Commerce's USPTO Awards $8.6M for ServiceNow SMP Software Licenses to Thundercat Technology
Contract Overview
Contract Amount: $8,634,262 ($8.6M)
Contractor: Thundercat Technology, LLC
Awarding Agency: Department of Commerce
Start Date: 2025-01-06
End Date: 2027-01-05
Contract Duration: 729 days
Daily Burn Rate: $11.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: SERVICENOW SERVICE MANAGEMENT PLATFORM (SMP) SOFTWARE LICENSES.
Place of Performance
Location: RESTON, FAIRFAX County, VIRGINIA, 20191
State: Virginia Government Spending
Plain-Language Summary
Department of Commerce obligated $8.6 million to THUNDERCAT TECHNOLOGY, LLC for work described as: SERVICENOW SERVICE MANAGEMENT PLATFORM (SMP) SOFTWARE LICENSES. Key points: 1. Significant award for essential IT service management software. 2. Competition was full and open after exclusion of sources, suggesting potential price discovery. 3. Risk appears moderate given the established nature of the software and vendor. 4. IT sector spending is substantial, with software licenses being a key component.
Value Assessment
Rating: good
The award amount of $8.6M for a 2-year contract appears reasonable for enterprise-level service management software. Benchmarking against similar large-scale software license agreements would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources. This method generally promotes competitive pricing and allows for a broad range of vendors to participate, leading to better price discovery.
Taxpayer Impact: Taxpayer funds are being used for critical IT infrastructure, with competition aiming to ensure value for money.
Public Impact
Ensures continued operation of critical IT service management functions for the USPTO. Supports the agency's ability to manage IT assets, incidents, and service requests efficiently. Potential for improved workflow and service delivery through the ServiceNow platform.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics in the provided data.
- Potential for vendor lock-in with proprietary software.
Positive Signals
- Use of a widely adopted and robust service management platform.
- Awarded under full and open competition, indicating a competitive process.
Sector Analysis
This award falls within the IT sector, specifically software licensing for IT service management. Government spending on IT infrastructure and software continues to be a major area of expenditure, with platforms like ServiceNow being common.
Small Business Impact
The data indicates the award went to Thundercat Technology, LLC. Further analysis would be needed to determine if small businesses were involved as subcontractors or if this award represents a missed opportunity for small business participation.
Oversight & Accountability
The Department of Commerce, specifically the U.S. Patent and Trademark Office, is responsible for oversight. The contract type (Firm Fixed Price) and duration are standard, but ongoing monitoring of performance and cost is crucial.
Related Government Programs
- Other Computer Related Services
- Department of Commerce Contracting
- U.S. Patent and Trademark Office Programs
Risk Flags
- Potential for vendor lock-in.
- Reliance on a single software provider.
- Need for continuous monitoring of software performance and security.
- Cost escalation risk in future contract renewals.
Tags
other-computer-related-services, department-of-commerce, va, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $8.6 million to THUNDERCAT TECHNOLOGY, LLC. SERVICENOW SERVICE MANAGEMENT PLATFORM (SMP) SOFTWARE LICENSES.
Who is the contractor on this award?
The obligated recipient is THUNDERCAT TECHNOLOGY, LLC.
Which agency awarded this contract?
Awarding agency: Department of Commerce (U.S. Patent and Trademark Office).
What is the total obligated amount?
The obligated amount is $8.6 million.
What is the period of performance?
Start: 2025-01-06. End: 2027-01-05.
What is the specific value proposition of ServiceNow SMP for the USPTO compared to alternative solutions?
The value proposition likely centers on ServiceNow's integrated suite for IT service management, including incident, problem, and change management, as well as asset management and service catalog capabilities. Its ability to streamline IT operations, improve user support, and provide a centralized platform for IT service delivery is key. Compared to alternatives, it often offers a more comprehensive and scalable solution, though potentially at a higher cost.
What are the primary risks associated with this ServiceNow software license renewal?
Key risks include potential vendor lock-in, as switching from a mature platform like ServiceNow can be complex and costly. There's also a risk of cost escalation in future renewals if competition is not maintained. Performance risks exist if the software is not optimally configured or if support levels are inadequate. Finally, cybersecurity vulnerabilities within the software itself, though generally well-managed by the vendor, remain a constant concern.
How effectively does this contract ensure the USPTO's IT service management needs are met?
The contract's effectiveness hinges on the USPTO's utilization of the ServiceNow platform's capabilities. Assuming proper implementation and ongoing management, the platform should effectively meet needs for incident resolution, change control, and service request fulfillment. The firm fixed-price structure provides cost certainty, but ongoing monitoring of service levels and user satisfaction is crucial to gauge true effectiveness beyond just software availability.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 1333BJ25Q00280005
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Thundercat Technology LLC
Address: 11190 SUNRISE VALLEY DR STE 200, RESTON, VA, 20191
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $79,643,432
Exercised Options: $8,634,262
Current Obligation: $8,634,262
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: NNG15SD26B
IDV Type: GWAC
Timeline
Start Date: 2025-01-06
Current End Date: 2027-01-05
Potential End Date: 2030-01-05 00:00:00
Last Modified: 2025-12-16
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