DHS Awards $50.7M for Computer Systems Design to Anduril Industries, Inc
Contract Overview
Contract Amount: $50,734,263 ($50.7M)
Contractor: Anduril Industries, Inc.
Awarding Agency: Department of Homeland Security
Start Date: 2025-09-19
End Date: 2026-09-18
Contract Duration: 364 days
Daily Burn Rate: $139.4K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: AWARD
Place of Performance
Location: COSTA MESA, ORANGE County, CALIFORNIA, 92626
Plain-Language Summary
Department of Homeland Security obligated $50.7 million to ANDURIL INDUSTRIES, INC. for work described as: AWARD Key points: 1. Significant award to a single contractor for specialized IT services. 2. Competition method suggests potential for better pricing and innovation. 3. Focus on border security systems highlights a critical national interest area. 4. Fixed-price contract type aims to control costs for the government.
Value Assessment
Rating: good
The award value of $50.7M for a 364-day contract appears reasonable for specialized computer systems design services. Benchmarking against similar large-scale IT contracts would provide further context on its competitiveness.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a competitive process was utilized. This method generally promotes price discovery and ensures the government receives the best value.
Taxpayer Impact: The competitive award aims to ensure taxpayer funds are used efficiently for essential border security technology.
Public Impact
Enhances U.S. Customs and Border Protection's technological capabilities. Supports national security efforts at the border. Potential for advanced surveillance and data processing systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration is just under one year, requiring potential future re-competition.
- Reliance on a single vendor for critical systems.
- Specific details on system capabilities are not provided.
Positive Signals
- Awarded through full and open competition.
- Firm fixed-price contract type.
- Supports a critical government function.
Sector Analysis
This award falls within the IT sector, specifically computer systems design services. Spending in this area is substantial across federal agencies, with significant investments in cybersecurity, data analytics, and system modernization.
Small Business Impact
The contract was awarded to Anduril Industries, Inc., a known entity in defense technology. There is no indication of small business participation in this specific award, which is common for large, specialized contracts.
Oversight & Accountability
The Department of Homeland Security, specifically U.S. Customs and Border Protection, is responsible for oversight. The firm fixed-price contract type provides a degree of cost control, but ongoing performance monitoring is crucial.
Related Government Programs
- Computer Systems Design Services
- Department of Homeland Security Contracting
- U.S. Customs and Border Protection Programs
Risk Flags
- Vendor Lock-in Potential
- Technology Obsolescence Risk
- Dependence on Single Source for Critical Systems
- Need for Ongoing Performance Monitoring
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 $50.7 million to ANDURIL INDUSTRIES, INC.. AWARD
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 $50.7 million.
What is the period of performance?
Start: 2025-09-19. End: 2026-09-18.
What is the specific nature of the computer systems design services being procured, and how do they align with current border security needs?
The contract specifies 'Computer Systems Design Services' (NAICS 541512). While the data doesn't detail the exact systems, it's reasonable to infer these services support advanced surveillance, data integration, or operational command and control systems for U.S. Customs and Border Protection. The alignment with border security needs is implied by the awarding agency and the critical nature of their mission.
What are the potential risks associated with relying on Anduril Industries for these critical systems, given their specialized nature?
Potential risks include vendor lock-in, where the government becomes overly dependent on a single provider, making future transitions difficult or costly. There's also a risk related to the rapid evolution of technology; the procured systems might become outdated quickly. Ensuring robust performance standards and contingency plans for service disruptions or security vulnerabilities is paramount.
How effectively will this contract contribute to the overall mission of U.S. Customs and Border Protection in terms of operational efficiency and security?
The effectiveness hinges on the successful implementation and integration of the designed systems. If the systems enhance data analysis, improve real-time situational awareness, or streamline operational workflows, they will significantly contribute to CBP's mission. Regular performance reviews and user feedback will be crucial to gauge and ensure the contract's effectiveness in bolstering border security.
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: $50,734,263
Exercised Options: $50,734,263
Current Obligation: $50,734,263
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 70B02C20D00000019
IDV Type: IDC
Timeline
Start Date: 2025-09-19
Current End Date: 2026-09-18
Potential End Date: 2027-06-18 00:00:00
Last Modified: 2026-04-13
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