GSA awards $16M for AF eLearning LMS Support to Skillsoft, highlighting software publishing sector spending

Contract Overview

Contract Amount: $15,965,385 ($16.0M)

Contractor: Skillsoft (US) LLC

Awarding Agency: General Services Administration

Start Date: 2021-11-01

End Date: 2026-10-30

Contract Duration: 1,824 days

Daily Burn Rate: $8.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: AF ELEARNING LMS SUPPORT

Place of Performance

Location: SCOTT AFB, SAINT CLAIR County, ILLINOIS, 62225

State: Illinois Government Spending

Plain-Language Summary

General Services Administration obligated $16.0 million to SKILLSOFT (US) LLC for work described as: AF ELEARNING LMS SUPPORT Key points: 1. Contract value of $15.96M over 5 years suggests a significant investment in learning management systems. 2. The award to Skillsoft, a known entity in software publishing, indicates a focus on established providers. 3. A firm-fixed-price contract type aims to control costs and provide budget certainty for the government. 4. The duration of 1824 days (approx. 5 years) points to a long-term need for these services. 5. The contract falls under the Software Publishers NAICS code, placing it within a specific technology market segment.

Value Assessment

Rating: good

The contract value of approximately $16 million over five years for eLearning LMS support appears reasonable given the scope of supporting Air Force training needs. Benchmarking against similar large-scale government learning management system contracts suggests this price point is within expected ranges for comprehensive solutions. The firm-fixed-price structure further aids in cost predictability, though detailed cost breakdowns are not publicly available to assess granular value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The presence of 3 bids suggests a moderate level of competition for this requirement. While not an extremely high number of bidders, full and open competition generally fosters a more competitive environment than limited or sole-source procurements, potentially leading to better pricing and service offerings.

Taxpayer Impact: Taxpayers benefit from the assurance that the government sought the best possible solution through a competitive process, rather than potentially overpaying through a less competitive method.

Public Impact

The primary beneficiaries are Air Force personnel who will receive enhanced training and professional development through the supported eLearning platform. The contract delivers essential services for managing and delivering digital learning content, crucial for modern military readiness and skill development. The geographic impact is nationwide, supporting Air Force installations and personnel across various locations. Workforce implications include the potential for continued employment for Skillsoft staff and support personnel involved in the LMS operations and maintenance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed performance metrics in the award data makes it difficult to assess the effectiveness of the LMS.
The contract value, while seemingly reasonable, does not provide enough detail to ascertain if it represents the absolute best value or if efficiencies could be achieved.
Reliance on a single vendor for a critical system like an LMS could pose risks if the vendor experiences financial instability or strategic shifts.

Positive Signals

Awarded under full and open competition, suggesting a robust vetting of available solutions.
Firm-fixed-price contract type provides cost certainty and reduces the risk of cost overruns for the government.
The contract duration indicates a stable, long-term commitment, allowing for consistent service delivery and system development.

Sector Analysis

The Software Publishers (NAICS 511210) sector encompasses companies that develop and publish software. This contract for a Learning Management System (LMS) falls squarely within this domain, as LMS platforms are sophisticated software solutions designed for educational and training purposes. Government spending in this sector is substantial, driven by the need for digital transformation and efficient service delivery across agencies. Comparable spending benchmarks would involve analyzing other large government contracts for enterprise software, cloud-based solutions, and specialized training platforms.

Small Business Impact

This contract does not appear to have a small business set-aside (sb: false). There is no explicit information regarding subcontracting plans for small businesses. Without specific set-aside goals or subcontracting requirements, the direct impact on the small business ecosystem for this particular award is likely minimal, though the prime contractor may engage small businesses as part of their broader supply chain.

Oversight & Accountability

Oversight for this contract is likely managed by the General Services Administration (GSA) through its Federal Acquisition Service, which awarded the contract. Accountability measures are inherent in the firm-fixed-price contract type, requiring the contractor to deliver specified services within the agreed budget. Transparency is facilitated by the public nature of contract awards, though detailed performance reports and internal operational oversight mechanisms are typically not publicly disclosed.

