Germany awards $1.25 billion contract for digitalization of land forces

Germany awards $1.25 billion contract for digitalization of land forces

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German Bundeswehr awarded a $1.25 billion (€1.2 billion) large-scale contract for digitalizing the land forces, including IT development, equipping hardware, and converting over 10,000 combat and support vehicles, under the Digitalization of Land-based Operations (D-LBO) program.

German defense manufacturer Rheinmetall received the major share of the contract accounting for about $760 million (€730 million) to integrate IT systems on all vehicle and platform systems of the German land forces. The remaining share of around €470 million goes to German software firm blackned GmbH.

The procurement contract was signed by representatives of the Federal Office of Bundeswehr Equipment, Information Technology and In-Service Support (BAAINBw) and the ISI working group (ArGe IT-Systemintegration), consisting of blackned GmbH and Rheinmetall Electronics GmbH. Airbus Defence and Space GmbH, among other subcontractors, will serve as a key partner within the ArGe.

Under the contract, the new technology will be integrated into more than 10,000 combat and support vehicles of the German armed forces by mid-2030.

The hardware-related integration, which includes the pre-conversion of vehicle platforms, is covered under a second procurement order. The contractor for this phase is ArGe D-LBO, a consortium comprising Rheinmetall Landsysteme GmbH and KNDS Deutschland GmbH & Co. KG.


The IT system integration contract has a duration of up to ten years and encompasses all activities related to incorporating new digital radio and command systems into a standardized IT system. Configuration control will be managed by BWI GmbH, the Bundeswehr’s central IT systems authority.

CEO of Rheinmetall AG, Armin Papperger said, “We are grateful that we can contribute significantly to the digitalization of the land forces in this project – both in IT development and in equipping the hardware.”

He further highlighted that “The new technology will increase the command-and-control capability of the army units fundamentally, and improves the interoperability within the Bundeswehr and with NATO allies, which will be particularly important for the new Brigade 45 in Lithuania”.


Digitalization of Land-Based Operations Program

The Digitalization of Land-Based Operations (D-LBO) is a flagship project in the modernization of the Bundeswehr’s land forces and one of the German Army’s most significant procurement initiatives to meet the demands of contemporary and future warfare.

The program supports advanced IT systems facilitating seamless connectivity between vehicles and soldiers as well as sensors and effectors. The real-time exchange of information enhances the operational capabilities and interoperability of units equipped with D-LBO.

To digitalize land operations, German land forces are going through a significant transformation with the development and implementation of new technologies. The German Army has developed a comprehensive strategy and established supporting structures to manage the complexity and pace of digitalization effectively and to prepare for future missions.

German Bundeswehr's network operations centre
German Bundeswehr’s network operations centre (NOC) provides central operations support in computer networks. (Image Credit: Bundeswehr/Thomas Ströter)

The Land Forces Digitalization Strategy serves as a guiding framework, designed to provide long-term direction for the successful digitalization of land operations. It aims to synchronize all related projects and align them with a shared objective.

With its comprehensive approach to digitalization, the D-LBO Program positions the Bundeswehr to effectively adapt to the challenges of modern conflicts while fostering innovation and collaboration on a global scale.

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