The Navy said Kollmorgen's Electro-Optical Division would also provide associated engineering services and optional photonics mast spares.
The cumulative value of the award, if all options were exercised, would be about $123.3 million, the Navy said.
The majority of the work on the contract will be performed at the company's facility in Northampton, Mass. The rest would be performed at 16 other locations around the country.
Kollmorgen Electro-Optical, which has headquarters in Northampton, is an experienced developer of integrated and stabilized, high-performance optronic sensor, antenna, masts and weapon control systems for defense applications.