State Department's $23.9M wireless contract awarded to AT&T Mobility LLC for 12 months

Contract Overview

Contract Amount: $23,930,434 ($23.9M)

Contractor: ATT Mobility LLC

Awarding Agency: Department of State

Start Date: 2023-01-01

End Date: 2023-12-30

Contract Duration: 363 days

Daily Burn Rate: $65.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WIRELESS SERVICES - 6 MONTH TASK ORDER

Place of Performance

Location: BROOKHAVEN, DEKALB County, GEORGIA, 30319

State: Georgia Government Spending

Plain-Language Summary

Department of State obligated $23.9 million to ATT MOBILITY LLC for work described as: WIRELESS SERVICES - 6 MONTH TASK ORDER Key points: 1. Contract value represents a significant investment in essential communication infrastructure. 2. AT&T Mobility LLC, a major telecommunications provider, secured this award. 3. The contract duration of approximately one year suggests a need for ongoing wireless services. 4. Awarded under full and open competition, indicating a broad market solicitation. 5. The fixed-price contract type aims to provide cost certainty for the government. 6. Services are categorized under Wireless Telecommunications Carriers, a critical infrastructure sector.

Value Assessment

Rating: good

The contract value of approximately $23.9 million for a 12-month period for wireless services appears reasonable given the scale of operations for a federal agency like the Department of State. Benchmarking against similar large-scale government wireless contracts would provide a more precise value-for-money assessment. However, AT&T is a primary provider in this space, and the fixed-price nature suggests a degree of cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple vendors were likely solicited and had the opportunity to bid. The presence of a single award indicates that AT&T Mobility LLC was selected as the most advantageous offer. The level of competition, while not explicitly detailed by the number of bidders, is generally expected to drive competitive pricing.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically leads to more competitive pricing and a wider range of service options, ensuring the government receives the best value for its investment.

Public Impact

Provides essential wireless communication services to the Department of State. Supports the operational needs of government personnel, potentially including diplomatic and security functions. Ensures reliable connectivity for domestic and potentially international operations. Facilitates communication critical for national security and foreign policy objectives. Impacts the workforce by providing the tools necessary for effective communication and task completion.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if transition to a new provider is complex.
Reliance on a single provider for critical communication infrastructure carries inherent risks.
Ensuring consistent service quality and coverage across all operational areas is crucial.

Positive Signals

Award to a major, established provider like AT&T suggests a high likelihood of reliable service.
Fixed-price contract offers budget predictability.
Full and open competition indicates a robust selection process.

Sector Analysis

This contract falls within the telecommunications sector, specifically wireless services. The market for enterprise wireless solutions is dominated by a few large providers, including AT&T, Verizon, and T-Mobile. Government spending in this area is substantial, supporting the operational needs of various agencies. Comparable spending benchmarks would involve analyzing other large federal contracts for similar wireless services, which often run into tens or hundreds of millions of dollars annually.

Small Business Impact

As this contract was awarded under full and open competition to AT&T Mobility LLC, there is no explicit small business set-aside. However, large prime contractors like AT&T are often required to meet subcontracting goals with small businesses. The extent to which AT&T will utilize small businesses for subcontracting opportunities will determine the direct impact on the small business ecosystem for this specific award.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of State's contracting officers and program managers. They are responsible for monitoring performance, ensuring compliance with contract terms, and approving payments. Transparency is generally maintained through contract award databases, though specific performance metrics and detailed spending breakdowns may not always be publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Federal Information Technology Acquisition Reform Act (FITARA)
General Services Administration (GSA) Schedules
Telecommunications Services Contracts
Department of State IT Modernization Initiatives

Risk Flags

Potential for service disruption
Cybersecurity risks
Dependence on a single vendor

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $23.9 million to ATT MOBILITY LLC. WIRELESS SERVICES - 6 MONTH TASK ORDER

Who is the contractor on this award?

The obligated recipient is ATT MOBILITY LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $23.9 million.

What is the period of performance?

Start: 2023-01-01. End: 2023-12-30.

What is the historical spending pattern for wireless services by the Department of State?

Analyzing historical spending data for wireless services by the Department of State is crucial for understanding trends and identifying potential cost efficiencies. While specific historical figures for this exact contract are not provided, federal agencies typically have recurring needs for telecommunications. Examining past contract awards for similar wireless services, including the number of vendors involved, contract durations, and total values, can reveal whether spending has been consistent, increasing, or decreasing. This context helps in evaluating whether the current $23.9 million award represents a typical investment, a significant increase, or a decrease compared to previous periods. Understanding these patterns can also highlight any shifts in technology or service requirements that might justify changes in spending levels.

How does the per-user cost of this contract compare to other federal agencies or commercial rates?

Determining the per-user cost requires knowing the number of users supported by this contract, which is not provided in the data. However, if that information were available, a comparison could be made. For instance, if the contract supports 10,000 users, the per-user cost would be approximately $2,393 annually. This figure could then be benchmarked against per-user costs from other federal agencies procuring similar wireless services, or against commercial enterprise rates offered by AT&T and its competitors. Significant deviations from established benchmarks could indicate either exceptional value or potential overspending, prompting further investigation into service levels, included features, and negotiated discounts.

What are the specific performance metrics and service level agreements (SLAs) associated with this contract?

The provided data does not detail the specific performance metrics or Service Level Agreements (SLAs) for this wireless services contract. However, for a contract of this magnitude and importance to the Department of State, robust SLAs are typically expected. These would likely include metrics related to network uptime, data speeds, call quality, response times for technical support, and geographic coverage. The contract's fixed-price nature suggests that AT&T Mobility LLC is obligated to meet these defined performance standards. Failure to meet SLAs could result in penalties or reduced payments, providing a mechanism for oversight and ensuring the government receives the contracted level of service.

What is AT&T Mobility LLC's track record with the Department of State and other federal agencies?

AT&T Mobility LLC is a major telecommunications provider with extensive experience serving both commercial and government clients. Its track record with the Department of State and other federal agencies would likely be characterized by numerous prior contracts for wireless services, data networks, and other telecommunications solutions. A review of past performance evaluations, contract awards, and any reported issues or successes would provide insight into their reliability, responsiveness, and ability to meet government requirements. Given their market position, it is probable that AT&T has a substantial history of fulfilling large-scale federal contracts, though specific details of their performance on prior Department of State agreements would require deeper research into federal procurement databases and agency performance reports.

Are there any identified risks associated with AT&T Mobility LLC as a contractor for this service?

Risks associated with AT&T Mobility LLC as a contractor for this wireless services contract are generally low, given their status as a large, established telecommunications provider with a significant federal presence. However, potential risks could include service disruptions due to network outages (though typically mitigated by robust infrastructure and redundancy), cybersecurity vulnerabilities inherent in any networked service, or potential issues related to pricing if market conditions change significantly. Another consideration could be the long-term viability of specific service plans or the company's strategic focus. The Department of State would likely have assessed these risks during the procurement process and included mitigation strategies within the contract terms and SLAs.

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: 1

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: $25,730,434

Exercised Options: $23,930,434

Current Obligation: $23,930,434

Actual Outlays: $15,965,911

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA19D00MV

IDV Type: FSS

Timeline