Single award likely for Navy’s NGEN contract

New estimates for the value of the IT infrastructure contract give it a $10 billion price tag.

The Navy will likely pick a single winner for the Next Generation Enterprise Network despite having two separate solicitations for the project.

The service is asking for a combined response to the two solicitations, said Brian Haney, Deltek’s vice president of client services.

The huge contract is the follow on to the Navy/Marine Corps Intranet contract held by Hewlett-Packard Co. to operate the service’s IT infrastructure.

The Navy has estimated that the value of NGEN is more than $14 billion but Deltek estimates the value is likely closer to $10 billion over five years, Haney said at the firm’s FedFocus event.

“They are only asking for $1.7 billion for the contract in the first year,” he said.

In addition to HP, other teams bidding on the contract are being led by Harris Corp. and Computer Sciences Corp.

The request for proposals is expected to be released by the end of the year with awards expected by December 2012.

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