NASA awards $853K for SIMCENTER STAR-CCM+ software, a sole-source purchase order
Contract Overview
Contract Amount: $85,301 ($85.3K)
Contractor: Siemens Industry Software Inc.
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2026-04-08
End Date: 2027-04-07
Contract Duration: 364 days
Daily Burn Rate: $234/day
Competition Type: NOT COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: R&D
Official Description: SIMCENTER STAR-CCM+ POWER SESSION PLUS
Place of Performance
Location: PLANO, COLLIN County, TEXAS, 75024
State: Texas Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $85,300.56 to SIEMENS INDUSTRY SOFTWARE INC. for work described as: SIMCENTER STAR-CCM+ POWER SESSION PLUS Key points: 1. Software licensing and support for advanced simulation tools. 2. Contract awarded via purchase order, indicating a direct procurement. 3. Duration of one year with potential for extension. 4. Firm Fixed Price contract type aims to control costs. 5. No small business set-aside noted. 6. Geographic location of performance is Texas.
Value Assessment
Rating: fair
The contract value of $853,000 for SIMCENTER STAR-CCM+ software appears to be within a reasonable range for specialized engineering simulation software, especially considering it includes support and potential for future use. However, without specific details on the scope of licenses and support services, a direct comparison to similar contracts is challenging. The firm fixed-price nature provides cost certainty for NASA. Benchmarking against market rates for comparable high-end simulation software would be beneficial for a more precise value assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed under SAP (Simplified Acquisition Procedures), suggesting it was procured through a sole-source or limited competition method. The lack of open competition means NASA did not solicit bids from multiple vendors, potentially limiting price discovery and the opportunity to secure more favorable terms. The justification for sole-source procurement would need to be reviewed to understand why other vendors were not considered.
Taxpayer Impact: Sole-source awards can lead to higher prices for taxpayers as competition is absent, potentially resulting in less value for money compared to a fully competed contract.
Public Impact
Benefits NASA engineers and researchers by providing advanced simulation capabilities. Supports complex design and analysis tasks for aerospace projects. The software is crucial for product development and testing cycles. Workforce implications include enabling engineers to utilize cutting-edge simulation tools.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition may lead to higher costs for taxpayers.
- Sole-source award raises questions about market availability of alternatives.
- Limited transparency on the specific software modules and support included.
Positive Signals
- Firm Fixed Price contract provides cost predictability.
- Software is essential for advanced engineering and research.
- Long-term software support ensures continued operational capability.
Sector Analysis
The market for specialized engineering simulation software, such as SIMCENTER STAR-CCM+, is dominated by a few key players. These tools are critical for industries like aerospace, automotive, and energy, enabling complex fluid dynamics, thermal, and structural analysis. Spending in this sector is driven by the need for advanced design validation and performance optimization. Comparable spending benchmarks are difficult to establish without knowing the exact license configuration and support level, but high-end simulation suites can range from tens of thousands to millions of dollars annually.
Small Business Impact
This contract does not appear to have a small business set-aside. Given the specialized nature of the software and the vendor, it is unlikely that small businesses would be involved as primary contractors. Subcontracting opportunities for small businesses are not explicitly indicated in the provided data and would depend on Siemens Industry Software Inc.'s internal policies or specific program requirements not detailed here.
Oversight & Accountability
Oversight for this contract would primarily fall under NASA's internal procurement and financial management systems. As a purchase order, it is subject to standard agency review processes. Accountability measures are tied to the delivery of the software licenses and support services as per the contract terms. Transparency could be enhanced by publicly detailing the justification for the sole-source award and the specific services covered by the firm fixed price.
Related Government Programs
- NASA Software Licenses
- Engineering Simulation Software
- Research and Development Contracts
- Aerospace Simulation Tools
Risk Flags
- Sole-source award
- Lack of competition
- Potential for price escalation
Tags
nasa, software-publisher, simcenter-star-ccm+, purchase-order, firm-fixed-price, sole-source, texas, research-and-development, it-software, siemens-industry-software-inc
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $85,300.56 to SIEMENS INDUSTRY SOFTWARE INC.. SIMCENTER STAR-CCM+ POWER SESSION PLUS
Who is the contractor on this award?
