Good news, AT and T (T), Sprint Nextel Corp (S), Verizon Communications (VZ), Qwest Communications Intl (Q)
The General Services Administration announced last week that teams of companies led by AT&T Inc. (NYSE: T), Verizon Communications Inc. (NYSE:VZ) and Qwest Communications International Inc. (NYSE: Q) have won the Networx sweepstakes to provide the federal government telecommunications for the next decade. Noteworthy by its absence was Sprint Nextel Corp. (NYSE: S), which has provided these services via the previous two 10-year contracts. Those companies winning the contract will be eligible to bid for federal telecommunications services currently estimated to be worth up to $20 billion, although some suggest the total worth may be twice that amount. For AT&T Government Solutions, this builds on the many existing contracts it holds with departments of the government including Justice, Homeland Security, and the IRS. 4,000 employees already work for this division of AT&T. Its partners in this bid were Bechtel, Cingular Wireless, EDS, Global Crossing, GTSI Corp., Northrop Grumman IT, and SRA International.Verizon packaged its bid with Comtech Telecommunications, G2 Satellite Solutions, HP Proxim Wireless Networks, and WilTel Communications/Level 3 Communications, and Verizon Wireless.For Qwest, this decision represents a huge step forward as a major player in telecommunications services. It brings Akamai, Americom, Lucent Technologies, SAIC, Sykes and WireOne.Sprint's losing bid partners were Hughes Network Systems, InterCall and Lockheed Martin.A second, much smaller part of the Networx program, Networx Enterprise, will be awarded in May. That contract will cover emerging technologies.
