New Administration, New Opportunities: OTA Prototyping Sets the Standard for Acquisition Timelines

In recent months, there has been a renewed sense of support for rapid prototyping to close mission-critical technology gaps, especially when it comes to the utilization of the Other Transaction Authority (OTA). With the Department of Defense (DoD)’s increasing motivation for modernizing our industrial base and reforming acquisition processes, there’s a unique opportunity for innovation to thrive.

“We will rebuild our military by matching threats to capabilities. This means reviving our defense industrial base, reforming our acquisition process, passing a financial audit, and rapidly fielding emerging technologies. We will remain the strongest and most lethal force in the world,” said Secretary of Defense Pete Hegseth in a press release published on January 25, 2025.

For the defense tech industry, this promises a surge of opportunities to support the warfighter and participate in highly visible DoD programs. As the U.S. government continues to prioritize rapid acquisition, OTAs remain a key element behind the success of these initiatives.

The ‘New Default’: Rapid Acquisition in Software and Space

On March 6, Secretary Hegseth released a memo titled “Directing Modern Software Acquisition to Maximize Lethality,” focused on expanding the utilization of the Software Acquisition Pathway (SWP) and speeding up acquisition processes for DoD software. In the memo, Hegseth and other DoD officials instruct DoD program managers to utilize OTAs as the “default solicitation method.”

“The Department of Defense has been slow to recognize that software-defined warfare is not a future construct, but the reality we find ourselves operating in today,” Hegseth said in the memo. “When it comes to software acquisition, we are overdue in pivoting to a performance-based outcome and, as such, it is the warfighter who pays the price.”

Further executive support for acquisition process improvement can be found in space defense. Maj Gen Stephen G. Purdy, acting head of space acquisition, is doubling down on acquisition reforms established by his predecessor, Frank Calvelli, as noted in his speech at the National Security Space Association’s conference in February. Purdy remains committed to Calvelli’s approach—favoring smaller satellites, commercial technology integration, and fixed-price contracts to accelerate timelines.

“The plan that we have is to continue the Calvelli tenets. If anything, think of us continuing those efforts, but doing it more aggressively,” Purdy stated at the National Security Space Association’s conference.

Maj Gen Purdy laid out his thoughts, noting that amongst many process changes expected within Space Force in the coming months, one remaining tenet is producing defense capabilities on fast timelines. Maj Gen Purdy noted the Resilient GPS (R-GPS) program timeline as the “new norm” that program managers should strive to achieve. With support from the Air Force’s “Quick Start” authority, R-GPS moved its project from solicitation to award in just 71 workdays.

“My direction to all [program managers] is SDA and R-GPS timelines are the new norm,” Purdy said. “Beat those timelines. So that’s the goal.”

R-GPS is contracted through the Space Enterprise Consortium (SpEC) OTA vehicle, which is sponsored by Space Systems Command (SSC). As an OTA, SpEC can bypass red tape to get concepts from prototype to reality faster. On average, projects move from solicitation to award in less than 120 days, a fraction of the time it takes traditional contracting methods.

OTAs in Action: Bringing DoD’s Vision to Life

Many transformative OTA projects are coming to life, including the Multi-Service Advanced Capability Hypersonic Test Bed (MACH-TB) program, sponsored by DoD’s Test Resource Management Center (TRMC).

MACH-TB’s mission is to increase the speed of testing for all commercially available hypersonic systems. The program also called for the creation of an experimental glide body that will validate the performance of hypersonic glide body components. During Phase 1 of the program, led by Kratos, 25 flight tests were performed. The MACH-TB 2.0 agreement was recently awarded to Leidos, which will transition the precursor MACH-TB 1.0 test bed from design and concept demonstration to full-flight test capacity by FY25.

The MACH-TB program is contracted through the Strategic and Spectrum Missions Advanced Resilient Trusted Systems (S²MARTS) OTA. The SpEC a

A Bright Future for Industry Innovators

Rapid acquisition has proven to be a consistent challenge for the DoD and commercial sectors alike. With traditional acquisition processes, contracts can take years to secure, followed by additional hurdles when transitioning the prototype into production. Hence, Secretary of Defense Hegseth’s demand for change and Maj Gen Purdy’s push for the continued acceleration of timelines.

With a clear vested interest in OTAs from the new administration, industry and government can expect increased funding and collaboration, newfound motivation, and, ultimately, a more competitive edge in both defense and commercial sectors.

“…all of this will be done with a focus on lethality, meritocracy, accountability, standards, and readiness,” added Secretary of Defense Hegseth in the DoD press release.

This is a pivotal moment to leverage the evolving priorities and create impactful solutions that meet the demands of today’s dynamic environment. The DoD’s new drive to update outdated systems and adopt more flexible, efficient methods presents a promising landscape for prototyping efforts. Rapid acquisition processes like OTAs offer a clear-cut solution: streamlined and agile pathways to bring new technologies and solutions to life.

Join the mission today.

Accessing technology for research and development can be challenging for government agencies. However, OTA government acquisition documents streamline this process so that your facility can quickly access the R&D resources it needs. S²MARTS Research is creating a more connected and streamlined Other Transaction Agreement (OTA) ecosystem, uniquely positioned to better establish the relationship between research and prototyping.

NSTXL‘s experts are committed to helping your government agency capitalize on trends in emerging technology.