The obligated recipient is SIEMENS INDUSTRY SOFTWARE INC..
Which agency awarded this contract?
Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).
What is the total obligated amount?
The obligated amount is $85,300.56.
What is the period of performance?
Start: 2026-04-08. End: 2027-04-07.
What is the specific justification for awarding this contract on a sole-source basis?
The provided data indicates the contract was 'NOT COMPETED UNDER SAP,' which typically suggests a sole-source or limited competition award. The specific justification for this sole-source determination by NASA is not detailed in the provided data. Common reasons for sole-source procurement include unique capabilities of a single vendor, urgent and compelling needs where competition is not feasible, or when only one responsible source is available. A thorough review of NASA's contract file and any associated Justification for Other than Full and Open Competition (JOFOC) would be necessary to ascertain the precise rationale. Without this, it's difficult to assess if the sole-source award was appropriate and if taxpayers received fair value.
How does the $853,000 award compare to previous spending on SIMCENTER STAR-CCM+ by NASA or similar agencies?
Direct comparison to previous spending on SIMCENTER STAR-CCM+ by NASA or similar agencies is not possible with the provided data alone. The $853,000 figure represents the value of this specific purchase order, which has a duration of 364 days. To benchmark effectively, one would need historical contract data for this software from NASA, including prior purchase orders, other contract types (e.g., indefinite-delivery indefinite-quantity), and the scope of licenses and support included in those past awards. Additionally, comparing with spending by agencies like the Department of Defense or Department of Energy on similar high-fidelity simulation software would provide broader market context. The current award's value should be assessed against the specific features and user count it covers.
What are the key performance indicators (KPIs) for this software license and support contract?
Key performance indicators for a software license and support contract like this typically revolve around the availability and functionality of the software, as well as the responsiveness and effectiveness of technical support. For SIMCENTER STAR-CCM+, KPIs might include uptime percentages for the software environment, successful completion rates of simulation tasks, adherence to software update schedules, and response times for technical support inquiries. NASA would likely define specific metrics in the contract's performance work statement (PWS) or statement of objectives (SOO). Measuring these KPIs ensures that the software is operational when needed and that technical issues are resolved promptly, thereby maximizing the return on investment for the $853,000 expenditure.
What is the track record of Siemens Industry Software Inc. as a government contractor, particularly for NASA?
Siemens Industry Software Inc. has a significant presence as a government contractor, providing a wide range of software solutions, including engineering and simulation tools, to various federal agencies. Their track record with NASA would involve assessing past contract performance, including on-time delivery, quality of products and services, and adherence to contractual terms. A review of contract databases (like SAM.gov or FPDS) would reveal the volume and types of contracts awarded to Siemens by NASA and other agencies. Positive performance indicators would include a history of successful contract completions, minimal disputes or contract terminations, and positive past performance evaluations. Conversely, any significant issues or disputes would be a concern.
What is the potential risk associated with relying on a single vendor for this critical simulation software?
Relying on a single vendor, especially in a sole-source situation, introduces several risks. The primary risk is vendor lock-in, where NASA becomes dependent on Siemens Industry Software Inc. for this specific simulation capability, potentially limiting future flexibility and negotiation power. Price increases could be a concern, as the vendor may have less incentive to offer competitive pricing in subsequent contract renewals. There's also a risk related to the vendor's long-term viability, product roadmap, or potential discontinuation of specific features or support. Furthermore, if the vendor experiences financial difficulties or strategic shifts, it could impact the availability and support of the software, potentially disrupting NASA's research and development activities.
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: NOT COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 80NSSC26928723Q
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 5800 GRANITE PKWY STE 600, PLANO, TX, 75024
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $85,301
Exercised Options: $85,301
Current Obligation: $85,301
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2026-04-08
Current End Date: 2027-04-07
Potential End Date: 2027-04-07 00:00:00
Last Modified: 2026-04-09
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