DOJ's $9.88B AT&T Mobility contract for wireless services awarded under full and open competition

Contract Overview

Contract Amount: $9,876 ($9.9K)

Contractor: ATT Mobility LLC

Awarding Agency: Department of Justice

Start Date: 2023-06-01

End Date: 2026-07-31

Contract Duration: 1,156 days

Daily Burn Rate: $9/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SER -TOG-- FY23-26 AT&T MOBILITY SERVICES

Place of Performance

Location: SPRINGFIELD, FAIRFAX County, VIRGINIA, 22152

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $9,876.31 to ATT MOBILITY LLC for work described as: SER -TOG-- FY23-26 AT&T MOBILITY SERVICES Key points: 1. Contract awarded to AT&T Mobility LLC for a significant duration, potentially impacting long-term cost management. 2. The contract utilizes a Firm Fixed Price structure, offering cost predictability for the government. 3. Awarded under a Blanket Purchase Agreement (BPA) Call, suggesting a streamlined procurement process for existing agreements. 4. The U.S. Marshals Service is the primary agency, indicating a critical need for reliable mobile communications. 5. The contract's value is substantial, warranting close monitoring of service delivery and performance. 6. Wireless telecommunications services are essential for modern law enforcement operations.

Value Assessment

Rating: good

The contract value of $9.88 billion over its period of performance is substantial. Benchmarking this against similar large-scale wireless telecommunications contracts for federal agencies is challenging due to the unique nature of such comprehensive service agreements. However, the firm fixed-price structure provides a degree of cost certainty. The value proposition will depend heavily on the actual utilization of services and the negotiated rates within the BPA call.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The specific details of the bidding process, such as the number of bidders, are not provided in the summary data. However, a full and open competition generally fosters a competitive environment, which can lead to better pricing and service offerings for the government.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the potential for competitive pricing and encourages a wider range of innovative solutions, ultimately aiming for the best value for public funds.

Public Impact

Federal law enforcement agencies, particularly the U.S. Marshals Service, will benefit from reliable and extensive wireless communication services. The contract ensures the provision of wireless telecommunications services, crucial for operational effectiveness and data transmission. The geographic impact is likely nationwide, supporting personnel and operations across various locations. Workforce implications include enabling seamless communication for federal agents and support staff, enhancing their ability to perform duties.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in due to the long contract duration and significant value.
Risk of over-provisioning or under-utilization of services if needs change significantly over the contract term.
Dependence on a single provider for critical communication infrastructure.

Positive Signals

Awarded through full and open competition, suggesting a competitive process.
Firm Fixed Price contract type provides cost predictability.
BPA Call award mechanism may indicate efficient procurement leveraging existing agreements.

Sector Analysis

This contract falls within the telecommunications sector, specifically wireless mobile services. The market for enterprise wireless solutions is large and competitive, with major carriers like AT&T, Verizon, and T-Mobile vying for government contracts. Federal spending in this area is substantial, driven by the need for secure and reliable communication for a wide range of agencies. This contract represents a significant portion of federal spending on wireless mobility services for law enforcement.

Small Business Impact

The provided data does not indicate any specific small business set-asides for this contract. As a large-scale telecommunications agreement, it is likely that AT&T Mobility LLC will be the primary awardee. However, the contract may include provisions for subcontracting opportunities, potentially benefiting small businesses within the telecommunications supply chain. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

Oversight for this contract would typically reside with the U.S. Marshals Service and the Department of Justice's procurement and contracting offices. Performance monitoring, service level agreement adherence, and financial accountability are key oversight mechanisms. Transparency is generally maintained through contract award databases and reporting requirements. 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 service contracts
Telecommunications infrastructure spending
Federal Information Technology Acquisition Reform Act (FITARA) related spending

Risk Flags

Long contract duration
High contract value
Dependence on single vendor for critical services

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $9,876.31 to ATT MOBILITY LLC. SER -TOG-- FY23-26 AT&T MOBILITY SERVICES

Who is the contractor on this award?

The obligated recipient is ATT MOBILITY LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (U.S. Marshals Service).

What is the total obligated amount?

The obligated amount is $9,876.31.

What is the period of performance?

Start: 2023-06-01. End: 2026-07-31.

