State Dept. Spends $29.2M on Cellphone Subscriptions with Smart Communications, Inc
Contract Overview
Contract Amount: $29,214 ($29.2K)
Contractor: Smart Communications, Inc.
Awarding Agency: Department of State
Start Date: 2025-06-24
End Date: 2025-06-30
Contract Duration: 6 days
Daily Burn Rate: $4.9K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: CELLPHONE SUBSCRIPTION FOR PROG
Plain-Language Summary
Department of State obligated $29,214.3 to SMART COMMUNICATIONS, INC. for work described as: CELLPHONE SUBSCRIPTION FOR PROG Key points: 1. Spending is concentrated with a single vendor, Smart Communications, Inc. 2. The contract is for wireless telecommunications services. 3. Potential for cost savings exists through competitive bidding. 4. The sector is IT/Telecommunications.
Value Assessment
Rating: fair
The total award amount is $29.2 million. Without specific per-unit data or comparison to similar government contracts for cellphone subscriptions, it is difficult to definitively assess pricing fairness. The benchmark of $4,869 suggests a potential for higher per-unit costs.
Cost Per Unit: $4,869
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which is positive for price discovery. However, the specific details of the bidding process and the number of bidders are not provided, making it hard to gauge the intensity of competition.
Taxpayer Impact: The use of full and open competition suggests an effort to secure competitive pricing, potentially leading to better value for taxpayers. However, the final cost-effectiveness depends on the actual bids received and the negotiated terms.
Public Impact
Provides essential communication services for Department of State operations. Supports diplomatic and operational activities requiring mobile connectivity. Ensures continuity of communication for personnel in various locations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed per-unit cost breakdown.
- Limited insight into the competitive landscape beyond 'full and open'.
Positive Signals
- Awarded under full and open competition.
- Clear contract end date.
Sector Analysis
This contract falls within the IT and Telecommunications sector, specifically wireless services. Government spending on telecommunications is substantial, and competitive procurement is crucial for managing these costs effectively. Benchmarks for similar services can vary widely based on data plans, user volume, and service level agreements.
Small Business Impact
The data does not indicate whether small businesses were involved in this procurement, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The Department of State is responsible for the oversight of this contract. Standard procurement regulations and contract management practices should be in place to ensure performance and financial accountability.
Related Government Programs
- Wireless Telecommunications Carriers (except Satellite)
- Department of State Contracting
- Department of State Programs
Risk Flags
- High total contract value.
- Single vendor award.
- Lack of detailed per-unit cost analysis.
- Potential for unoptimized service plans.
Tags
wireless-telecommunications-carriers-exc, department-of-state, delivery-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $29,214.3 to SMART COMMUNICATIONS, INC.. CELLPHONE SUBSCRIPTION FOR PROG
Who is the contractor on this award?
The obligated recipient is SMART COMMUNICATIONS, INC..
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $29,214.3.
What is the period of performance?
Start: 2025-06-24. End: 2025-06-30.
What is the average cost per user or per line for these cellphone subscriptions, and how does it compare to industry benchmarks for similar government or commercial plans?
The provided data includes a benchmark of $4,869, but it's unclear if this is a per-unit cost or an aggregate figure. To assess value, a detailed breakdown of per-user costs is needed. Comparing this to government-wide acquisition contracts (GWACs) or commercial rate cards for similar data and service levels would reveal if the pricing is competitive or inflated.
What specific services and data allowances are included in the $29.2 million contract, and are there opportunities for optimization or consolidation of services?
The contract details lack specifics on the included services, data plans, and number of subscriptions. Understanding these specifics is crucial for identifying potential redundancies or opportunities to negotiate better rates through service consolidation or by adjusting data tiers based on actual usage patterns. This could lead to significant cost savings.
How was the 'full and open competition' process structured, and what was the range of bids received to ensure the best value was achieved?
While 'full and open competition' is stated, the effectiveness of this method hinges on the specifics of the solicitation and the number of responsive bids. Knowing the number of bidders and the range of their proposed prices would provide insight into the competitiveness of the award and whether the government truly secured the best possible value for taxpayers.
Industry Classification
NAICS: Information › Wired and Wireless Telecommunications (except Satellite) › Wireless Telecommunications Carriers (except Satellite)
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
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 26TH FLOOR, SMART TOWER, MAKATI CITY
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $29,214
Exercised Options: $29,214
Current Obligation: $29,214
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 19RP3825D0003
IDV Type: IDC
Timeline
Start Date: 2025-06-24
Current End Date: 2025-06-30
Potential End Date: 2025-06-30 00:00:00
Last Modified: 2026-04-10
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