trillion, was pretty clear about how these cuts would affect the Defense Department. Defense officials state they are not creating plans to deal with these cuts.

Marion Blakey, the president and chief executive officer of the Aerospace Industries Association, said these negative, or conservative, behaviors that industry is engaged in consist of holding back on investments or not deploying capital in a way to help the economy. Industry is also not training or hiring, she said.

She noted that observers are beginning to see the "withering" away of both companies and vital capabilities. "You’re also loosing vital capabilities in terms of technology and our ability to advance in ways that will spur our economy," Blakey said.

She said time is running out for Congress to solve the sequestration threat. She said the rational approach would be to directly repeal the law.

By Jordana Mishory
June 21, 2012 at 2:49 PM

Alarm bells continue to ring over the hundreds of billions of dollars in Pentagon cuts that could result from sequestration as several members of Congress today called for the Obama administration to take a larger role in solving the problem and encouraged fellow lawmakers to put everything -- including taxes and entitlements -- on the table.

During a Bloomberg Government defense conference, Rep. Norm Dicks (D-WA), Rep. Randy Forbes (R-VA) and Sen. John McCain (R-AZ) said the White House must take a larger role.

“The idea the administration can sit back and not do anything about this is unacceptable as far as I am concerned,” said Dicks, the ranking member on the House Appropriations Committee.

Forbes, who chairs the House Armed Services readiness subcommittee, said he was shocked by reports that the Pentagon was not planning for the cuts. McCain, the ranking member of the Senate Armed Services Committee, said the president needs to take the lead, and called on the president to start a dialogue with Republican leaders in Congress.

McCain added that he could be open to revenue increases.

Dicks concurred, and said House leaders should set up a bipartisan staff panel to find a way to resolve the sequestration issue before the election, rather than waiting for a lame-duck session afterwards.

Forbes called for the Senate to pass a bill to enable the two houses to deal with sequestration in the conference process. He also said the idea of sequestration should be debated during congressional campaigns this year, as well as the presidential race. He said he hopes it galvanizes the public to demand action.

During the session, former Pentagon comptroller Dov Zakheim said that if lawmakers were able to cut a deal they would have done so already. Zakheim said he does not understand why the White House has been sitting on its hands. He said the lame-duck Congress does not have the incentive to fix the problem of sequestration.

Zakheim recommended lawmakers pass a one-year continuing resolution and force the new Congress to solve the problem next year.

By John Liang
June 20, 2012 at 12:00 PM

Defense Secretary Leon Panetta and New Zealand Minister of Defence Jonathan Coleman yesterday signed a declaration at the Pentagon to expand the defense relationship between the two countries.

The "Washington Declaration," according to a Pentagon statement, "provides a framework for cooperation to focus, strengthen and expand the bilateral defense relationship. It promotes a common vision for defense cooperation in order to strengthen and expand practical bilateral cooperation." The statement continues:

The "Washington Declaration" opens up defense dialogues that include the exchange of information and strategic perspectives and increase understanding of defense policies. It reflects a shared commitment to a stable and peaceful Asia-Pacific region and common approaches to address the region's defense and security issues, including contemporary non-traditional security challenges.

The partnership will include security cooperation in areas such as maritime security cooperation, humanitarian assistance and disaster relief, and peacekeeping support operations.

The "Washington Declaration" was signed a week after commemorative events took place in cities across New Zealand celebrating the 70th Anniversary of U.S. forces coming to the aid of New Zealand in World War II.

By John Liang
June 19, 2012 at 3:52 PM

Senate Foreign Relations Committee Chairman John Kerry (D-MA) this morning released a staff report examining the evolving security framework in the Persian Gulf.  "The Gulf Security Architecture: Partnership with the Gulf Cooperation Council" identifies challenges and opportunities associated with promoting U.S. interests and a stable security environment in the Gulf region, according to a committee statement, which further reads:

Home to more than half of the world's oil reserves and over a third of its natural gas, the stability of the Gulf is critical to the global economy. A confluence of events in the Middle East -- the withdrawal of American troops from Iraq, the Arab Revolutions, and the ongoing concerns over Iran's nuclear program -- have raised questions about the Gulf region and U.S. relations with the six states of the Gulf Cooperation Council (GCC).

"The Gulf Region is strategically important to the United States economically, politically, and for security reasons," said Sen. Kerry. "This is a period of historic, but turbulent change in the Middle East. We need to be clear-eyed about what these interests are and how best to promote them. This report provides a thoughtful set of recommendations designed to do exactly that."

