DHS Awards $37M for Computer Systems Design to Anduril Industries, Inc
Contract Overview
Contract Amount: $37,029,943 ($37.0M)
Contractor: Anduril Industries, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2024-08-28
End Date: 2026-05-30
Contract Duration: 640 days
Daily Burn Rate: $57.9K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: DO# 17
Place of Performance
Location: COSTA MESA, ORANGE County, CALIFORNIA, 92626
Plain-Language Summary
Department of Homeland Security obligated $37.0 million to ANDURIL INDUSTRIES, INC. for work described as: DO# 17 Key points: 1. Anduril Industries, Inc. secured a significant contract for computer systems design services. 2. The contract was awarded under full and open competition after exclusion of sources. 3. This award represents a substantial investment in IT infrastructure for U.S. Customs and Border Protection. 4. The fixed-price contract structure aims to control costs for the duration of the delivery order.
Value Assessment
Rating: good
The contract value of $37M for a 640-day duration appears reasonable for complex computer systems design services. Benchmarking against similar large-scale IT projects would provide further context.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The 'full and open competition after exclusion of sources' indicates a competitive process was initiated, but specific sources were excluded. This method can lead to competitive pricing if the exclusion criteria are justified and the remaining pool is sufficiently competitive.
Taxpayer Impact: Taxpayer funds are being utilized for essential IT services to support border security operations. The competitive nature of the award is intended to ensure value for money.
Public Impact
Enhances U.S. Customs and Border Protection's technological capabilities. Supports national security through advanced computer systems. Potential for job creation within the IT sector. Ensures modernization of critical government infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in if specialized systems are developed.
- Complexity of integrating new systems with existing infrastructure.
Positive Signals
- Award to a known entity in the defense technology space.
- Fixed-price contract provides cost certainty.
- Competition, even with exclusions, suggests a degree of market vetting.
Sector Analysis
The IT sector, particularly in government contracting, is characterized by rapid innovation and significant investment. This contract aligns with the trend of agencies modernizing their digital infrastructure to meet evolving operational demands.
Small Business Impact
The contract was awarded to Anduril Industries, Inc., a large business. There is no indication of subcontracting opportunities for small businesses within this specific award notice.
Oversight & Accountability
The Department of Homeland Security, specifically U.S. Customs and Border Protection, is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms are expected to be in place.
Related Government Programs
- Computer Systems Design Services
- Department of Homeland Security Contracting
- U.S. Customs and Border Protection Programs
Risk Flags
- Lack of clarity on source exclusion rationale.
- Potential for cost overruns if scope expands beyond initial design.
- Integration challenges with legacy systems.
- Dependence on a single vendor for critical system design.
Tags
computer-systems-design-services, department-of-homeland-security, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $37.0 million to ANDURIL INDUSTRIES, INC.. DO# 17
Who is the contractor on this award?
The obligated recipient is ANDURIL INDUSTRIES, INC..
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).
What is the total obligated amount?
The obligated amount is $37.0 million.
What is the period of performance?
Start: 2024-08-28. End: 2026-05-30.
What specific computer systems design services are being procured, and how do they align with current and future CBP operational needs?
The contract specifies 'Computer Systems Design Services' under NAICS code 541512. While the exact nature of the systems is not detailed, it likely involves the design, development, and integration of software and hardware solutions to enhance border security, data processing, and surveillance capabilities for U.S. Customs and Border Protection.
What was the rationale for excluding certain sources in the 'full and open competition after exclusion of sources' process, and did this exclusion impact the final price?
The rationale for excluding sources is not provided in this data. Typically, exclusions are based on specific technical requirements, security clearances, or past performance. The impact on price is difficult to ascertain without knowing the competitive landscape before and after exclusions, but it could potentially limit competition and influence the final bid.
How will the effectiveness of the designed computer systems be measured to ensure they meet the intended objectives for CBP?
Effectiveness will likely be measured through performance metrics defined in the contract, such as system uptime, data processing speed, accuracy of outputs, and successful integration with existing CBP platforms. Regular testing, user acceptance trials, and post-implementation reviews will be crucial for validating the system's performance against its intended objectives.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1375 SUNFLOWER AVE, COSTA MESA, CA, 92626
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $37,029,943
Exercised Options: $37,029,943
Current Obligation: $37,029,943
Actual Outlays: $3,650,320
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70B02C20D00000019
IDV Type: IDC
Timeline
Start Date: 2024-08-28
Current End Date: 2026-05-30
Potential End Date: 2026-05-30 00:00:00
Last Modified: 2026-02-27
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