Interior's USGS awards $188.6M for IoT cellular services to AT&T Mobility LLC

Contract Overview

Contract Amount: $188,616 ($188.6K)

Contractor: ATT Mobility LLC

Awarding Agency: Department of the Interior

Start Date: 2023-04-17

End Date: 2028-04-16

Contract Duration: 1,826 days

Daily Burn Rate: $103/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MACHINE 2 MACHINE AND INTERNET OF THINGS CELLULAR SERVICES

Place of Performance

Location: BROOKHAVEN, DEKALB County, GEORGIA, 30319

State: Georgia Government Spending

Plain-Language Summary

Department of the Interior obligated $188,615.85 to ATT MOBILITY LLC for work described as: MACHINE 2 MACHINE AND INTERNET OF THINGS CELLULAR SERVICES Key points: 1. Contract awarded to AT&T Mobility LLC for machine-to-machine and IoT cellular services. 2. The contract has a duration of 5 years, ending April 16, 2028. 3. Services are for the U.S. Geological Survey (USGS) under the Department of the Interior. 4. The contract was awarded using full and open competition. 5. The award type is a Delivery Order under an existing contract. 6. The pricing structure is Firm Fixed Price. 7. The North American Industry Classification System (NAICS) code is 517312 (Wireless Telecommunications Carriers).

Value Assessment

Rating: good

Benchmarking the value of this specific contract is challenging without access to detailed service level agreements and comparable market data for IoT cellular services. However, the firm fixed-price structure suggests a degree of cost certainty for the government. The total award amount of $188.6 million over five years indicates a significant investment, and its value will depend on the reliability, coverage, and data throughput provided by AT&T Mobility LLC.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of 3 bids suggests a competitive environment, which typically leads to better pricing and service options for the government. The specific details of the bidding process and the number of bidders are not fully elaborated, but the 'full and open' designation is a positive indicator for price discovery.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a market where providers compete on price and performance, potentially leading to cost savings and higher quality services.

Public Impact

The U.S. Geological Survey (USGS) will benefit from enhanced machine-to-machine and IoT cellular capabilities. These services are crucial for data collection, monitoring, and operational efficiency across USGS programs. The contract supports the deployment of IoT devices for scientific research and environmental monitoring. Geographic impact is likely nationwide, supporting USGS operations across various regions. Workforce implications may include the need for personnel to manage and utilize the new IoT infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if service offerings are highly specialized.
Dependence on AT&T's network infrastructure for critical data transmission.
Ensuring consistent service quality and coverage across diverse operational areas.

Positive Signals

Awarded through full and open competition, suggesting competitive pricing.
Firm Fixed Price contract provides cost predictability.
Long-term contract (5 years) allows for stable planning and deployment of IoT solutions.
AT&T Mobility LLC is a major telecommunications provider with extensive network capabilities.

Sector Analysis

The telecommunications sector, particularly wireless services, is a critical enabler for modern government operations. This contract falls under the Wireless Telecommunications Carriers (except Satellite) industry, with NAICS code 517312. The market for IoT cellular services is rapidly growing, driven by the increasing demand for connected devices across various sectors, including government, industry, and consumer applications. Comparable spending benchmarks are difficult to ascertain without specific service details, but the scale of this award suggests a significant commitment to leveraging IoT technology.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract, nor does it detail subcontracting plans. As the contract was awarded through full and open competition to AT&T Mobility LLC, a large telecommunications provider, the direct impact on small businesses within this specific award is likely minimal unless AT&T engages them for subcontracting. Further analysis of AT&T's subcontracting reports would be needed to assess their impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically reside with the U.S. Geological Survey (USGS) contracting officers and program managers within the Department of the Interior. Accountability measures are inherent in the firm fixed-price contract type, requiring AT&T Mobility LLC to deliver specified services within the agreed-upon cost. Transparency is facilitated by the contract award notice, which is publicly available. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

General Services Administration (GSA) Schedules
Other agency-specific wireless telecommunications contracts
Department of Defense (DoD) telecommunications procurements

Risk Flags

Potential for service disruption impacting critical data collection.
Dependence on vendor's network infrastructure and performance.
Ensuring adequate coverage across diverse and potentially remote operational areas.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $188,615.85 to ATT MOBILITY LLC. MACHINE 2 MACHINE AND INTERNET OF THINGS CELLULAR SERVICES

Who is the contractor on this award?

