FOR RELEASE: Friday, October 6, 2000
EDS Awarded $6.9 Billion Navy Marine Corps Intranet Contract; Largest Government
Information Technology Pact Ever
Contract Represents Major Shift In Federal Procurement As Government Agencies
Move Toward e-Business
Contacts:
Bill Ritz -- EDS
Tel: 1 703 742 1307
E-mail: bill.ritz@eds.com
Jeff Baum -- EDS
Tel: 1 972 797 9495
E-mail: jeffrey.baum@eds.com
PLANO, Texas -- The Navy and Marine Corps today announced the award of their
landmark Intranet contract to EDS [NYSE: EDS]. The announcement marks the
largest federal information technology contract in history, valued at more than
$4.1 billion for five years. With an additional three-year option, the contract
is valued at more than $6.9 billion.
“This contract signals a major shift in the way the Navy and Marine Corps use
technology to become more efficient, and we expect other federal agencies to
follow suit,” said EDS Chairman and CEO Dick Brown. “Beginning with this
contract, the federal government is well on its way toward employing the best
practices from the commercial sector to improve defense readiness while
increasing savings for American taxpayers.”
Through the agreement, EDS and its partners with the Navy and Marine Corps will
improve the onshore information technology services for Department of the Navy
civilians, sailors and marines. Through consolidation, enhanced technology and
enterprise-wide centralized management, this performance-based contract will
increase the quality of service at the 300 Navy and Marine Corps bases
throughout the U.S., Iceland, Puerto Rico, Guam, Hawaii and Guantanamo Bay,
Cuba, while at the same time significantly reducing costs.
“This is a great triumph for EDS, the Navy and Marine Corps and the American
taxpayer,” Brown said. “The Navy and Marine Corps will receive world-class
voice, video and data services through a Department of the Navy-EDS partnership
that will improve their information technology abilities and overall readiness.
The services also will be secure as a result of implementing cutting-edge
information assurance tools and processes. In addition, the American taxpayer
will see greater productivity and reduced costs.
“Desktop seat management has been used by private industry to reduce costs for a
number of years,” said Brown. “I commend the Navy and Marine Corps for
recognizing the improved productivity, security and savings potential of such a
system and being the first in the federal government to implement it
department-wide. Through this contract, EDS is helping a major public sector
customer meet its e-government goals.”
The Information Strike Force, the name of the EDS-led team, includes principal
partners Raytheon Co., WorldCom and WAM!NET. All four firms will work with the
Navy and Marine Corps in a partnership that will share cost savings. In
addition, the Information Strike Force will subcontract 40 percent of the work
to small businesses and minority- and women-owned businesses.
“The EDS team consists of a group of world-class companies that provides the
best solutions in commercial practice around the world,” said Bill Dvoranchik,
president, EDS Federal.
The Navy Marine Corps Intranet contract is among the largest contracts in the
history of EDS, which today manages more than 2.2 million desktops for
government and commercial customers around the world.
EDS is a recognized global leader in providing E-business and information
technology services to 9,000 business and government clients in about 55
countries around the world. Having founded the IT services industry more than 35
years ago, EDS delivers high value management consulting, electronic business
solutions, business process management, and systems and technology expertise to
help clients simplify complexity and achieve superior value in the digital
economy.
The company brings deep industry practice knowledge to solve challenges in a
wide variety of industries, including communications, energy and chemicals,
financial services, government, healthcare, products and retailing, and travel
and transportation. EDS reported revenues of $18.5 billion in 1999. The
company’s stock is traded on the New York Stock Exchange (NYSE:EDS) and the
London Stock Exchange.
To download the EDS logo or a photo of EDS Chairman and CEO Dick Brown, click
on: eds.com.
Audio from EDS Federal President Bill Dvoranchik is available at 1 703 742 2169. |