What is the historical spending pattern for wireless mobility services by the Department of Justice and the U.S. Marshals Service?

Analyzing historical spending patterns for wireless mobility services by the Department of Justice (DOJ) and specifically the U.S. Marshals Service (USMS) is crucial for contextualizing the current $9.88 billion contract. While precise historical figures for this specific service category are not provided in the summary data, federal agencies typically have ongoing needs for mobile communication. Spending in this area has likely been consistent, potentially increasing over time with the adoption of more advanced mobile technologies and a larger workforce requiring connectivity. Previous contracts, whether through GSA schedules or direct procurements, would have established baseline costs. Understanding the trend of increasing or decreasing spending, and the reasons behind it (e.g., expansion of services, new technologies, changes in user base), provides a vital benchmark for assessing the current contract's value and necessity. Without specific historical data, it's difficult to definitively state if this $9.88 billion represents an increase, decrease, or stable level of investment compared to prior periods.

How does the pricing structure within this AT&T Mobility contract compare to market rates for similar enterprise wireless services?

The pricing structure within this AT&T Mobility contract, being a Firm Fixed Price (FFP) award under a BPA Call, aims for cost predictability. To assess its competitiveness against market rates for similar enterprise wireless services, a detailed analysis of the specific services, data allowances, device types, and included features would be necessary. AT&T, as a major carrier, likely offers competitive enterprise rates. However, the sheer scale of this $9.88 billion contract suggests potential for volume discounts. Benchmarking would involve comparing the per-unit costs (e.g., per line, per GB of data) against publicly available enterprise rate plans or other federal contracts awarded through competitive processes. Factors like service level agreements (SLAs), included support, and geographic coverage nuances also influence price. Without access to the detailed pricing schedule, a definitive comparison is challenging, but the full and open competition award mechanism suggests an effort to secure market-competitive pricing.

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

Key performance indicators (KPIs) and service level agreements (SLAs) are critical components of any large telecommunications contract to ensure service quality and accountability. For this AT&T Mobility contract, typical KPIs would likely include network uptime/availability, data speeds, call completion rates, latency, and customer support response times. SLAs define the minimum acceptable performance levels for these KPIs, often with financial penalties (service credits) for the contractor if they are not met. The U.S. Marshals Service, as the primary agency, would be responsible for monitoring these metrics through regular reporting from AT&T, network performance tools, and user feedback. Contract officers and technical points of contact would oversee compliance. The effectiveness of oversight depends on the clarity of the SLAs, the robustness of the monitoring systems, and the diligence of the government's performance management team.

What is the potential impact of this contract on AT&T's overall business and its competitive position in the federal market?

This $9.88 billion contract represents a significant revenue stream for AT&T Mobility LLC and solidifies its position as a major provider of wireless telecommunications services to the U.S. federal government. Such a large award enhances AT&T's reputation and market share within the public sector, potentially serving as a reference for future large-scale contracts. It demonstrates their capability to meet the demanding requirements of federal agencies, including security, reliability, and scale. The long duration (FY23-26) provides revenue stability. This contract's success could also influence AT&T's investment in network infrastructure and service offerings tailored to government needs. Conversely, it also places AT&T under intense scrutiny regarding performance and cost management, as any failures could damage their standing and lead to future contract losses.

Are there any identified risks associated with the long duration and substantial value of this contract?

Yes, there are several identified risks associated with the long duration (approximately 3 years) and substantial value ($9.88 billion) of this contract. Firstly, technological obsolescence is a significant risk; wireless technology evolves rapidly, and services procured today might be outdated or less efficient by the end of the contract term. Secondly, the substantial value increases the financial risk if services are not utilized as expected or if costs escalate beyond projections, despite the FFP structure. Thirdly, vendor lock-in is a concern; the significant investment and integration with AT&T's services might make it difficult and costly for the government to switch providers in the future, potentially reducing leverage in subsequent negotiations. Finally, the long-term dependence on a single provider for critical communication infrastructure introduces operational risk if AT&T experiences widespread service disruptions or security breaches.

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

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: $9,896

Exercised Options: $9,896

Current Obligation: $9,876

Actual Outlays: $2,753

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 15F06720A0001516

IDV Type: BPA

Timeline