AT&T wins local telecom contracts

letters@govexec.com

The General Services Administration Thursday selected AT&T as the sole winner of an eight-year contract potentially worth $700 million to provide local telecommunications services to federal agencies in Chicago, New York and San Francisco.

AT&T beat out Ameritech, WinStar, Bell Atlantic and Pacific Bell for the contracts, after losing out to MCI WorldCom and Sprint for the government's long-distance telecommunications contracts last winter.

Under the contract arrangements, AT&T can also offer long-distance service to its local customers. MCI WorldCom and Sprint will be allowed to offer local phone services to federal facilities as well.

GSA is calling its telecommunications contracting strategy "ruthless competition," in which the government harnesses its bulk buying power to extract the lowest rates from telecommunications companies. The new local rates will be 66 percent lower than current government rates-saving the government more than $250 million over the life of the eight-year contract, GSA estimates.

GSA also announced Thursday it is targeting nine more metropolitan areas for telecom contract competitions: Baltimore, Cincinnati, Cleveland, Dallas, Denver, Los Angeles, Miami, New Orleans and St. Louis.

Dennis Fischer, commissioner of GSA's Federal Technology Service, wants to see how low telecom prices can go.

"We are excited that these [local] contracts will meet our agency users' telecommunications needs well into the future," Fischer said Thursday. "In addition to the superior prices we have locked in today, we look forward to even more price competition over the life of these [local] contracts."

Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
FROM OUR SPONSORS
JOIN THE DISCUSSION
Close [ x ] More from GovExec
 
 

Thank you for subscribing to newsletters from GovExec.com.
We think these reports might interest you:

  • Sponsored by G Suite

    Cross-Agency Teamwork, Anytime and Anywhere

    Dan McCrae, director of IT service delivery division, National Oceanic and Atmospheric Administration (NOAA)

    Download
  • Data-Centric Security vs. Database-Level Security

    Database-level encryption had its origins in the 1990s and early 2000s in response to very basic risks which largely revolved around the theft of servers, backup tapes and other physical-layer assets. As noted in Verizon’s 2014, Data Breach Investigations Report (DBIR)1, threats today are far more advanced and dangerous.

    Download
  • Federal IT Applications: Assessing Government's Core Drivers

    In order to better understand the current state of external and internal-facing agency workplace applications, Government Business Council (GBC) and Riverbed undertook an in-depth research study of federal employees. Overall, survey findings indicate that federal IT applications still face a gamut of challenges with regard to quality, reliability, and performance management.

    Download
  • PIV- I And Multifactor Authentication: The Best Defense for Federal Government Contractors

    This white paper explores NIST SP 800-171 and why compliance is critical to federal government contractors, especially those that work with the Department of Defense, as well as how leveraging PIV-I credentialing with multifactor authentication can be used as a defense against cyberattacks

    Download
  • Toward A More Innovative Government

    This research study aims to understand how state and local leaders regard their agency’s innovation efforts and what they are doing to overcome the challenges they face in successfully implementing these efforts.

    Download
  • From Volume to Value: UK’s NHS Digital Provides U.S. Healthcare Agencies A Roadmap For Value-Based Payment Models

    The U.S. healthcare industry is rapidly moving away from traditional fee-for-service models and towards value-based purchasing that reimburses physicians for quality of care in place of frequency of care.

    Download
  • GBC Flash Poll: Is Your Agency Safe?

    Federal leaders weigh in on the state of information security

    Download

When you download a report, your information may be shared with the underwriters of that document.