KBR Wins $95M Air Force Contract For Digital Engineering And Decision Support At Kirtland AFB

¦ KEY FACTS AT A GLANCE

KBR Wyle Services awarded a $95.1 million cost-plus-fixed-fee Air Force contract for digital engineering support.
Work will support enterprise decision-making across the capability acquisition lifecycle using model-based systems engineering.
Contract performance will take place at Kirtland Air Force Base, New Mexico through March 2031.
Initial funding of $561,000 from FY2025 and FY2026 RDT&E accounts obligated at award.
The award was issued as a sole-source acquisition by AFRL’s Space Warfare Directorate.

KBR Air Force Digital Engineering Contract Strengthens Space Acquisition Decision-Making

KBR’s $95M Air Force digital engineering contract marks a continued push by the U.S. Air Force to modernize how it evaluates and acquires space capabilities, particularly within the increasingly complex domain of space warfare.

The Department of Defense announced that KBR Wyle Services LLC, based in Chantilly, Virginia, has secured a $95,119,456 cost-plus-fixed-fee contract to deliver digital engineering and enterprise decision support services for the Air Force Research Laboratory (AFRL) Space Warfare Directorate.

The work will be conducted at Kirtland Air Force Base in New Mexico and is scheduled for completion by March 17, 2031.

Advancing Model-Based Systems Engineering In Space Programs

At the core of this KBR Air Force digital engineering contract is the application of model-based systems engineering (MBSE), a methodology that replaces traditional document-based processes with digital models to improve design, testing, and lifecycle management.

The AFRL Space Warfare Directorate is increasingly relying on MBSE tools to simulate operational scenarios, assess trade-offs, and optimize system architectures before physical prototypes are built. This approach reduces cost, shortens development timelines, and improves system performance.

Under this contract, KBR will support:

Digital modeling of space systems and architectures
Trade-off analysis across competing capability requirements
Enterprise-level decision support tools
Integration of software-driven engineering environments

This aligns with broader Pentagon priorities to digitize acquisition workflows and improve resilience in space-based systems.

Strategic Importance Of Decision Support In Space Warfare

The KBR Air Force digital engineering contract reflects a deeper shift in how the U.S. military approaches decision-making in contested domains like space.

Space systems are now central to:

Missile warning and tracking
Satellite communications
Navigation and positioning
Intelligence, surveillance, and reconnaissance (ISR)

As adversaries develop counter-space capabilities, including anti-satellite weapons and electronic warfare tools, the ability to rapidly evaluate design trade-offs becomes critical.

Digital engineering enables commanders and acquisition officials to test multiple scenarios in virtual environments, helping them choose the most effective and survivable system configurations.

This capability is particularly relevant for AFRL’s Space Warfare Directorate, which focuses on developing next-generation technologies to maintain U.S. space superiority.

Sole-Source Award Signals Continuity And Specialized Expertise

The contract was awarded as a sole-source acquisition, indicating that KBR was selected without a competitive bidding process.

Such awards are typically used when:

The contractor has unique technical expertise
Continuity of ongoing programs is required
Time-sensitive requirements limit competition

KBR has a long-standing relationship with the U.S. military, particularly in engineering, logistics, and technical services. Its Wyle division has historically supported test and evaluation, aerospace engineering, and mission-critical systems.

The decision to issue a sole-source contract suggests AFRL’s reliance on KBR’s established capabilities in digital engineering and systems integration.

Funding And Acquisition Details

At the time of award, the Air Force obligated $561,000 in research, development, test, and evaluation (RDT&E) funds from fiscal years 2025 and 2026.

The relatively small initial obligation reflects the structure of cost-plus-fixed-fee contracts, where funding is incrementally allocated as work progresses.

The contracting authority is the Air Force Research Laboratory Space Warfare Directorate, headquartered at Kirtland AFB.

Contract reference: FA9453-26-C-X006.

Broader Implications For Defense Digital Transformation

The KBR Air Force digital engineering contract highlights a broader trend across the Department of Defense toward digital transformation in acquisition and system development.

Key initiatives driving this shift include: