48 CFR § 204.7601 - 204.7601 Definitions.
---
identifier: "/us/cfr/t48/s204.7601"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "48 CFR § 204.7601 - 204.7601 Definitions."
title_number: 48
title_name: "Federal Acquisition Regulations System"
section_number: "204.7601"
section_name: "204.7601 Definitions."
chapter_number: 2
chapter_name: "DEFENSE ACQUISITION REGULATIONS SYSTEM, DEPARTMENT OF DEFENSE"
subchapter_number: "A"
subchapter_name: "GENERAL"
part_number: "204"
part_name: "ADMINISTRATIVE AND INFORMATION MATTERS"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "41 U.S.C. 1303 and 48 CFR chapter 1."
regulatory_source: "56 FR 36289, July 31, 1991, unless otherwise noted."
cfr_part: "204"
---
# 204.7601 204.7601 Definitions.
As used in this subpart—
*Item risk* means the probability that a product, based on intended use, will introduce performance risk resulting in safety issues, mission degradation, or monetary loss.
*Price risk* means the measure of whether a proposed price for a product or service is consistent with historical prices paid for that item or service.
*Supplier risk* means the probability that an award may subject the procurement to the risk of unsuccessful performance or to supply chain risk (see 239.7301).