Dell gets $20 million hardware purchasing agreement from FAA

Dell Inc. has been awarded a one-year, $20 million blanket-purchase agreement from the Federal Aviation Administration for desktop and notebook computers, servers, storage and other computer products. The contract could be worth as much as $100 million through four renewal options.

All Transportation Department agencies can use the contract, FAA officials said, and receive a discount from Dell on hardware equipment.

FAA entered into a similar contract with Dell last year and, after discussing the matter with department officials, decided to make the deal agencywide. Other DOT agencies include the National Highway Traffic Safety Administration and the Federal Railroad Administration.

Dell won the contract through a competitive solicitation, FAA officials said. FAA would not disclose the other bidders.

The agreement is designed to reduce FAA's total cost of IT ownership and create a standard method of purchasing computer equipment across the department.

Based in Round Rock, Texas, Dell is ranked No. 8 on Washington Technology's 2005 Top 100 list of federal prime contractors.

Robert Thormeyer is a senior writer for Washington Technology's sister publication, Government Computer News.