Carl L. Norden Company incorporated in 1931, supplying the sights under a dedicated source contract. In effect, the company was owned by the Navy. In 1934 the newly-forming GHQ Air Force, the purchasing arm of the U.S. Army Air Corps, selected the Norden for their bombers as well, referring to it as the M-1. However, due to the dedicated source contract, the Army had to buy the sights from the Navy. This was not only annoying for inter-service rivalry reasons, but the Air Corps' higher-speed bombers demanded several changes to the design, notably the ability to aim the sighting telescope further forward to give the bombardier more time to set up. The Navy was not interested in these changes, and would not promise to work them into the production lines. Worse, Norden's factories were having serious problems keeping up with demand for the Navy alone, and in January 1936, the Navy suspended all shipments to the Army.