State Department awards $139K for German cell service, with Telekom Deutschland as sole provider

Contract Overview

Contract Amount: $139,359 ($139.4K)

Contractor: Telekom Deutschland Gmbh

Awarding Agency: Department of State

Start Date: 2026-04-01

End Date: 2027-03-31

Contract Duration: 364 days

Daily Burn Rate: $383/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CELL PHONE SERVICES FOR US MISSION GERMANY

Plain-Language Summary

Department of State obligated $139,359.45 to TELEKOM DEUTSCHLAND GMBH for work described as: CELL PHONE SERVICES FOR US MISSION GERMANY Key points: 1. Value for money appears reasonable given the specialized nature of international telecommunications. 2. Competition was full and open, suggesting a competitive bidding process. 3. Risk indicators are low, with a fixed-price contract and clear delivery terms. 4. Performance context is a single delivery order for essential communication services. 5. Sector positioning is within the telecommunications services for government operations.

Value Assessment

Rating: good

The contract value of $139,359.45 for 364 days of service appears to be within a reasonable range for specialized international telecommunications. Benchmarking against similar contracts for overseas government communication services would provide further context, but the fixed-price nature suggests predictable costs. The award to Telekom Deutschland GmbH, a major provider in Germany, indicates a strategic choice for reliable service delivery in that region.

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. The specific number of bidders is not provided, but the designation suggests a robust process designed to solicit the best offers. This level of competition is generally expected to drive competitive pricing and ensure fair market value.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the most cost-effective solution for essential communication services abroad.

Public Impact

The U.S. Mission in Germany benefits from reliable cell phone services. Essential communication infrastructure is maintained for diplomatic and operational needs. The service impacts personnel operating within Germany. No significant workforce implications are directly tied to this specific contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Awarded under full and open competition.
Fixed-price contract type provides cost certainty.
Clear service period with defined start and end dates.
Contractor is a major telecommunications provider in the service region.

Sector Analysis

This contract falls within the telecommunications services sector, specifically focusing on wired telecommunications carriers. The market for international government telecommunications is specialized, often involving established providers with extensive infrastructure in foreign countries. Spending in this area is critical for maintaining diplomatic and operational communications abroad, with costs influenced by geographic location, service level agreements, and the competitive landscape within specific countries.

Small Business Impact

There is no indication that this contract involved small business set-asides or subcontracting opportunities. The award to a large, established telecommunications provider suggests that the primary focus was on securing specialized services rather than promoting small business participation.

Oversight & Accountability

Oversight for this contract would typically reside with the Department of State's contracting officers and program managers responsible for telecommunications services. Accountability is ensured through the fixed-price contract terms and the defined service delivery period. Transparency is facilitated by the public availability of contract award data.

Related Government Programs

Department of State Telecommunications Contracts
Overseas Government Communications Services
Wired Telecommunications Carrier Services

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $139,359.45 to TELEKOM DEUTSCHLAND GMBH. CELL PHONE SERVICES FOR US MISSION GERMANY

Who is the contractor on this award?

The obligated recipient is TELEKOM DEUTSCHLAND GMBH.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $139,359.45.

What is the period of performance?

Start: 2026-04-01. End: 2027-03-31.

What is the track record of Telekom Deutschland GmbH in providing services to U.S. government entities?

Telekom Deutschland GmbH is a major telecommunications provider in Germany, part of the Deutsche Telekom group. While specific details on their track record with U.S. government entities are not readily available in this dataset, their position as a primary provider in Germany suggests significant experience with large-scale infrastructure and service delivery. For a comprehensive assessment, one would need to review past performance evaluations and any available contract history with U.S. federal agencies, particularly regarding reliability, customer service, and adherence to security protocols relevant to government operations.

How does the awarded price compare to market rates for similar services in Germany?

Benchmarking the $139,359.45 award for 364 days of cell phone services against prevailing market rates in Germany requires detailed analysis of service plans, data allowances, call minutes, and geographic coverage. As a major provider, Telekom Deutschland GmbH likely offers competitive rates for its services. However, government contracts often include specific security and reliability requirements that can influence pricing. Without a direct comparison of service level agreements (SLAs) and specific features offered to the U.S. Mission versus standard commercial plans, a precise market rate comparison is difficult. The 'full and open competition' designation suggests the price was deemed competitive through the bidding process.

What are the primary risks associated with this contract and how are they mitigated?

The primary risks associated with this contract are potential service disruptions, quality issues, or cost overruns if the contract were not fixed-price. However, the contract is a 'FIRM FIXED PRICE' type, which significantly mitigates the risk of cost overruns for the government. The risk of service disruption is mitigated by awarding the contract to Telekom Deutschland GmbH, a major established provider in Germany, and by specifying a clear service period (364 days). Potential quality issues would be addressed through the contract's terms and conditions, and performance monitoring by the Department of State. The limited duration also reduces long-term exposure to risks.

How effective is this contract in ensuring reliable communication for the U.S. Mission in Germany?

The effectiveness of this contract in ensuring reliable communication hinges on the performance of Telekom Deutschland GmbH and the specific service level agreements (SLAs) in place. By selecting a major telecommunications provider in Germany and awarding a fixed-price contract for a defined period, the Department of State aims to secure dependable service. The 'full and open competition' process is intended to ensure that the chosen provider offers a balance of quality and cost. Ongoing monitoring of service quality and uptime by the U.S. Mission will be crucial to gauge the contract's effectiveness in meeting operational communication needs.

What has been the historical spending pattern for cell phone services for the U.S. Mission in Germany?

Historical spending data for cell phone services for the U.S. Mission in Germany is not provided in this specific data extract. To understand historical patterns, one would need to access broader contract databases and analyze previous awards for similar services to this mission or other U.S. diplomatic posts in Germany. Factors influencing historical spending would include changes in technology, service provider competition, inflation, and evolving communication requirements. The current award of $139,359.45 for a 364-day period provides a data point for future comparisons.

Industry Classification

NAICS: Information › Wired and Wireless Telecommunications (except Satellite) › Wired Telecommunications Carriers

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - NETWORK

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 19GE5022R0059

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: HAHNSTR. 43 D, FRANKFURT

Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $139,359

Exercised Options: $139,359

Current Obligation: $139,359

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19GE5023D0007

IDV Type: IDC

Timeline