There are two sides to the coin here:rajanb wrote:kelesis wrote:I don't know what is a big blow but considering the situation (Brazil, UAE, koweit etc... all failures or delays) it is far to be a good news. The best Dassault can hope is the tender to be cancel, the Swiss gov will not change his mind.
Regarding India, I really doubt Dassault and French gov have the ability to secure such a deal. How can you win a difficult competition where you are the outsider when you are not able to win competitions where you are the leading contender (or the sole contender)?
One side that it is bad for Dassault definitely. And the MoD and the rest are going to go with a fine tooth comb over Dassault's proposal. Getting such bad news from the UAE and the Swiss, if the reports are not DDMitis means there will be reluctance building here to go with the Dassault. Also, as a result of the M2K upg costs. Unless the M2K costs are to fund a lower price for the Rafale/ or some uber technology in the upg?. If we look at this side only then the Rafale is doomed not to win the MMRCA. But we have to remember that the loss has to do with the lack of sensitivity to potential customers during the sales cycle or economics or any political considerations. Nothing technical.
The other side of the coin, that the MoD will refer back to the IAF, and if the IAF still says ok to it as as asset, with additional riders in terms of deliverables, The MoD will after having shared their computation of costs with individual sellers, go for L1. If, and this is an assumed scenario, the Rafale is L1, and the MoD is uneasy, in view of Dassault losing, ask the vendors to rework the prices, with no changes to conditions. However, regardless of who is L1, I would think asking the vendors to give their "final and best price" is par for the course and would be a standard tender term. I have always seen that term in the tender as the right of the GOI to do. So we never bid the best price in any case. And if this has changed, then there is some cause for concern.
The good point about this is both, or the hungrier of the two will drop their trousers.
In life, all is fair in love and war and pricing to win a deal.
