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Boeing and the Air Force At War: The Damage Spreads

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Boeing and the Air Force At War: The Damage Spreads
Topic: Military Technology 10:52 am EDT, May  4, 2008

If you want to understand how former allies end up going to war -- or former lovers end up getting divorced -- take a look at how Boeing and the Air Force are treating each other in their angry confrontation over the award of a next-generation tanker program to Northrop Grumman. Boeing expected to win the contract, and now finds itself facing the prospect of losing a 50-year aerial refueling franchise (and $100 billion in sales) while its main rival in the commercial airliner business sets up shop on Boeing's home turf. Boeing is convinced it should have won, and is spending millions of dollars on lawyers and advertising to press its case in a formal complaint to the Government Accountability Office.

Air Force leaders, on the other hand, believe that Boeing is willfully mis-stating the facts in a bid to obscure the inferior performance of the plane it proposed. A marathon session of Air Force acquisition experts two weeks ago concluded that none of the 200 issues raised by Boeing in its complaint to GAO was likely to be upheld, and that whatever minor problems the accountability office might uncover would be far from sufficient to overturn a competitive outcome the service says was not close. Beyond the merits of Boeing's case, Air Force officials are insulted by the tone of the company's public statements, which have used phrases such as "deeply flawed" and "severely prejudiced" to describe the tanker selection process.

Boeing and the Air Force At War: The Damage Spreads



 
 
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