Operation of the Defense Acquisition System

Demonstration. The entrance point is Milestone B, which is also the initiation of an acquisition program. There shall be only one Milestone B per program or evolutionary increment. Each increment of an evolutionary acquisition shall have its own Milestone B. The tables in enclosure 3 identify the statutory and regulatory requirements that shall be met at Milestone B. For Shipbuilding Programs, the required program information shall be updated in support of the Milestone B decision, and the ICE shall be completed. The lead ship in a class shall normally be authorized at Milestone B. Technology readiness assessments shall consider the risk associated with critical subsystems prior to ship installation. Long lead for follow ships may be initially authorized at Milestone B, with final authorization and follow ship approval by the MDA dependent on completion of critical subsystem demonstration and an updated assessment
of technology maturity.

3.7.2. Entrance Criteria. Entrance into this phase depends on technology
maturity (including software), approved requirements, and funding. Unless some other factor is overriding in its impact, the maturity of the technology shall determine the path to be followed. Programs that enter the acquisition process at Milestone B shall have an ICD that provides the context in which the capability was determined and approved, and a CDD that describes specific program requirements.