HP wins major deal with Veterans Affairs

Hewlett-Packard Co. has won a task order valued at more than $225 million to deploy and manage Microsoft software for all desktop systems at the Department of Veterans Affairs, the company announced Aug. 29.

The contract covers all Microsoft desktop software licensing for VA. The software licensing agreement was made under PCHS II, VA's Purchase of Computer Hardware and Software II contract. Compaq Computer Corp. won PCHS II, shortly before it was acquired by HP.

Veterans Affairs is one of HP's largest federal customers. The department consists of three major entities: the Veterans Health Administration, with 163 medical centers nationwide; the Veterans Benefits Administration, with more than 58 regional offices; and the National Cemetery Administration, providing burial benefits and managing 120 national cemeteries.

"As one of VA's strategic IT partners, HP brings value to the department by leveraging our strategic relationships with global partners such as Microsoft," said Chuck Kinzel, director of HP's Veterans Affairs organization. "Providing these software licenses as part of our integrated approach to working with VA ensures the best end-to-end solution for their needs."

The VA win follows other major awards the Palo Alto, Calif., company has received since it acquired Compaq in May. These include a $17.5 million supercomputer project for NASA, a $35 million desktop and notebook contract with the Internal Revenue Service, and a $70 million storage project with Lockheed Martin Corp., Bethesda, Md., for the Air Force Materiel Command.