Tools for EMS manufacturing quote pricing analysis - Optimize total landed cost savings for your contract electronics outsourcing programs

Details here

Tools for EMS manufacturing quote pricing analysis - Optimize total landed cost savings for your contract electronics outsourcing programs

Details here
 
25 Years solving global, regional and local priorities.

Menu


Top military electronic defense primes diversify, win lion’s share Pentagon procurement budget

By VentureOutsource.com Staff

There are more than 25,000 military and defense contractors serving the US DoD. Roughly two-thirds of US Department of Defense contracts go to the top six defense primes:

  • Boeing
  • General Dynamics
  • BAE Systems
  • Raytheon
  • Lockheed Martin
  • Northrop Grumman

Major suppliers of defense products and services are profitable, showing positive earnings before interest, tax, depreciation, and amortization (EBITDA) margins.

EBITDA margin (%) for largest 6 defense primes

Major defense suppliers have seen growing demand for their products and services, driving higher sales and greater scale, helping to reduce costs and boost competitiveness.

SEE ALSO
Chinese top defense company revenues v US, worldwide defense firms

To maintain top line growth and mitigate the cyclicality of U.S. defense spending, some firms will continue to diversify their customer base and pursue international and non-defense customers.

Big 6 primes revenue breakdown

Worldwide military and defense contract electronics providers

Today there are 1000s of contract electronics manufacturing services (EMS) providers among the many, other contractors and (sub-contractors to defense primes) also serving US armed forces. Search contract EMS providers serving ITAR compliant military/defense sector here.

Read about military defense and aerospace lead-free risks here. Read about military REACH compliance here. For information about writing military and defense requests-for-proposals (RFP) to minimize risk of rejection, go here.

Procurement – budget authority (FY 2007 – FY 2023)

Below, information on Pentagon CAGR procurement percentages for missiles, ammunition, shipbuilding and conversion, weapons, chemical agents and munitions destruction, aircraft and space.

The US defense industry should experience continued growth as DoD budget authority for operation and maintenance (O&M), procurement, and research development, test and evaluation (RDT&E) increases. The bulk of the budgeted spending is allocated to O&M followed by procurement spending.

Get a list of EMS manufacturers matching your program needs (Its free)

Venture Outsource has the largest, global database of contract electronics capabilities. Get a free list of contract EMS manufacturing companies matching your program needs.

“Was able to very quickly find details on the important elements of setting up EMS and ODM partnerships, talked with an advisor for personalized info on quality providers matching our requirements while getting up to speed quickly about the industry and connect with key staff from like-minded companies and potential partners. Great resource.”

— Jeff Treuhaft, Sr. Vice President, Fusion-IO

Advisors have access to detailed information on listings in our global database and can help you compare provider service capabilities to better match your program needs. Speak with a Provider Advisor. This free service is for electronic professionals working in OEM brand companies.

Talk to an Advisor


Private message OEM peers. Access all content.

For electronic OEM professionals working in OEM companies. Connect with OEM peers and access exclusive content.

https://ventureoutsource.com/contract-manufacturing/top-military-electronic-defense-primes-diversify-de-risk-win-dod-pentagon-procurement-budget

Provider spotlight

About Venture Outsource, LLC

Venture Outsource, LLC site content and our consulting services help electronic manufacturers plan and execute global, regional and local priorities. Our chief assets are knowledge and interactions. The business is divided into two divisions: an operating division which includes education and training, and consulting and research.



Copyright Venture Outsource, LLC. All Rights Reserved
The material on this site is for informational purposes only and is not a substitute for legal, financial or professional advice. Distribution and use of this material are governed by our User Terms Agreement and by copyright law. By using our Website you agree to site Terms and Privacy policies. For questions email insight@ventureoutsource.com or visit www.ventureoutsource.com