Related Government Programs

Air Force Training Systems
Defense Education and Training
Government Learning Management Systems
Federal Software Procurement
GSA Schedule Contracts

Risk Flags

Potential for vendor lock-in
Data security and privacy concerns
Risk of technological obsolescence
Dependence on contractor performance

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $16.0 million to SKILLSOFT (US) LLC. AF ELEARNING LMS SUPPORT

Who is the contractor on this award?

The obligated recipient is SKILLSOFT (US) LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $16.0 million.

What is the period of performance?

Start: 2021-11-01. End: 2026-10-30.

What is the historical spending pattern for eLearning LMS support within the Air Force or GSA?

Analyzing historical spending for eLearning LMS support within the Air Force or GSA would require access to detailed historical contract databases. However, general trends indicate a significant and growing investment in digital learning solutions across the federal government. Agencies are increasingly shifting from traditional classroom training to online platforms to enhance accessibility, reduce costs, and provide standardized, up-to-date training. This trend is driven by technological advancements, the need for continuous learning in evolving operational environments, and the desire for more efficient training delivery. Specific dollar amounts would vary year-to-year based on contract renewals, new system procurements, and the scope of services required. For instance, major system upgrades or expansions could lead to spikes in spending during specific fiscal years.

How does the per-unit cost of this contract compare to similar government or commercial LMS solutions?

Determining the precise per-unit cost for this contract is challenging without knowing the specific units of measure (e.g., per user, per course, per module) and the total number of users or services delivered. Government contracts, especially those awarded under full and open competition, aim for competitive pricing. However, direct comparisons are often difficult due to variations in service scope, included features, support levels, and contract duration. Commercial LMS solutions can range widely in price depending on the vendor, features, and scale. Large enterprise solutions can cost tens to hundreds of dollars per user annually. For government contracts, the goal is to achieve value for money through competition, but the complexity and specific requirements of federal systems can lead to different pricing structures than commercial off-the-shelf products.

What is Skillsoft's track record with government contracts, particularly for LMS solutions?

Skillsoft (US) LLC has a significant presence in the government contracting space, particularly in providing learning and talent development solutions. They are a well-established vendor in the eLearning market, offering a broad range of content and technology platforms. Their track record with government contracts includes numerous awards across various agencies, often through GSA Schedules or other competitive vehicles. For LMS solutions, Skillsoft has historically provided platforms that support large-scale training initiatives. Assessing their specific track record for this particular Air Force contract would involve reviewing past performance evaluations, if publicly available, and examining the history of their service delivery on similar contracts. Generally, their continued success in winning government bids suggests a satisfactory performance history and a strong understanding of federal procurement requirements.

What are the key performance indicators (KPIs) used to measure the success of this eLearning LMS support contract?

The provided data does not specify the Key Performance Indicators (KPIs) for this contract. However, typical KPIs for an eLearning LMS support contract would likely include metrics related to system uptime and availability, user engagement and completion rates for training modules, content relevance and accuracy, help desk response and resolution times, and overall user satisfaction. For a military application like the Air Force, KPIs might also extend to the effectiveness of training in improving mission readiness, skill proficiency, and compliance with regulations. The firm-fixed-price nature of the contract implies that the contractor is responsible for meeting defined service levels, and failure to do so could result in penalties or contract remedies, although the specifics would be detailed in the contract's Performance Work Statement (PWS).

Are there any identified risks associated with this contract, such as vendor lock-in or data security concerns?

Potential risks associated with this contract could include vendor lock-in, where the Air Force becomes heavily reliant on Skillsoft's proprietary platform, making future transitions to different systems costly and complex. Data security is another critical concern, as an LMS often contains sensitive personal and training data. The government must ensure that Skillsoft adheres to stringent federal data security standards (e.g., NIST guidelines) and maintains robust cybersecurity measures to protect against breaches. Furthermore, the long-term nature of the contract (5 years) introduces a risk of technological obsolescence if the platform does not evolve with emerging learning technologies. The firm-fixed-price structure, while good for cost control, could also incentivize the vendor to minimize service delivery if not carefully monitored through performance metrics.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QFLA21Q0415

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 300 INNOVATIVE WAY STE 2210, NASHUA, NH, 03062

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $20,390,654

Exercised Options: $20,390,654

Current Obligation: $15,965,385

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA19D002B

IDV Type: FSS

Timeline