The obligated recipient is ATT MOBILITY LLC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (U.S. Geological Survey).

What is the total obligated amount?

The obligated amount is $188,615.85.

What is the period of performance?

Start: 2023-04-17. End: 2028-04-16.

What specific IoT applications and use cases will these cellular services support for the USGS?

The cellular services are intended to support a wide range of Machine-to-Machine (M2M) and Internet of Things (IoT) applications critical to the U.S. Geological Survey's mission. These likely include remote sensing and data collection from environmental monitoring stations (e.g., seismic sensors, stream gauges, weather stations), enabling real-time data transmission for analysis and public dissemination. Additionally, the services could support asset tracking for field equipment, operational communications in remote areas, and the deployment of smart sensors for infrastructure monitoring. The specific applications will be detailed within the Statement of Work (SOW) of the contract, outlining the required data speeds, reliability, and coverage necessary for each use case.

How does the pricing of AT&T Mobility LLC's services compare to market rates for similar IoT cellular solutions?

Directly comparing the pricing without the detailed service level agreements (SLAs) and specific data plans is challenging. However, the contract's firm fixed-price nature suggests that the government has negotiated a set rate for the services provided. Given that AT&T Mobility LLC is a major carrier and the contract was awarded through full and open competition with three bidders, it implies that the pricing is likely competitive within the market for large-scale enterprise IoT solutions. Benchmarking would require analyzing per-gigabyte data costs, device connection fees, and any associated service management charges against similar offerings from other Tier 1 carriers or specialized IoT providers.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract?

While the specific KPIs and SLAs are not detailed in the provided award abstract, they are crucial components of any telecommunications service contract, especially for IoT applications. For this contract, typical KPIs would likely include network availability (uptime percentage), data transmission latency, data throughput speeds, and geographic coverage reliability. SLAs would define the acceptable thresholds for these metrics and outline remedies or service credits if AT&T Mobility LLC fails to meet them. The USGS would have established these performance standards to ensure the critical data collection and operational needs are consistently met.

What is AT&T Mobility LLC's track record in providing similar large-scale IoT cellular services to federal agencies?

AT&T Mobility LLC, as one of the largest telecommunications providers in the United States, has a substantial track record of providing wireless and cellular services to numerous federal agencies. They are a common provider for government mobile device plans, data services, and increasingly, IoT solutions. Their experience likely includes deploying and managing cellular networks for various government applications, including public safety, logistics, and remote data acquisition. While specific details of past performance on similar USGS-scale IoT contracts are not provided here, their established presence in the federal market suggests a capacity to handle such requirements.

What are the potential risks associated with relying on a single vendor for these critical IoT cellular services?

The primary risks associated with relying on a single vendor like AT&T Mobility LLC for critical IoT cellular services include potential vendor lock-in, where switching providers becomes difficult and costly. There's also a risk of service disruptions if AT&T experiences network outages or technical issues, which could impact the USGS's ability to collect vital data. Furthermore, if competition diminishes in the future, the government might face less favorable pricing or service improvements. Mitigating these risks involves robust contract management, clear performance expectations, and contingency planning for service continuity.

How does this spending align with the Department of the Interior's broader digital transformation or modernization initiatives?

This $188.6 million contract for IoT cellular services directly supports the Department of the Interior's (DOI) and the USGS's broader digital transformation and modernization efforts. By investing in advanced cellular connectivity, the DOI is enabling the deployment of next-generation sensors and data platforms. This facilitates more efficient, real-time data collection and analysis, which is crucial for scientific research, resource management, and responding to environmental challenges. Such investments are fundamental to moving towards a more data-driven operational model, enhancing the agency's ability to fulfill its mission in areas like climate monitoring, natural resource assessment, and hazard mitigation.

Industry Classification

NAICS: Information › Wired and Wireless Telecommunications Carriers › Wireless Telecommunications Carriers (except Satellite)

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - NETWORK

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Tyto Athene, LLC

Address: 1025 LENOX PARK BLVD NE, ATLANTA, GA, 30319

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $188,616

Exercised Options: $188,616

Current Obligation: $188,616

Actual Outlays: $91,327

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA19D00MV

IDV Type: FSS

Timeline