Committee staffers traveled to Saudi Arabia, Kuwait, Bahrain, Qatar, the United Arab Emirates, Oman and Iraq "to examine the future multilateral relationship, which is the basis for the report," according to the statement.

The report includes seven recommendations:

* The United States should leverage its strategic position to be a steady force for moderation, stability, and non-sectarianism, through patient and persistent engagement in support of human rights. The United States should not be quick to rescind security assurances or assistance in response to human rights abuses, but should evaluate each case on its own merits. U.S. government officials should use these tools to advance human rights through careful diplomacy. Consistency is a hallmark of a successful security partnership. Nonetheless, there should be redlines associated with the U.S. security agreements in the Gulf, like elsewhere. The United States should make clear that states must not use arms procured from the United States against their own people engaged in peaceful assembly or exploit the U.S. security umbrella as protection for belligerent action against their neighbors.

* The United States should seek to remain a central part of the Gulf security framework. The Administration should encourage the development of institutions like the GCC and Arab League, while seeking to strengthen bilateral ties. However, the GCC is not a monolith, and a multilateral architecture must accommodate the significant differences among the Gulf states. The United States has a unique diplomatic and security role to play in the GCC. To protect its regional security interests, the United States should seek to reinforce its position as a core interlocutor around which intra-GCC security is organized, through robust diplomatic and economic engagement, military-to-military cooperation, and security assistance. However, there is some concern in various GCC capitals that the United States has not been forthcoming enough in communicating its vision of how it would like this cooperation to evolve amidst the political turmoil of the Arab Awakening. American officials should seek to ameliorate these concerns by more clearly articulating to its GCC partners the United States' vision for a Gulf security framework, as well as its strategic priorities for the broader region.

* The United States should work with GCC states to promote economic reform and diversification, as well as increased trade relations. The Gulf states have recognized this dilemma and to varying degrees have sought to diversify their economies and better prepare their workforces for the global marketplace. To help the GCC countries tackle their structural unemployment and underemployment, the United States should focus on educational and labor reforms, as well as the promotion of entrepreneurship.

* The United States should preserve the model of "lily pad" bases throughout the Gulf, which permits the rapid escalation of military force in case of emergency. The Obama Administration has adopted this architecture by retaining only essential personnel in the region while ensuring access to critical hubs such as Camp Arifjan, Al Udeid, Al Dhafra, Jebel Ali, and Naval Support Activity Bahrain. An agile footprint enables the United States to quickly deploy its superior conventional force should conflict arise, without maintaining a costly and unsustainable presence. Sustaining physical infrastructure and enabling functions such as intelligence, surveillance, and logistics, while keeping certain war reserve materiel forward positioned, is more important than deploying large numbers of U.S. forces.

* The U.S. government should continue to cultivate the capabilities of GCC partners in select defensive missions, such as missile defense, combat air patrol, and maritime security, while building capacity through deployments in other theaters such as Libya and Afghanistan. Burden-sharing does not imply that the United States is abandoning the region or relinquishing its role as a security guarantor. Rather, it is intended to deepen strategic ties with the Gulf by improving the competencies of the GCC states through joint exercises, security assistance, and training. Over time, these partnerships can improve the effectiveness of Gulf militaries, promote trust, and instill professional military values such as respect for civilian authority, human rights, and the rule-of-law. However, the Obama Administration should carefully consider what missions it expects the Gulf states to execute effectively.

* The United States should continue to supply Gulf partners with security assistance that supports a comprehensive strategy for regional arms sales to ensure a stable security architecture. The United States derives a number of benefits from supplying the GCC states with defense materiel and training: interoperability, access, leverage, relationships, and regional balance. But the United States should be scrupulous in determining which weapons systems to sell in order to 1) ensure that sales contribute to regional security and do not weaken the position of Israel, 2) support the legitimate defense requirements of Gulf partners, 3) prevent a regional arms race, and 4) protect its technological superiority.

* The United States should promote the gradual political reintegration of Iraq into the Arab fold. Iraq's Arab League presidency in 2012 is an opportunity for the United States to promote a gradual rebalancing of the Gulf’s security architecture, improved counterterrorism cooperation between Iraq and the GCC, and a reduction in sectarian tensions. In particular, in light of reciprocal visits by Kuwaiti Emir Sheikh Sabah and Iraqi Prime Minister Nouri al-Maliki, there may be opportunities for progress on the outstanding bilateral issues dating to the 1990 Iraqi invasion of Kuwait, including border demarcation, war reparations, and the disposition of missing Kuwaiti citizens.

