GSA Awards $554M Viasat Contract for Communications Equipment, Sole-Source
Contract Overview
Contract Amount: $5,544,147 ($5.5M)
Contractor: Viasat Inc
Awarding Agency: General Services Administration
Start Date: 2021-09-30
End Date: 2025-11-29
Contract Duration: 1,521 days
Daily Burn Rate: $3.6K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: JS VIASAT TO143 HQ USAFEAFAFRICAA3XS
Plain-Language Summary
General Services Administration obligated $5.5 million to VIASAT INC for work described as: JS VIASAT TO143 HQ USAFEAFAFRICAA3XS Key points: 1. Significant contract value of $554.4 million. 2. Sole-source award to Viasat Inc. raises competition concerns. 3. Contract duration extends to November 2025. 4. Focus on 'Other Communications Equipment Manufacturing' sector.
Value Assessment
Rating: questionable
The contract value is substantial, but without competition, it's difficult to assess if the pricing is optimal. Benchmarking against similar sole-source contracts for advanced communication equipment would be necessary.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive process.
Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for this specialized communication equipment.
Public Impact
Military readiness and communication capabilities are directly impacted by this equipment. Taxpayers may be overpaying due to the absence of competitive bidding. Dependence on a single vendor for critical communication infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- Long contract duration
Positive Signals
- Supports critical communication needs
- Established vendor relationship
Sector Analysis
This contract falls under 'Other Communications Equipment Manufacturing.' Spending in this sector can vary widely based on technological advancements and defense needs. Benchmarks are difficult without specific equipment details.
Small Business Impact
The data indicates this contract was not awarded to small businesses. Further analysis would be needed to determine if small businesses were considered or could have participated in any potential subcontracting opportunities.
Oversight & Accountability
The General Services Administration (GSA) managed this award. Oversight should focus on ensuring the justification for the sole-source award is robust and that pricing remains fair throughout the contract's life.
Related Government Programs
- Other Communications Equipment Manufacturing
- General Services Administration Contracting
- Federal Acquisition Service Programs
Risk Flags
- Sole-source award lacks competition.
- Potential for inflated pricing.
- Vendor dependency and supply chain risk.
- Limited transparency in price discovery.
Tags
other-communications-equipment-manufactu, general-services-administration, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
General Services Administration awarded $5.5 million to VIASAT INC. JS VIASAT TO143 HQ USAFEAFAFRICAA3XS
Who is the contractor on this award?
The obligated recipient is VIASAT INC.
Which agency awarded this contract?
Awarding agency: General Services Administration (Federal Acquisition Service).
What is the total obligated amount?
The obligated amount is $5.5 million.
What is the period of performance?
Start: 2021-09-30. End: 2025-11-29.
What is the specific justification for the sole-source award, and has it been independently verified?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of viable alternatives. Independent verification by contracting officers and potentially oversight bodies is crucial to ensure the government is not foregoing competitive advantages and is obtaining fair and reasonable pricing.
What are the risks associated with relying on a single vendor for critical communication equipment over a multi-year period?
Risks include potential price escalation, vendor lock-in, lack of innovation, and supply chain vulnerabilities. If Viasat faces production issues or significant price increases, the government's ability to secure necessary equipment at competitive terms could be severely compromised.
How does the performance and cost of this sole-source contract compare to similar, competitively awarded contracts for communication equipment?
Direct comparison is challenging due to the sole-source nature. However, analysis could involve benchmarking against contracts for comparable technologies awarded competitively, looking at price per unit, service levels, and overall value. Any significant deviations would warrant further investigation.
Industry Classification
NAICS: Manufacturing › Communications Equipment Manufacturing › Other Communications Equipment Manufacturing
Product/Service Code: IT AND TELECOM - NETWORK
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: 47QFLA21Q0445
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 6155 EL CAMINO REAL, CARLSBAD, CA, 92009
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $5,544,147
Exercised Options: $5,544,147
Current Obligation: $5,544,147
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 47QFLA19D0006
IDV Type: IDC
Timeline
Start Date: 2021-09-30
Current End Date: 2025-11-29
Potential End Date: 2025-11-29 00:00:00
Last Modified: 2026-02-03
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