Level 3, Sprint suffer from feds slow transition to Networx
AT&T, Verizon winning most of the contracts in delayed telecom overhaul
- By Washington Technology staff
- Jul 11, 2011
Larger rivals are beating out Sprint Nextel and Level 3 Communications in securing contracts with federal agencies under the huge Networx telecommunications contract, reports The Washington Post.
About $1.2 billion in annual communications spending was supposed to be transferred to the Networx program from the FTS2001 system by last summer, but agencies still haven't transitioned $684 million, more than half, in work to the new system.
Records show Verizon Communications and AT&T have won most of the stopgap work, and delays in the transition have meant fewer opportunities for contracts for Level 3, which is only on the Networx contract, the article said.