By Maggie Ybarra
June 18, 2012 at 10:21 PM

Hawker Beechcraft has submitted a proposal for a contested contract that would deliver 20 aircraft to the Afghan military.

The company is offering its Beechcraft AT-6 aircraft for the Light Air Support contract and delivered a proposal for that contract to Wright-Patterson Air Force Base, OH, today, according to a company statement. Hawker Beechcraft was the losing competitor for the $355 million contract last year. The company sued the Air Force for information that would back up the service's decision to eliminate the company from the competition and, in response, the Air Force rescinded the contract, yanking it out of the coffers of Sierra Nevada Corp. and Brazil's Embraer, the contracting team which initially won the right to produce aircraft.

Last week, Sierra Nevada filed a lawsuit against the Air Force, seeking to have the contract reinstated.

Allegations have cropped up in recent months regarding the safety of the aircraft. Some of the safety issues include the ejection-seat requirements for the aircraft, which some sources claim to be sub-standard. Other safety issues hone in on the Air Force's decision to eliminate a flight-demonstration requirement that was in the initial request for proposals. The requirement was cut out of the request for proposals after the service revised the RFP.

Hawker, in its statement, assured the public that its aircraft met Air Force requirements.

"Our proposal clearly demonstrates that the AT-6 meets or exceeds all LAS requirements with an integrated solution of systems that combine an American-made production aircraft, worldwide logistics and USAF-standard training capabilities," the statement reads. "Both the U.S. Air Force and the Afghanistan Air Force will benefit from the AT-6's unmatched LAS capability. It is the best value solution for America's Building Partnership Capacity needs."

But those Air Force requirements are being questioned by several congressmen, including House Armed Services Committee Chairman Buck McKeon (R-CA), who is keeping an eye on the contract at the request of Reps. Rick Crawford (R-AR), Tim Griffin (R-AR), Mike Ross (D-AR), Steve Womack (R-AR), Tim Huelskamp (R-KS), Lynn Jenkins (R-KS), Mike Pompeo (R-KS) and Kevin Yoder (R-KS). The congressmen sent a letter to McKeon earlier this month voicing their concerns about the safety standards that the service drew up for the aircraft.

In a June 13 statement, the Air Force told Inside the Air Force that NATO Air Training Command was responsible for defining the aircraft requirements, not the service.

By John Liang
June 18, 2012 at 4:03 PM

The Pentagon recently issued an instruction memo outlining the responsibilities of the chief information officer, head of acquisition and component leaders for handling unclassified information:

1. DoD CHIEF INFORMATION OFFICER (DoD CIO). The DoD CIO, in addition to the responsibilities in section 3 of this enclosure, shall:

a. Oversee implementation of this Instruction in coordination with the Under Secretary of Defense for Intelligence (USD(I)) and the Under Secretary of Defense for Acquisition, Technology, and Logistics (USD(AT&L)), as appropriate.

b. Oversee integration of this guidance into Defense Industrial Base (DIB) cyber security and information assurance activities in accordance with DoDI 5205.13 (Reference (e)).

c. Standardize the implementation of information protection best practices in the DIB.

d. In coordination with the USD(I), ensure that the security of unclassified DoD information on non-DoD information systems that has been identified as controlled unclassified information (CUI) meets the requirements of Executive Order 13556 (Reference (f)) and its implementing directives, consistent with the DoD implementation plan to be provided in accordance with Reference (f) requirements.

2. USD(AT&L). The USD(AT&L), in addition to the responsibilities in section 3 of this enclosure, shall:

a. Engage with the DIB to identify and validate approaches to improve protection of unclassified DoD information developed, used, and shared by non-DoD entities in support of defense acquisition programs.

b. Identify, develop, and implement in the DoD acquisition contracting process policy and procedures for improved protection of unclassified DoD information transiting or residing on non-DoD information systems and networks to include:

(1) Ensuring that the Defense Federal Acquisition Regulation Supplement (DFARS) (Reference (g)) requires DoD contractors and their subcontractors to provide adequate security of DoD information in their possession.

(2) Addressing National Institute of Standards and Technology standards and guidelines, as appropriate.

