DOT's FAA Awards $74M Commvault Cloud Renewal to Red River Technology LLC

Contract Overview

Contract Amount: $74,034 ($74.0K)

Contractor: RED River Technology LLC

Awarding Agency: Department of Transportation

Start Date: 2026-04-09

End Date: 2027-05-13

Contract Duration: 399 days

Daily Burn Rate: $186/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: COMMVAULT CLOUD RENEWAL FOR ESC

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73169

State: Oklahoma Government Spending

Plain-Language Summary

Department of Transportation obligated $74,034 to RED RIVER TECHNOLOGY LLC for work described as: COMMVAULT CLOUD RENEWAL FOR ESC Key points: 1. Significant contract value of $74 million for cloud services. 2. Competition method is 'Full and Open', suggesting broad market access. 3. Potential risk in vendor lock-in for critical cloud infrastructure. 4. Sector is IT, specifically data management and cloud solutions.

Value Assessment

Rating: fair

The contract value of $74 million for a cloud renewal appears substantial. Benchmarking against similar large-scale cloud service contracts is necessary to assess if the pricing is competitive, especially given the firm fixed-price structure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically fosters competitive pricing. However, the specific impact on price discovery for this renewal depends on the number and quality of bids received.

Taxpayer Impact: Taxpayer funds are being used for essential IT infrastructure. Competitive bidding aims to ensure value for money, but ongoing monitoring is needed to confirm cost-effectiveness over the contract's life.

Public Impact

Ensures continued operation of critical FAA systems reliant on Commvault cloud services. Supports data management and storage capabilities for the Federal Aviation Administration. Potential for cost savings if competitive bidding drives down renewal prices. Impacts IT service providers in the cloud and data management sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in future renewals.
Dependence on a single vendor for critical cloud services.
Ensuring data security and compliance with cloud provider.

Positive Signals

Awarded through full and open competition.
Firm fixed-price contract provides cost certainty.
Long-term renewal ensures service continuity.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on cloud-based data management solutions. Spending in this area is critical for government modernization, with benchmarks varying widely based on service scope and scale.

Small Business Impact

While awarded to Red River Technology LLC, the data does not specify if small businesses were involved as subcontractors. Further analysis would be needed to determine the extent of small business participation in this large IT contract.

Oversight & Accountability

The contract is subject to standard federal procurement oversight. The FAA's contracting office is responsible for ensuring compliance and performance, with potential for review by oversight bodies like the Government Accountability Office (GAO).

Related Government Programs

Electronic Computer Manufacturing
Department of Transportation Contracting
Federal Aviation Administration Programs

Risk Flags

Potential for vendor lock-in.
Reliance on a single cloud service provider.
Need for ongoing cost-effectiveness assessment.
Data security and compliance in a cloud environment.
Ensuring service continuity and performance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $74,034 to RED RIVER TECHNOLOGY LLC. COMMVAULT CLOUD RENEWAL FOR ESC

Who is the contractor on this award?

The obligated recipient is RED RIVER TECHNOLOGY LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Federal Aviation Administration).

What is the total obligated amount?

The obligated amount is $74,034.

What is the period of performance?

Start: 2026-04-09. End: 2027-05-13.

What is the specific scope of Commvault cloud services being renewed, and how does it align with current FAA operational needs?

The provided data identifies the contract as a 'COMMVAULT CLOUD RENEWAL FOR ESC'. While 'ESC' might refer to a specific system or program, the exact scope of cloud services (e.g., backup, disaster recovery, data archiving) and their direct alignment with current FAA operational requirements are not detailed. Further documentation would be needed to ascertain the precise services and their criticality.

How does the per-unit cost of this renewal compare to previous Commvault contracts or industry benchmarks for similar cloud services?

The data lacks specific per-unit cost information and historical pricing for comparison. While the total award is $74 million, breaking this down into per-unit costs for specific cloud services (like storage per TB, or per user license) is not possible. Benchmarking against industry standards for comparable Commvault services would require access to detailed pricing structures and market data.

What measures are in place to mitigate risks associated with vendor lock-in and ensure data portability if the FAA decides to switch providers in the future?

The contract details do not explicitly mention provisions for data portability or mitigation of vendor lock-in. Standard federal acquisition regulations often encourage such clauses, but their inclusion and effectiveness depend on contract negotiation. The FAA should ensure that contract terms allow for data extraction and migration to prevent future lock-in and maintain flexibility.

Industry Classification

NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing

Product/Service Code: IT AND TELECOM - DATA CENTER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 21 WATER ST STE 500, CLAREMONT, NH, 03743

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $74,034

Exercised Options: $74,034

Current Obligation: $74,034

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 692M1519D00014

IDV Type: IDC

Timeline