Space Force awards $12.3M for satellite communications support to Athena Technology Group

Contract Overview

Contract Amount: $12,345,838 ($12.3M)

Contractor: Athena Technology Group, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-09-18

End Date: 2026-09-17

Contract Duration: 1,825 days

Daily Burn Rate: $6.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: UNITED STATES SPACE FORCE COMMERCIAL SATELLITE COMMUNICATIONS OFFICE SUPPORT

Place of Performance

Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $12.3 million to ATHENA TECHNOLOGY GROUP, INC. for work described as: UNITED STATES SPACE FORCE COMMERCIAL SATELLITE COMMUNICATIONS OFFICE SUPPORT Key points: 1. Contract value represents a significant investment in critical space-based communication infrastructure. 2. Competition dynamics suggest a potentially competitive bidding process for this service. 3. Performance period extends over five years, indicating a long-term need for these services. 4. The contract falls within the IT services sector, specifically custom computer programming. 5. Fixed-price contract type aims to control costs and provide budget certainty. 6. The award is a delivery order against a larger contract vehicle.

Value Assessment

Rating: good

The contract value of $12.3 million over five years appears reasonable for specialized IT support in the defense sector. Benchmarking against similar custom computer programming services for government agencies suggests this pricing is within expected ranges. The firm fixed-price structure provides cost predictability for the Space Force, mitigating risk of cost overruns. Further analysis would require comparing specific task orders and deliverables against market rates for comparable expertise.

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. With 5 bidders identified, this suggests a healthy level of competition for the contract. This competitive environment is generally favorable for price discovery and ensuring the government receives competitive offers for the services required.

Taxpayer Impact: A competitive award process helps ensure taxpayer dollars are used efficiently by driving down prices and encouraging innovation among contractors.

Public Impact

The United States Space Force benefits from enhanced satellite communication capabilities. Services delivered include custom computer programming to support critical defense operations. The geographic impact is primarily national, supporting space command and control. Workforce implications include specialized IT professionals employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for scope creep if requirements are not clearly defined.
  • Reliance on a single contractor for critical IT support could pose a risk if performance falters.

Positive Signals

  • Firm fixed-price contract helps manage budget.
  • Full and open competition suggests a robust selection process.
  • Long-term contract duration indicates a stable need and potential for contractor expertise development.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on custom computer programming services. The market for defense-related IT support, particularly for specialized areas like satellite communications, is robust and highly competitive. Government spending in this area is driven by the need for secure, reliable, and advanced communication systems to support national security objectives. Comparable spending benchmarks would involve analyzing other contracts for similar IT services awarded to support defense agencies.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses, and the contractor, Athena Technology Group, Inc., is not explicitly identified as a small business in this context. Therefore, there are no direct subcontracting implications for small businesses arising from a small business set-aside. The focus is on the prime contractor's capabilities to fulfill the requirement.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the Defense Contract Management Agency (DCMA). The firm fixed-price nature of the contract provides a degree of accountability for the contractor to deliver services within the agreed-upon budget. Transparency is facilitated through contract award databases, though specific performance metrics and detailed task order information may be less publicly accessible.

Related Government Programs

  • Space Force Satellite Communications
  • DoD IT Services
  • Custom Computer Programming Contracts
  • Defense Information Systems Agency Contracts

Risk Flags

  • Long-term contract duration may increase risk of technological obsolescence.
  • Reliance on a single awardee for critical services.
  • Potential for undefined scope leading to cost increases if not managed.

Tags

it-services, defense, space-force, department-of-defense, custom-computer-programming, full-and-open-competition, firm-fixed-price, delivery-order, maryland, satellite-communications

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.3 million to ATHENA TECHNOLOGY GROUP, INC.. UNITED STATES SPACE FORCE COMMERCIAL SATELLITE COMMUNICATIONS OFFICE SUPPORT

Who is the contractor on this award?

The obligated recipient is ATHENA TECHNOLOGY GROUP, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Information Systems Agency).

What is the total obligated amount?

The obligated amount is $12.3 million.

What is the period of performance?

Start: 2021-09-18. End: 2026-09-17.

What is the track record of Athena Technology Group, Inc. with the federal government, particularly in IT services?

Athena Technology Group, Inc. has a history of federal contracting, primarily within the IT services domain. Analyzing their past performance, including contract values, agencies served, and types of services rendered, is crucial for assessing their capability to fulfill this Space Force contract. A review of their contract history would reveal their experience with similar custom computer programming and satellite communication support. Past performance evaluations and any reported issues or successes would provide further insight into their reliability and effectiveness as a government contractor. This information is typically available through federal procurement data systems.

How does the awarded price compare to market rates for similar custom computer programming services?

Benchmarking the $12.3 million contract value against market rates for custom computer programming services requires detailed analysis of the specific tasks and skill sets involved. Factors such as the complexity of the satellite communication systems, the required security clearances, and the level of expertise needed will influence market pricing. Comparing this contract's average annual value ($2.46 million) to industry benchmarks for similar government IT contracts, considering the duration and scope, can indicate whether the price is competitive. Without specific task order details, a precise comparison is difficult, but the full and open competition suggests a degree of market validation.

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

Key risks for this contract include potential technical challenges in integrating or developing custom software for satellite communications, contractor performance issues, and budget overruns if the fixed-price model is not strictly adhered to. Mitigation strategies likely involve robust project management by the Space Force, clear definition of deliverables and milestones, and regular performance reviews. The firm fixed-price structure itself is a risk mitigation tool, placing the financial burden of cost overruns on the contractor. The five-year duration also presents a risk of technological obsolescence if not managed proactively.

How effective is the competition level in ensuring value for taxpayer money?

The fact that this contract was awarded under full and open competition with five bidders suggests a healthy competitive environment. This level of competition generally leads to better price discovery and encourages contractors to offer their best value propositions to win the award. For taxpayers, this means the Space Force is likely to receive services at a more competitive price than if the contract had been sole-sourced or competed among a very limited pool of vendors. The competitive process helps ensure that the funds allocated are used efficiently.

What is the historical spending pattern for similar satellite communication support services within the Department of Defense?

Historical spending on satellite communication support services within the Department of Defense (DoD) has been substantial and is expected to continue growing due to the increasing reliance on space-based assets for military operations. Agencies like the Space Force, DISA, and others within the DoD consistently invest in secure and advanced communication networks. Analyzing past spending trends for similar IT services, particularly those related to command and control, intelligence, and communications infrastructure, would reveal significant and sustained investment. This specific $12.3 million award is part of a larger, ongoing commitment to maintaining and enhancing these critical capabilities.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesCustom Computer Programming Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 171 ELDEN ST, HERNDON, VA, 20170

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $22,829,829

Exercised Options: $13,569,912

Current Obligation: $12,345,838

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F097BA

IDV Type: FSS

Timeline

Start Date: 2021-09-18

Current End Date: 2026-09-17

Potential End Date: 2026-09-17 00:00:00

Last Modified: 2025-12-23

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