DoD Awards $25.1M for Video Distro System Hardware to Atlantic Diving Supply

Contract Overview

Contract Amount: $25,156,980 ($25.2M)

Contractor: Atlantic Diving Supply, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-09-25

End Date: 2026-08-10

Contract Duration: 319 days

Daily Burn Rate: $78.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 29

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: 4569643150!VIDEO DISTRO SYSTEM HARDWARE

Place of Performance

Location: VIRGINIA BEACH, VIRGINIA BEACH CITY County, VIRGINIA, 23452

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $25.2 million to ATLANTIC DIVING SUPPLY, INC. for work described as: 4569643150!VIDEO DISTRO SYSTEM HARDWARE Key points: 1. Significant award for specialized hardware, indicating a need for advanced video distribution capabilities within the DoD. 2. Competition was full and open after exclusion of sources, suggesting a deliberate process to ensure fair pricing. 3. Potential risk lies in the specialized nature of the hardware and reliance on a single awardee for this specific contract. 4. The sector is Defense, with a focus on equipment and supplies merchant wholesale.

Value Assessment

Rating: good

The contract value of $25.1M for a 319-day duration appears reasonable given the specialized nature of 'VIDEO DISTRO SYSTEM HARDWARE'. Benchmarking against similar specialized hardware contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', indicating a competitive process was initiated. This method aims to achieve fair market prices by allowing multiple vendors to bid.

Taxpayer Impact: The competitive bidding process is expected to yield a fair price, minimizing unnecessary taxpayer expenditure for this essential defense system.

Public Impact

Ensures critical video distribution capabilities for Department of Defense operations. Supports military readiness and communication infrastructure. Potential for technology upgrades and enhanced operational effectiveness through new hardware.

Waste & Efficiency Indicators

Waste Risk Score: 78 / 10

Warning Flags

  • Specialized hardware may have limited vendor pool.
  • Potential for obsolescence if technology evolves rapidly.

Positive Signals

  • Full and open competition utilized.
  • Clear delivery and establishment dates.
  • Firm fixed price contract type.

Sector Analysis

This contract falls within the Defense sector, specifically for Service Establishment Equipment and Supplies Merchant Wholesalers. Spending in this area is critical for maintaining military operational readiness and technological superiority.

Small Business Impact

The data does not indicate whether small businesses were involved in this specific contract award. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The contract was awarded by the Defense Logistics Agency, a key component of the DoD responsible for procurement. Oversight is likely managed through standard DoD contracting procedures and performance monitoring.

Related Government Programs

  • Service Establishment Equipment and Supplies Merchant Wholesalers
  • Department of Defense Contracting
  • Defense Logistics Agency Programs

Risk Flags

  • Potential for vendor lock-in due to specialized hardware.
  • Reliance on a single awardee for a critical system.
  • Need for robust performance monitoring to ensure delivery.
  • Risk of technology obsolescence in a rapidly evolving field.

Tags

service-establishment-equipment-and-supp, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $25.2 million to ATLANTIC DIVING SUPPLY, INC.. 4569643150!VIDEO DISTRO SYSTEM HARDWARE

Who is the contractor on this award?

The obligated recipient is ATLANTIC DIVING SUPPLY, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Logistics Agency).

What is the total obligated amount?

The obligated amount is $25.2 million.

What is the period of performance?

Start: 2025-09-25. End: 2026-08-10.

What is the specific technical capability this video distribution system provides and how critical is it to current DoD operations?

The specific technical capability of the 'VIDEO DISTRO SYSTEM HARDWARE' is not detailed in the provided data. However, its acquisition by the Department of Defense suggests it is critical for secure and efficient transmission of video data, likely supporting intelligence, surveillance, reconnaissance, or command and control functions.

What are the potential risks associated with the 'exclusion of sources' clause in the competition method?

The 'exclusion of sources' clause, even within a full and open competition framework, could indicate that certain pre-qualified vendors or specific technologies were initially considered. While aiming for fairness, it might limit the breadth of potential solutions or introduce a perception of bias if not clearly justified and documented.

How does the firm fixed price contract type mitigate risks for the government regarding cost overruns?

A firm fixed price (FFP) contract type is advantageous for the government as it establishes a ceiling price for the goods or services. The contractor assumes the risk of cost overruns, ensuring that the government pays the agreed-upon price regardless of the contractor's actual costs, thereby enhancing budget predictability.

Industry Classification

NAICS: Wholesale TradeMachinery, Equipment, and Supplies Merchant WholesalersService Establishment Equipment and Supplies Merchant Wholesalers

Product/Service Code: FIRE/RESCUE/SAFETY; ENVIRO PROTECT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 29

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 621 LYNNHAVEN PKWY STE 160, VIRGINIA BEACH, VA, 23452

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

Financial Breakdown

Contract Ceiling: $25,156,980

Exercised Options: $25,156,980

Current Obligation: $25,156,980

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SPE8EJ21D1020

IDV Type: IDC

Timeline

Start Date: 2025-09-25

Current End Date: 2026-08-10

Potential End Date: 2026-08-10 00:00:00

Last Modified: 2025-10-01

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