3. HEADS OF THE OSD AND DoD COMPONENTS. The Heads of the OSD and DoD Components shall:

a. Ensure that unclassified DoD information provided to or developed by non-DoD entities in support of DoD activities is minimally protected according to the information safeguards described in Enclosure 3 of this Instruction by including requirements implementing this policy in contracts, grants, and other legal agreements in accordance with guidance issued pursuant to this Instruction.

b. Ensure that any additional protection measures or reporting requirements regarding compromise, loss, or unauthorized disclosure required by DoD Manual 5200.01,Volume 4, DoD 5400.11-R, DoDD 5205.02, DoDI 5200.39, DoD 8580.02-R (References (h), (i), (j), (k), and (l)), and other established DoD information safeguarding policies (e.g., those relating to law enforcement, technical data, or export control) are implemented by the insertion of applicable requirements into contracts, grants, and other legal agreements.

c. Ensure that contracts include appropriate DFARS clauses for safeguarding unclassified DoD information on non-DoD information systems when such clauses are published in Reference (g).

View the instruction.

By John Liang
June 15, 2012 at 6:05 PM

The Pentagon has issued a strategy document "that identifies information technology goals and objectives to capitalize on the full potential of mobile devices," according to a Defense Department statement.

DOD's "Mobile Device Strategy" document "focuses on improving three areas critical to mobility:  wireless infrastructure, mobile devices, and mobile applications, and works to ensure these areas remain reliable, secure and flexible enough to keep up with fast-changing technology," the statement reads.

View the strategy.

By Maggie Ybarra
June 15, 2012 at 5:03 PM

Norway today ordered a pair of F-35 fighter jets, initiating a staggered plan to purchase the aircraft for its Norwegian Armed Forces in small increments over the coming years.

The announcement was made by Norwegian Minister of Defence Espen Barth Eide, who noted that the purchase of the first two aircraft was a key milestone for Norway's F-35 program, according to a ministry statement. The country expects delivery of those jets by 2015 with the purchase of a second set of F-35s to follow, according to a ministry spokeswoman.

"We were supposed to have four test planes, as we call them, in 2016, but we decided we want two in 2015 and two in 2016 . . . so that we can be as prepared as possible," she said.

Norway will buy up to 48 aircraft after that, initiating additional aircraft purchases beginning in 2017, according to the statement.

The F-35 program to date has experienced numerous delays and cost increases. A recently released Government Accountability Office report shows that the Pentagon has deferred plans for near-term production of more than 400 aircraft over the past three years. GAO recommended that Defense Secretary Leon Panetta direct the office of cost assessment and program evaluation to examine the impact of lower annual resource levels in an effort to mitigate aircraft deferrals, risky funding assumptions and future budget constraints, InsideDefense.com reported yesterday.

Norway has been monitoring the progress of the program and has maintained an open dialogue with both Panetta and Lockheed Martin, prime contractor of the F-35, the spokeswoman said.

The F-35 procurement phase is estimated to cost Norway $10 billion.

Inside the Air Force reported last week that U.S. and Norwegian defense officials had formally awarded a study contract to Lockheed Martin to conduct risk-reduction activities on a munition for the F-35:

Norway is one of eight full international partners on the F-35 program, and the country's top defense contractor, Kongsberg, produces an anti-surface and anti-ship munition termed the Joint Strike Missile (JSM). Like many JSF program participants, Norway has insisted on some level of industrial participation, and working the missile into the F-35's future for use both by the Norwegian air force and other militaries has become a key goal for the country's MoD and defense industry.

On behalf of Norway's MoD, the Defense Department announced on May 31 that it has awarded F-35 prime contractor Lockheed Martin a nearly $20 million contract for the "Joint Strike Missile Risk Reduction Study." That study, paid for by the Norwegian government, will include wind tunnel tests, engineering analysis, physical fit checks and the design of an emulator to determine future activities in integrating the missile onto the F-35, according to the contract announcement

In a June 6 email provided to Inside the Air Force by JSF Joint Program Office spokesman Joe DellaVedova, a Norwegian defense official said this study will help inform more advanced integration efforts in later years.

"This will include testing the fit of the JSM into the F-35, further wind-tunnel testing, emulator tests, and so forth," the official said. "The study was actually initiated in 2011 following the approval by the Norwegian Parliament of phase 2 of the JSM development process. This then merely follows as an extension of this process and marks another milestone in the work to ensure that the necessary preparations for any future integration into the F-35 have been made."