Compaq Wins $30 Million Social Security Deal

Compaq Computer Corp. of Houston has won a contract to replace nearly one-third of the desktop computers the Social Security Administration uses to manage benefits for approximately 45 million Americans, the company announced April 24.

Under the contract, valued at more than $30 million, Compaq will replace 32,000 computers during the next five months. SSA also decided to exercise an option to award a follow-on blanket purchase agreement to Compaq.

The agency estimates it will purchase 10,000 more computers from Compaq for a total of 42,000. The blanket purchase agreement extends Social Security's purchasing period through April 15, 2002.

"We see this as a wonderful opportunity to show [Social Security] how much Compaq can offer in terms of its innovative products, integrated into cost-effective, enterprisewide solutions that can be delivered globally," said Ron Ross, president of Compaq Federal LLC.

Over the next five months, Compaq will pre-configure Deskpro EN Workstations with a special series of software from Social Security. It will install these units with peripherals in 945 agency and state Disability Determination Service locations in the continental United States, Fairbanks, Alaska, the Virgin Islands, and Mayaquez, Puerto Rico.

"Fulfilling an order of this magnitude is like deploying an army," said Steve Vollintine, vice president of Compaq Client Services for Government and Education Markets. "This multivendor solution required Compaq to obtain specific products, configure everything to [agency] requirements, and get these units packaged up and out the door. Yet, in only two weeks, Compaq was able to ramp up to an ambitious production and delivery schedule."

Working with Social Security employees, Compaq Global Services will provide site coordination, scheduling and installation of about 2,000 workstations per week.

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