DoD's $607M Elastic Program Enterprise License Agreement with FCN, Inc. awarded for Other Computer Related Services
Contract Overview
Contract Amount: $60,747,010 ($60.7M)
Contractor: FCN, Inc.
Awarding Agency: Department of Defense
Start Date: 2022-11-21
End Date: 2025-12-19
Contract Duration: 1,124 days
Daily Burn Rate: $54.0K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: ELASTIC PROGRAM ENTERPRISE LICENSE AGREEMENT
Place of Performance
Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20852
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $60.7 million to FCN, INC. for work described as: ELASTIC PROGRAM ENTERPRISE LICENSE AGREEMENT Key points: 1. Significant contract value of $607.47 million over its term. 2. Competition was full and open after exclusion of sources, suggesting a structured procurement process. 3. Risk appears moderate given the firm fixed price contract type and established vendor. 4. Spending is within the IT services sector, specifically 'Other Computer Related Services'.
Value Assessment
Rating: good
The contract value of $607.47 million for a period of approximately 3 years appears reasonable for enterprise-wide software licensing and support. Benchmarking against similar large-scale IT agreements would provide further context.
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 that allowed for multiple bidders after initial source identification. This method generally promotes price discovery and value for the government.
Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, maximizing taxpayer value for essential IT services.
Public Impact
Ensures continued access to critical Elastic software for Department of Defense operations. Supports Air Force's technological infrastructure and data management capabilities. Potential for cost savings through enterprise-wide licensing compared to individual purchases. Impacts IT service providers and software vendors in the competitive landscape.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in with enterprise licenses.
- Reliance on a single vendor for critical software infrastructure.
- Scope creep risk if not managed tightly.
Positive Signals
- Firm fixed price contract limits cost overruns.
- Competitive award process suggests value for money.
- Long-term agreement provides budget predictability.
Sector Analysis
This contract falls within the Information Technology sector, specifically 'Other Computer Related Services.' Spending benchmarks for similar enterprise software agreements vary widely based on scope and vendor, but $607M over three years for a major agency like the Air Force is substantial.
Small Business Impact
The data does not indicate specific participation or set-asides for small businesses in this large enterprise agreement. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.
Oversight & Accountability
The award was made by the Department of the Air Force, a component of the Department of Defense. Standard government oversight processes for contract performance, financial management, and compliance are expected to be in place.
Related Government Programs
- Other Computer Related Services
- Department of Defense Contracting
- Department of the Air Force Programs
Risk Flags
- High contract value.
- Reliance on a single software vendor.
- Potential for vendor lock-in.
- Complexity of enterprise-wide IT agreements.
- Need for ongoing performance monitoring.
Tags
other-computer-related-services, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $60.7 million to FCN, INC.. ELASTIC PROGRAM ENTERPRISE LICENSE AGREEMENT
Who is the contractor on this award?
The obligated recipient is FCN, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Air Force).
What is the total obligated amount?
The obligated amount is $60.7 million.
What is the period of performance?
Start: 2022-11-21. End: 2025-12-19.
What specific Elastic software products and services are covered under this enterprise license agreement?
The provided data does not specify the exact Elastic software products or services included. An enterprise license agreement typically covers a broad range of software licenses, maintenance, support, and potentially professional services. Detailed scope is crucial for assessing value and ensuring all needs are met.
How does the per-unit cost compare to previous Elastic agreements or commercial off-the-shelf pricing?
Without specific per-unit cost data or historical pricing information, a direct comparison is not possible. The total contract value of $607.47 million over approximately three years suggests significant volume. Benchmarking against commercial pricing and prior government contracts is essential for a thorough value assessment.
What mechanisms are in place to ensure the Air Force is leveraging the full capabilities of the Elastic platform?
The contract details do not specify oversight mechanisms for platform utilization. Effective utilization likely depends on internal Air Force program management, training initiatives, and potentially vendor-provided technical support or consulting services. Proactive management is key to maximizing ROI.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2600 TOWER OAKS BLVD STE 575, ROCKVILLE, MD, 20852
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $92,567,820
Exercised Options: $60,747,010
Current Obligation: $60,747,010
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SC71B
IDV Type: GWAC
Timeline
Start Date: 2022-11-21
Current End Date: 2025-12-19
Potential End Date: 2025-12-19 00:00:00
Last Modified: 2025-12-10
More Contracts from FCN, Inc.
- Broadcom Software License and Maint — $240.3M (Department of the Treasury)
- Base Award for IRS Cisco Catalog. Base Year 12 Months With Four 12-Month Option Periods — $233.1M (Department of the Treasury)
- Cisco Combined Services for the Internal Revenue Service User and Networks Service Organization (UNS) That Requires Consistent and Reliable Maintenance of the IRS Telecommunications Infrastructure — $129.2M (Department of the Treasury)
- Mcafee Software and Support Services — $82.2M (Department of Veterans Affairs)
- EA Bundle — $78.1M (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)