DoD Awards $106.6M Contract for Services Delivery Bridge to Empower AI, Inc
Contract Overview
Contract Amount: $106,558,220 ($106.6M)
Contractor: Empower AI, Inc.
Awarding Agency: Department of Defense
Start Date: 2024-03-30
End Date: 2026-01-29
Contract Duration: 670 days
Daily Burn Rate: $159.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: SERVICES DELIVERY BRIDGE
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20301
Plain-Language Summary
Department of Defense obligated $106.6 million to EMPOWER AI, INC. for work described as: SERVICES DELIVERY BRIDGE Key points: 1. Significant contract value of $106.6 million awarded. 2. Empower AI, Inc. is the sole awardee. 3. Contract falls under Administrative Management and General Management Consulting Services. 4. Potential for high impact on defense information systems delivery.
Value Assessment
Rating: fair
The contract value is substantial, but without specific performance metrics or benchmarks for similar services, a precise value assessment is difficult. The firm fixed-price structure provides cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method is generally expected to yield fair market prices.
Taxpayer Impact: Taxpayer funds are being utilized for critical defense information system support services.
Public Impact
Enhances critical defense information system capabilities. Supports administrative and management consulting services for the DoD. Impacts the operational efficiency of the Defense Information Systems Agency.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed performance metrics for value assessment.
- Single awardee may limit future competition opportunities.
- Potential for scope creep in consulting services.
Positive Signals
- Awarded under full and open competition.
- Firm fixed-price contract provides cost predictability.
- Supports critical defense infrastructure.
Sector Analysis
This contract falls within the professional services sector, specifically management consulting. Benchmarks for similar large-scale consulting contracts can vary widely based on scope and duration.
Small Business Impact
The data indicates that small business participation was not a specific consideration for this award, as the 'sb' field is false. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.
Oversight & Accountability
Oversight will be managed by the Defense Information Systems Agency (DISA). The firm fixed-price contract type provides a degree of accountability for the awarded amount.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Defense Contracting
- Defense Information Systems Agency Programs
Risk Flags
- Potential for vendor lock-in.
- Reliance on a single provider for critical services.
- Scope creep in consulting services.
- Limited visibility into specific performance metrics.
Tags
administrative-management-and-general-ma, department-of-defense, dc, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $106.6 million to EMPOWER AI, INC.. SERVICES DELIVERY BRIDGE
Who is the contractor on this award?
The obligated recipient is EMPOWER AI, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Information Systems Agency).
What is the total obligated amount?
The obligated amount is $106.6 million.
What is the period of performance?
Start: 2024-03-30. End: 2026-01-29.
What specific deliverables and performance standards are outlined in the contract to ensure effective service delivery and value for money?
The contract details are not fully provided in the summary data. However, a comprehensive Services Delivery Bridge contract typically includes specific deliverables such as project management, system integration, technical support, and operational assistance. Performance standards would likely be defined through Service Level Agreements (SLAs) and key performance indicators (KPIs) to measure the quality, timeliness, and effectiveness of the services provided, ensuring accountability and value for taxpayer funds.
What are the potential risks associated with a single award for a critical service like the Defense Information Systems Agency's bridge?
A single award for a critical service like the Defense Information Systems Agency's bridge carries risks of vendor lock-in, reduced leverage for future negotiations, and potential disruption if the vendor fails to perform or faces financial instability. It can also limit the infusion of innovative solutions that might come from a more competitive environment. Ensuring robust contract management and performance monitoring is crucial to mitigate these risks.
How does this contract contribute to the overall effectiveness and modernization goals of the Department of Defense's information systems?
This contract is intended to support the ongoing operations and potentially the modernization of critical defense information systems. By providing administrative management and general management consulting services, it aims to ensure the efficient functioning and strategic alignment of these systems with evolving defense needs. The effectiveness will depend on the quality of the consulting provided and its ability to address current challenges and future requirements.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - END USER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 11730 PLAZA AMERICA DR, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $134,878,835
Exercised Options: $107,919,331
Current Obligation: $106,558,220
Subaward Activity
Number of Subawards: 18
Total Subaward Amount: $37,792,651
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: GS00F263CA
IDV Type: FSS
Timeline
Start Date: 2024-03-30
Current End Date: 2026-01-29
Potential End Date: 2026-06-29 00:00:00
Last Modified: 2025-12-22
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