DoD awards $11.97M for VMware Cloud Foundation to Carahsoft, highlighting software publisher needs
Contract Overview
Contract Amount: $11,970,054 ($12.0M)
Contractor: Carahsoft Technology Corp
Awarding Agency: Department of Defense
Start Date: 2025-08-15
End Date: 2026-08-05
Contract Duration: 355 days
Daily Burn Rate: $33.7K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: VMWARE CLOUD FOUNDATION
Place of Performance
Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $12.0 million to CARAHSOFT TECHNOLOGY CORP for work described as: VMWARE CLOUD FOUNDATION Key points: 1. Significant investment in cloud infrastructure software. 2. Carahsoft Technology Corp is a key reseller, indicating potential for further distribution. 3. Full and open competition suggests a competitive market for this type of software. 4. The contract supports the Defense Information Systems Agency, crucial for military IT operations.
Value Assessment
Rating: good
The award price of $11.97M for VMware Cloud Foundation appears reasonable given the software's complexity and the competitive bidding process. Benchmarking against similar large-scale enterprise software licenses would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and ensures fair market value.
Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving a fair price for essential cloud software.
Public Impact
Ensures critical IT infrastructure for the Department of Defense. Supports the modernization of defense information systems. Provides access to advanced cloud computing capabilities for military operations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in with specific cloud foundation software.
- Reliance on a single reseller (Carahsoft) for distribution.
- Need for ongoing cybersecurity vigilance for cloud environments.
Positive Signals
- Awarded through full and open competition.
- Supports a critical government agency (DISA).
- Addresses essential software needs for cloud infrastructure.
Sector Analysis
The IT sector, particularly software publishers, is a significant area of government spending. This award aligns with the trend of agencies investing in robust cloud solutions to enhance operational efficiency and security.
Small Business Impact
While Carahsoft Technology Corp is the prime contractor, the contract's full and open competition nature may have allowed small businesses to participate as subcontractors. Further analysis would be needed to confirm small business participation.
Oversight & Accountability
The award falls under a BPA Call, suggesting it leverages an existing framework agreement. Oversight will be crucial to ensure performance aligns with contract terms and that the software is effectively utilized.
Related Government Programs
- Software Publishers
- Department of Defense Contracting
- Defense Information Systems Agency Programs
Risk Flags
- Potential for cost overruns if scope expands.
- Dependency on a specific software vendor.
- Cybersecurity risks associated with cloud environments.
- Ensuring adequate technical expertise for management.
Tags
software-publishers, department-of-defense, md, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $12.0 million to CARAHSOFT TECHNOLOGY CORP. VMWARE CLOUD FOUNDATION
Who is the contractor on this award?
The obligated recipient is CARAHSOFT TECHNOLOGY CORP.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Information Systems Agency).
What is the total obligated amount?
The obligated amount is $12.0 million.
What is the period of performance?
Start: 2025-08-15. End: 2026-08-05.
What is the total cost of ownership for this VMware Cloud Foundation deployment over its lifecycle, including maintenance and support?
The total cost of ownership would encompass the initial award of $11.97M plus recurring costs for software maintenance, technical support, and potential future upgrades or expansions. Understanding these long-term expenses is crucial for accurate budgeting and assessing the overall value proposition beyond the initial purchase price.
How does the performance and security of this VMware Cloud Foundation solution compare to alternative cloud solutions available in the market?
A comprehensive comparison would involve evaluating key performance indicators like uptime, scalability, and data processing speeds against industry benchmarks and competitor offerings. Security assessments should focus on vulnerability management, compliance certifications (e.g., FedRAMP), and the provider's incident response capabilities to ensure it meets the DoD's stringent requirements.
What mechanisms are in place to ensure the effective utilization and integration of this VMware Cloud Foundation software within the DISA's existing IT infrastructure?
Effective utilization is typically ensured through detailed implementation plans, dedicated technical support from the vendor, and internal training for DISA personnel. Integration success relies on adherence to interoperability standards and robust testing phases to confirm seamless data flow and functionality with other critical systems.
Industry Classification
NAICS: Information › Software Publishers › Software Publishers
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 11493 SUNSET HILLS RD, 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: $126,745,580
Exercised Options: $11,970,054
Current Obligation: $11,970,054
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HC108425A0002
IDV Type: BPA
Timeline
Start Date: 2025-08-15
Current End Date: 2026-08-05
Potential End Date: 2030-08-05 00:00:00
Last Modified: 2026-03-11
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