DoD's RITENET CORP. contract for Satellite Telecommunications exceeds $25M, awarded via full and open competition
Contract Overview
Contract Amount: $25,349,767 ($25.3M)
Contractor: Ritenet Corp.
Awarding Agency: Department of Defense
Start Date: 2022-08-16
End Date: 2027-08-15
Contract Duration: 1,825 days
Daily Burn Rate: $13.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: DVIDS
Place of Performance
Location: FORT GEORGE G MEADE, ANNE ARUNDEL County, MARYLAND, 20755
State: Maryland Government Spending
Plain-Language Summary
Department of Defense obligated $25.3 million to RITENET CORP. for work described as: DVIDS Key points: 1. The contract value is substantial at over $25 million. 2. RITENET CORP. is the sole awardee for this specific delivery order. 3. The contract spans five years, indicating a long-term need. 4. The sector is IT, specifically satellite telecommunications.
Value Assessment
Rating: good
The contract's value of $25.3M over five years suggests a significant but potentially competitive market for satellite telecommunications. Benchmarking against similar large-scale telecommunications contracts would provide further context on pricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The existence of multiple delivery orders suggests ongoing competition within the contract's scope.
Taxpayer Impact: Full and open competition generally leads to more favorable pricing for taxpayers by leveraging market forces.
Public Impact
Ensures critical satellite communication capabilities for the Department of Defense. Supports military operations and information dissemination. Provides a platform for advanced telecommunications services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in if follow-on contracts are not competitively bid.
- Reliance on a single vendor for a critical service.
Positive Signals
- Awarded through full and open competition.
- Long-term contract provides stability for service provision.
- Firm Fixed Price contract limits cost overruns.
Sector Analysis
This contract falls within the Information Technology sector, specifically focusing on satellite telecommunications. Spending in this area is crucial for modern defense operations, enabling secure and widespread communication. Benchmarks for similar large-scale satellite communication contracts would be necessary for a precise comparison.
Small Business Impact
The data does not indicate whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further investigation would be needed to assess small business participation.
Oversight & Accountability
The contract's duration and value suggest it is subject to standard federal procurement oversight. Monitoring performance and ensuring adherence to contract terms are key accountability measures.
Related Government Programs
- Satellite Telecommunications
- Department of Defense Contracting
- Defense Media Activity Programs
Risk Flags
- Contract awarded via full and open competition.
- Firm Fixed Price contract type limits cost uncertainty.
- Long contract duration provides service stability.
- Potential for vendor lock-in on follow-on work.
- Critical service reliance on a single vendor.
Tags
satellite-telecommunications, department-of-defense, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $25.3 million to RITENET CORP.. DVIDS
Who is the contractor on this award?
The obligated recipient is RITENET CORP..
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Media Activity).
What is the total obligated amount?
The obligated amount is $25.3 million.
What is the period of performance?
Start: 2022-08-16. End: 2027-08-15.
What is the specific nature of the satellite telecommunications services provided under this contract?
The contract likely covers the provision, maintenance, and potentially the infrastructure for satellite communication services essential for the Department of Defense's operations. This could include bandwidth, satellite access, ground station support, and related network management to ensure reliable data and voice transmission across various operational theaters.
How does the awarded price compare to market rates for similar satellite telecommunication services?
Without specific service details and market data, a direct comparison is difficult. However, the 'full and open competition' award method suggests the government aimed to secure competitive pricing. Analyzing the per-unit cost of bandwidth or service against industry benchmarks would be necessary to fully assess value for money.
What are the potential risks associated with relying on RITENET CORP. for these critical communication services over a five-year period?
Key risks include potential service disruptions if RITENET CORP. faces financial or operational issues, and the possibility of price increases in future contract renewals if competition diminishes. There's also a risk of technological obsolescence if the provided services don't keep pace with advancements in satellite technology.
Industry Classification
NAICS: Information › Satellite Telecommunications › Satellite Telecommunications
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - DATA CENTER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HQ051622R0056
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1445 RESEARCH BLVD # 505, ROCKVILLE, MD, 20850
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $48,774,585
Exercised Options: $41,049,388
Current Obligation: $25,349,767
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS35F0048Y
IDV Type: FSS
Timeline
Start Date: 2022-08-16
Current End Date: 2027-08-15
Potential End Date: 2028-02-15 00:00:00
Last Modified: 2025-09-24
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