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The Defense Department has selected 10 companies for a potential 10-year, $25.3 billion contract under the Advanced Technology Support Program (ATSP) for engineering development support services in microelectronics. This contract, iteration number five, encompasses the entire lifecycle of advanced computer chips, including design, development, analysis, integration, and testing.

The Defense Microelectronics Activity received 17 bids for this recompete, with the current ATSP4 contract initiated in 2016 having obligated approximately $9.2 billion to date. ATSP4 is set to expire on March 31.

Raytheon and Northrop Grumman have received 89% of the previous funding, while Lockheed Martin and BAE Systems’ U.S. subsidiary are not among the new awardees. The program aims to update military systems with advanced microelectronics and mitigate issues related to semiconductor obsolescence, focusing on research in quantum computing, nanoelectronics, and submicron engineering.