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C2 Technologies Inc. has landed the biggest contract in its nearly 30-year history.
The Vienna tech firm — which develops education, training and other IT software programs for federal and commercial clients — was selected as a subcontractor with The Boeing Co. to run the U.S. Air Force’s C-17 training systems in a contract worth about $986 million over six and a half years.
For C2 (pronounced C-squared), the award means at least $100 million, making it the most significant contract to date and a new revenue stream for the business, said Curtis Cox, its co-founder and president.
“We’re taking over every simulator in the country,” said Cox, who runs the company’s aviation services. “It’s big for us.”
C2, which will use its technology to teach pilots how to fly this particular plane, teamed up with Boeing to bid for the contract, and will work as part of its global services team to run simulators at 16 air bases across the U.S. All of them — 14 existing sites, from Oklahoma to Washington, and two new locations in Pittsburgh and Charlotte, North Carolina — represent 16 new offices for the company.
C2 is hiring 100 employees within the next six weeks, many of whom will work as technicians (the people who run and organize the simulators) and, at some of the larger bases, instructional designers, graphic artists and computer programmers (to update and maintain the existing technology), Cox told me. The additions will bring C2’s staff to 500 people.
The contract is just the latest win for the company, and follows its work as the subcontractor over seven years with the C-17’s previous incumbent contractor, New York-based aerospace and defense company L3 Technologies.
The government told the Boeing-C2 team that Engineering Change Proposals, or changes to the project that require additional work, would also increase the contract size, according to Cox. Though it’s hard to know the total amount that could come from that, they typically fall around $10 million to $12 million per year, he said.
C2’s aviation support services group provides coursework and training for six other aircraft weapons systems, according to the company. Its clients span industries from defense to banking to education to government to health care. On that roster? The U.S. Department of Defense, government agencies from the Department of State to the Small Business Administration, and private-sector clients like Microsoft Corp., Marriott International Inc., George Mason University and the American Red Cross, among others.
Now, C2 is expanding its work with the Air Force, and hoping for more future work with Boeing, Cox said. But it’s also eyeing other spaces to grow.
“As a corporation, we’re looking at expanding off into new arenas, too,” he said, “certainly in the virtual world arena using hologram technology, and areas like that. For maintenance, specifically maintenance and setup, it’s very powerful.”
C2 uses virtual and augmented reality programs to improve human performance in the military, classroom and the workforce. One of its products, the LOAC Interactive Trainer — for which C2 was recognized as one of the WBJ’s former Innovation Awards honorees — prepares students studying to become Judge Advocate Generals in the U.S. Army.
Dolly Oberoi — a past Washington Business Journal Minority Business Leader Awards honoree — started the business with Cox, her husband, in 1989. The company promoted its chief operating officer, Manik Rath, to CEO at the beginning of the year, replacing Oberoi, who remains chief learning officer, leading innovation and advising.
With the new contract, Cox said, the company could reach $50 million in 2019 revenue.