DoD's $35.6M Cyber Red Team Support Contract Awarded to Frontier Technology Inc

Contract Overview

Contract Amount: $35,621,520 ($35.6M)

Contractor: Frontier Technology Inc

Awarding Agency: Department of Defense

Start Date: 2020-09-14

End Date: 2026-03-13

Contract Duration: 2,006 days

Daily Burn Rate: $17.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: CYBER/O1D RED TEAM SUPPORT SERVICES TO SUPPORT COTF RED TEAM STATUS.

Place of Performance

Location: NORFOLK, NORFOLK CITY County, VIRGINIA, 23505

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $35.6 million to FRONTIER TECHNOLOGY INC for work described as: CYBER/O1D RED TEAM SUPPORT SERVICES TO SUPPORT COTF RED TEAM STATUS. Key points: 1. Contract provides critical red team support services for the Cyber/O1D program. 2. Awarded through full and open competition, suggesting a competitive bidding process. 3. Long performance period (approx. 5.5 years) indicates a sustained need for these services. 4. Firm Fixed Price contract type helps manage cost certainty for the government. 5. Contractor, Frontier Technology Inc., has a track record with government contracts. 6. Virginia-based awardee may have implications for regional economic impact. 7. The contract falls under Engineering Services, a broad category with diverse applications.

Value Assessment

Rating: good

The contract value of $35.6 million over approximately 5.5 years suggests a significant investment in cybersecurity capabilities. Benchmarking this against similar 'red team' support services is challenging without more specific service details. However, the firm fixed-price nature of the contract provides a degree of cost control. The award amount appears reasonable for specialized cybersecurity support, but a detailed cost breakdown would be needed for a definitive value-for-money assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this method generally fosters a competitive environment, which can lead to better pricing and service offerings for the government. The open competition suggests the government sought the best available solution in the market.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically drives down prices and encourages innovation among contractors, ensuring the government receives optimal value for its investment.

Public Impact

The Department of Defense benefits from enhanced cybersecurity posture through advanced red team testing. Services delivered are crucial for identifying vulnerabilities and improving defensive strategies against cyber threats. The primary geographic impact is likely within the Department of Defense's operational areas, potentially global. Workforce implications include specialized cybersecurity professionals employed by Frontier Technology Inc. and potentially government personnel involved in oversight.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if requirements are not clearly defined and managed.
Reliance on a single contractor for a critical function over an extended period.
Ensuring continuous innovation and adaptation to evolving cyber threats by the contractor.

Positive Signals

Firm Fixed Price contract provides cost predictability.
Long-term nature of the contract suggests a stable and ongoing requirement.
Award through full and open competition indicates market availability of required expertise.

Sector Analysis

This contract falls within the broader Engineering Services sector, specifically focusing on advanced cybersecurity testing and support. The market for cybersecurity services, particularly those involving offensive capabilities like red teaming, is robust and growing due to increasing cyber threats. Comparable spending benchmarks are difficult to establish without granular detail, but significant government investment in cybersecurity is a consistent trend across defense and civilian agencies.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside. However, the prime contractor, Frontier Technology Inc., may engage small businesses as subcontractors if it aligns with their strategy and the contract's needs, though this is not mandated by the award terms provided.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Navy's contracting officers and program managers. Accountability measures are inherent in the firm fixed-price contract type, requiring delivery of specified services. Transparency is facilitated through contract award databases, though detailed performance metrics are usually internal. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Cybersecurity Support Services
Red Team Operations
Information Assurance
Vulnerability Assessment
Department of Defense Cybersecurity Initiatives

Risk Flags

Long contract duration may outpace evolving threat landscape.
Potential for contractor performance degradation over time without strong oversight.
Firm Fixed Price may limit flexibility for incorporating new technologies mid-contract.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $35.6 million to FRONTIER TECHNOLOGY INC. CYBER/O1D RED TEAM SUPPORT SERVICES TO SUPPORT COTF RED TEAM STATUS.

Who is the contractor on this award?

The obligated recipient is FRONTIER TECHNOLOGY INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $35.6 million.

What is the period of performance?

Start: 2020-09-14. End: 2026-03-13.

What is Frontier Technology Inc.'s track record with similar cybersecurity contracts, particularly those involving red teaming for the Department of Defense?

Frontier Technology Inc. has a history of performing various IT and engineering services for the U.S. government, including the Department of Defense. While specific details on their 'red team' experience for DoD are not fully elaborated in this data, their past performance in related areas such as cybersecurity, network engineering, and technical support suggests a foundational capability. A deeper dive into their contract history, past performance reviews, and specific project outcomes would be necessary to fully assess their expertise and reliability for this specialized red team support role. Government contract databases and past performance evaluations would be key resources for this analysis.

How does the $35.6 million contract value compare to other 'red team' support services contracts awarded by the DoD or other federal agencies?

The $35.6 million contract value for approximately 5.5 years of 'red team' support services positions this as a significant, but not exceptionally large, investment in this specialized cybersecurity domain. Federal 'red team' contracts can range widely, from smaller, task-order-based awards for specific assessments to multi-year, multi-million dollar programs. For context, larger cybersecurity support contracts, including penetration testing and advanced persistent threat simulation, can reach tens or even hundreds of millions of dollars over their lifecycles. This particular award appears to be in the mid-range, reflecting a substantial and sustained need for these services without being at the upper extreme of federal cybersecurity spending.

What are the primary risks associated with a long-term (over 5 years) firm-fixed-price contract for cybersecurity red team support?

A primary risk with long-term, firm-fixed-price cybersecurity contracts is the potential for the contractor to fall behind the rapidly evolving threat landscape. The fixed price may disincentivize investment in cutting-edge tools or training if not carefully managed through contract modifications or performance incentives. Another risk is contractor complacency or a decline in performance quality over time, especially if oversight is not rigorous. For the government, the risk lies in the fixed price becoming uncompetitive if market rates for these specialized services increase significantly, or if the scope of work needs to expand substantially due to unforeseen threats, requiring costly change orders.

How effective is a 'full and open competition' strategy in ensuring the government obtains the best value for specialized cybersecurity services like red teaming?

Full and open competition is generally considered the most effective strategy for ensuring the government obtains the best value for specialized cybersecurity services. By allowing all responsible sources to compete, it maximizes the pool of potential contractors, fostering a competitive environment that can drive down prices and encourage innovation. This approach increases the likelihood that the government will receive proposals that not only meet technical requirements but also offer superior performance or cost-effectiveness. However, the effectiveness is contingent on the clarity of the solicitation's requirements and the evaluation criteria used to select the winning proposal.

What are the historical spending patterns for 'Engineering Services' (NAICS 541330) within the Department of the Navy, and how does this contract fit within that trend?

The Department of the Navy, like other branches of the DoD, consistently allocates substantial funding towards 'Engineering Services' (NAICS 541330), which encompasses a wide array of technical and specialized support. Historical spending within this category reflects a continuous demand for design, development, testing, and technical consultation across naval platforms and systems. This $35.6 million contract for cyber red team support fits within this trend by representing a specific, high-value application of engineering services focused on cybersecurity. It highlights the Navy's increasing reliance on advanced technical services to maintain its operational edge and secure its digital infrastructure against sophisticated threats.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering 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

Solicitation ID: N0018920R3025

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4141 COLONEL GLENN HWY STE 140, BEAVERCREEK, OH, 45431

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $51,224,641

Exercised Options: $46,947,683

Current Obligation: $35,621,520

Actual Outlays: $193,538

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017819D7667

IDV Type: IDC

Timeline