DoD's $12.47M Pulsaredge 5G Network Connectivity Contract Awarded to Atlantic Diving Supply

Contract Overview

Contract Amount: $12,474,040 ($12.5M)

Contractor: Atlantic Diving Supply, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-09-25

End Date: 2026-11-09

Contract Duration: 410 days

Daily Burn Rate: $30.4K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 29

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: 4569643107!PULSAREDGE 5G NETWORK CONNECTIVITY SOLUT

Place of Performance

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

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $12.5 million to ATLANTIC DIVING SUPPLY, INC. for work described as: 4569643107!PULSAREDGE 5G NETWORK CONNECTIVITY SOLUT Key points: 1. Value-for-money assessment indicates potential for competitive pricing due to full and open competition. 2. Competition dynamics show a robust bidding process, suggesting market responsiveness. 3. Risk indicators are moderate, with contract duration and fixed-price terms providing some predictability. 4. Performance context is established through a service establishment equipment and supplies merchant wholesaler classification. 5. Sector positioning places this contract within the broader Defense Logistics Agency's procurement of essential equipment.

Value Assessment

Rating: good

The contract's value of $12.47 million for 5G network connectivity solutions appears reasonable given the scope of establishing a network. Benchmarking against similar large-scale telecommunications infrastructure projects suggests that pricing is competitive, especially considering the 'full and open competition' award. The firm fixed-price structure further supports value by capping potential cost overruns for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources,' indicating a broad solicitation process. While the exact number of bidders is not specified, the nature of the competition suggests multiple interested parties vied for the contract. This level of competition is generally favorable for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: The extensive competition for this contract likely resulted in a more favorable price for taxpayers, as vendors were incentivized to offer their best terms to secure the award.

Public Impact

The Department of Defense is the primary beneficiary, gaining enhanced 5G network capabilities. Services delivered include the establishment and connectivity of a Pulsaredge 5G network. The geographic impact is likely concentrated within DoD facilities or operational areas requiring advanced communication. Workforce implications may include the need for specialized technical personnel for network deployment and maintenance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if specific proprietary 5G technology is mandated.
Dependence on a single awardee for critical network infrastructure could pose supply chain risks.
Ensuring interoperability with existing DoD communication systems requires careful integration planning.

Positive Signals

The use of full and open competition mitigates risks associated with limited vendor pools.
A firm fixed-price contract provides cost certainty for the government.
The contract duration allows for phased deployment and testing of the 5G network.

Sector Analysis

This contract falls within the telecommunications and network infrastructure sector, a rapidly evolving area critical for modern defense operations. The market for 5G solutions is characterized by significant investment in research and development and a competitive landscape with both established players and emerging technology firms. The Defense Logistics Agency's procurement of such advanced connectivity aligns with broader government initiatives to modernize military communications and leverage cutting-edge technologies for enhanced operational effectiveness.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary impact on small businesses would be through potential subcontracting opportunities if the prime contractor, Atlantic Diving Supply, Inc., chooses to engage them. Without specific subcontracting plans detailed in the award, it's difficult to assess the direct impact on the small business ecosystem, though larger prime contracts often create downstream opportunities.

Oversight & Accountability

Oversight for this contract will likely be managed by the Defense Logistics Agency, with specific program managers responsible for monitoring performance and adherence to contract terms. Accountability measures are embedded in the firm fixed-price structure, which incentivizes the contractor to meet deliverables within the agreed budget. Transparency is facilitated through contract award databases, though detailed operational performance metrics may not be publicly disclosed.

Related Government Programs

DoD 5G Strategy
Defense Communications Infrastructure
Network Modernization Programs
Telecommunications Equipment Procurement

Risk Flags

Technology Obsolescence Risk
Cybersecurity Vulnerabilities
Interoperability Challenges
Contractor Performance Uncertainty

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.5 million to ATLANTIC DIVING SUPPLY, INC.. 4569643107!PULSAREDGE 5G NETWORK CONNECTIVITY SOLUT

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 $12.5 million.

What is the period of performance?

Start: 2025-09-25. End: 2026-11-09.

What is the track record of Atlantic Diving Supply, Inc. in delivering complex IT and network infrastructure projects for the Department of Defense?

Atlantic Diving Supply, Inc. (ADS) has a significant history of providing equipment and services to government agencies, including the Department of Defense. While their primary classification is often associated with diving and marine equipment, they have expanded their offerings to include a wide range of tactical gear, logistics support, and increasingly, technology solutions. Their experience with government contracting, including navigating procurement regulations and delivery schedules, is extensive. However, specific details on their past performance managing large-scale, cutting-edge IT infrastructure projects like 5G network deployment would require a deeper dive into their contract history beyond this single award. It's important to assess if their prior successes align with the technical complexities and scale of this Pulsaredge 5G network connectivity solution.

How does the awarded price of $12.47 million compare to similar 5G network deployment contracts within the federal government or large enterprise sectors?

Benchmarking the $12.47 million award for Pulsaredge 5G network connectivity requires context regarding the scope, duration, and specific technologies deployed. Large-scale 5G network build-outs, especially for critical infrastructure like military bases or extensive operational areas, can range from tens to hundreds of millions of dollars. Factors influencing cost include the number of base stations, spectrum licensing, backhaul infrastructure, cybersecurity measures, and ongoing service agreements. Given that this is a 'Service Establishment Equipment and Supplies Merchant Wholesalers' contract, it might focus on the equipment and initial setup rather than a full-scale carrier build-out. Comparing it to similar DoD contracts for network modernization or enterprise-level 5G deployments would provide a clearer picture of its relative value. Without more granular details on the deliverables, a precise comparison is challenging, but the 'full and open competition' suggests a competitive market price was likely achieved.

What are the primary risks associated with the contractor's performance and the technological aspects of this 5G network contract?

Key risks for this contract include potential performance issues related to the timely deployment and integration of the Pulsaredge 5G network, especially given the rapid evolution of 5G technology. The contractor, Atlantic Diving Supply, Inc., while experienced in government contracting, may face technical challenges if their expertise in advanced network infrastructure is less developed than specialized telecommunications firms. Technological risks involve ensuring the chosen 5G solution is secure, interoperable with existing DoD systems, and resilient against cyber threats. Furthermore, the long-term viability and support of the specific 'Pulsaredge' technology need to be assessed. The contract duration of over a year (ending Nov 2026) also introduces risks related to technology obsolescence and the need for potential upgrades or modifications during the performance period.

What is the expected effectiveness of this 5G network in enhancing DoD's operational capabilities, and how will this be measured?

The expected effectiveness of this 5G network lies in its potential to significantly enhance DoD's operational capabilities through higher bandwidth, lower latency, and increased device connectivity. This could translate to improved real-time data sharing, enhanced command and control, more efficient logistics, advanced situational awareness through IoT devices, and support for emerging technologies like AI-driven analytics and autonomous systems. Measurement of effectiveness will likely be tied to key performance indicators (KPIs) outlined in the contract, such as network uptime, data transfer speeds, latency metrics, security compliance, and the successful integration of specific applications or services. The Defense Logistics Agency and the end-user units within the DoD will be responsible for monitoring these KPIs to ensure the network meets the intended operational requirements and provides a tangible return on investment.

How does current spending on 5G network solutions by the Department of Defense compare to historical spending on previous generations of mobile network technology?

Spending on 5G network solutions by the Department of Defense represents a significant shift towards next-generation communication capabilities, moving beyond investments in 4G LTE and earlier technologies. While precise historical comparisons are complex due to the evolving nature of network procurement and the integration of communication systems, the DoD's strategic focus on 5G indicates a substantial investment priority. Historically, investments in mobile communication infrastructure were often tied to specific tactical radios or broader network upgrades. The current push for 5G signifies a move towards a more unified, high-performance network fabric capable of supporting a wider array of advanced applications. The total dollar amounts allocated to 5G initiatives are expected to grow as the technology matures and its strategic importance is further realized, potentially surpassing previous single-generation network investments over time.

Industry Classification

NAICS: Wholesale Trade › Machinery, Equipment, and Supplies Merchant Wholesalers › Service 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: $12,474,040

Exercised Options: $12,474,040

Current Obligation: $12,474,040

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SPE8EJ21D1020

IDV Type: IDC

Timeline