Booz Allen Hamilton splits, sells majority of government business to Carlyle Group
Source: INPUT B2G Exchange Blog
Booz Allen Hamilton announces a long expected split of its Federal business from its commercial consulting practice. In addition, the Carlyle Group buys a majority stake in the new Federal unit for $2.54 Billion, or roughly 1x FY07 reported federal prime obligations.
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| “Why the Booz break-up? According to some sources, part of the reason has been attributed to the success of the government unit and an imbalance in profit-sharing. Recently, the government business has been growing at a faster rate than the commercial practice but profits are split between the two groups and most of the owners are on the commercial side. Carlyle Group's long history of investments in government contractors shows a possible new trend with what is now its largest move into services. Most prior investments have been on the manufacturing side of the aerospace and defense (A&D) market.” -Ashlea Higgs, Senior Manager, INPUT Network™ and Teaming Solutions |
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EDS – an HP company and rising force in the federal market?
Source: INPUT B2G Exchange Blog
The combination of HP and EDS in the Federal space will increase their presence in many agencies as well as increase their overall share of the market.
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| “In a market where domain experience and relationships are key to maintain control over allocated dollars, the new "EDS -- an HP Company" should be able to consolidate some competitive positions assuming they can navigate the integration of two workforces.” -Richard Colven, Vice President, Industry Analysis |
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DISA: Head in the cloud
Source: INPUT B2G Exchange Blog
As DISA turns to industry innovations like cloud computing, the warfighter’s expectations and requirements also expand. DISA must look to industry for innovative ideas avoiding the long requirements processes which includes complication specifications in a RFP. DISA will be stealing more innovation from industry and paying for quick turnaround to the soldiers, sailors, airmen and Marines that need it.
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| “With increased innovation and capabilities, the warfighter raises expectations and requirements to match. So, while innovations drive DISA to new capabilities they also create a tension with the traditional requirements/acquisition cycle. Trying to respond, DISA is moving to a more agile procurement process by utilizing vehicles and sources which cut down on time and resources. Industry can expect fewer complex specifications as DISA requests the solution to a problem and relies on managed services to provide the answer.” -Jeremy Potter, Senior Analyst, Federal Homeland Security Opportunities |
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Industry races to hear the future of GSA's Alliant
Source: INPUT B2G Exchange Blog
As John Johnson, GSA Assistant Commissioner was announced to speak at the ACT/IAC Membership Meeting on Wednesday, industry quickly gathered to find out the status and future of GSA’s Alliant GWAC. Johnson provided insight into the court ruling and new Alliant milestones. Even with GSA’s other contract vehicles – Answer and Millennia – being extended to provide a smooth transition to Alliant, many questions remain.
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| “Questions remain. What are the implications for industry and the future of this contract vehicle? With a December 2008 anticipated award timeframe, when can we expect to see task orders beginning to fly through Alliant? Should we expect another round of protests following the December awards? Clearly, GSA has had a hard time getting this vehicle off the ground. With both industry and Federal Government watching to see how Alliant performs, the looming pressure on GSA continues.” -Arash Ardalan, Senior Analyst, Federal |
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GWACed at HHS
Source: INPUT B2G Exchange Blog
Last week the Department of Health and Human Services (HHS), National Institute of Health (NIH), released a Request for Information (RFI) seeking industry comments in regards to the next generation contract to support government IT efforts, with a specific focus on health and research IT. According to the NIH, this next generation contract will be the successor to two of the three current GWACs which are hosted by NIH for the purpose of providing information technology to the government.
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| “Spending on these vehicles is not from HHS, but rather from agencies throughout the federal government on both the civilian and defense sides. According to 2007 FPDS spending data, only 56% of spending on the CIO-SP2i contract is from HHS, significant percentage attributed to the Department of Homeland Security at 12% utilization and the Department of the Army with 10% contribution. This utilization pattern is attributed to the Image World vehicle as well.” -Joshua Temple, Analyst, Federal |
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