The Ten Largest IT Services Deals in January 2011
Eight of the 10 biggest IT services deals announced in January 2011 were awarded by US defense agencies



(Source: Ovum’s IT Services Contracts Analytics)

Rank

Vendor

Client

Project

Region

Value

Length

1

Lockheed Martin

Space & Naval Warfare Systems Command

Systems integration, testing

US

$1.4B

60 months

2

Serco

Space & Naval Warfare Systems Command

Systems integration, testing

US

$1.4B

60 months

3

VT Group

Space & Naval Warfare Systems Command

Systems integration, testing

US

$1.4B

60 months

4

Northrop Grumman

Space & Naval Warfare Systems Command

Systems integration, testing

US

$1.3B

60 months

5

SAIC

Space and Missile Defense Command

Systems integration, maintenance/support

US

$343M

84 months

6

HP

Fomento De Construcciones y Contratas

Infrastructure management

Spain

$300M

84 months

7

Logica

Serious Organised Crime Agency

Infrastructure management

UK

$244M

120 months

8

SAIC

Space and Naval Warfare Systems Center

Application design, systems integration

US

$219M

60 months

9

General Dynamics

Space and Naval Warfare Systems Center

Application design, systems integration

US

$204M

60 months

10

Northrop Grumman

Space and Naval Warfare Systems Center

Application design, systems integration

US

$200M

60 months

Eight of the 10 biggest IT services deals announced in January 2011 were awarded by US defense agencies, according to data from Ovum’s IT Services Contracts Analytics.

Four of those deals were valued at over $1bn, and these mega-deals were awarded to Lockheed Martin, Serco, VT Group and Amsec (a subsidiary of Northrop Grumman) by the Space and Naval Warfare Systems Command (SPAWAR), an organization within the US Navy that designs, develops and deploys advanced communications and information capabilities.

The four providers, which have all received initial task orders and will now compete for additional awards, have been tasked with the installation and operational certification of Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance (C4ISR) systems aboard Navy platforms on the East and West coasts as well as at locations worldwide. If all options are exercised, work will be completed in January 2016.

Alongside the four contracts awarded by SPAWAR, a further four large deals were announced in January by the Space and Naval Warfare Systems Center Pacific, which functions as the headquarters of SPAWAR. SAIC, General Dynamics and Northrop Grumman all secured agreements valued at $200M or more (should all options be exercised), while Booz Allen Hamilton’s deal was worth about $189M, putting it just outside the monthly top 10.

Under the terms of these deals, the quartet will examine the science, architecture, engineering, functionality, interface and interoperability of cyberspace operations systems, services and capabilities. Support will include operations and requirements analysis, concept formulation and development, feasibility demonstrations and operational support. Additional efforts will include software design and implementation as well as systems integration, testing and evaluation.

Away from the US defense sector, and HP announced a $300M contract win with Fomento De Construcciones y Contratas (FCC), a Spanish public services company which offers construction, energy production and waste management. Under the terms of the deal, HP will provide data center services and end-user workplace management across the FCC organization, which takes in over 50 countries.

The only other non-US deal in the top 10 was secured by a team led by Logica and also including Cable & Wireless, Detica and Qinetiq. The consortium was chosen by the UK’s Serious Organised Crime Agency to provide a platform for improved collaboration with its partners and attempt to create efficiencies through consolidation of data centers, networks and desktops.

 

 


 
Related Resources
Free Newsletters
Please indicate your area of interest
Global Services Update - Weekly
This week in Global Services - Tue, Fri
 
Global Services Focus - Monthly
Application Development
Enterprise Applications
Outsourced Product Development
Engineering Services Outsourcing
Infrastructure Management
Finance & Accounting Outsourcing
Customer Care
Procurement
Human Resources Outsourcing
Knowledge Process Outsourcing
Sourcing Strategies & Best Practices
Outsourcing Destinations
 
Announcements & Specials
Email: