Should navies expect contractors to inflate the price of a planned class of large surface combatants?
Short answerPrice growth is likely when complex development costs and commercial profit must be recovered from only a few hulls, especially without a state yard to provide a benchmark.
NotesThe announced price is judged high but comparatively plausible for a ship integrating many new systems. Further increases remain possible in that assessment. More research and integration have to be recovered across fewer hulls as orders shrink. Private firms are expected to seek profit, while the absence of a public dockyard leaves government without the bargaining comparison advocated here.