Air Force awards $1B cloud migration contract to Dell, GD, Microsoft

The Air Force's $1 billion award to a team comprised of Dell EMC, General Dynamics and Microsoft may be the largest cloud contract in the government market

The task order, known as Cloud Hosted Enterprise Services (CHES), will move 776,000 users in the Air Force, the Defense Logistics Agency and the U.S. Army Corps of Engineers to a cloud-based system for email, unified communications and other collaboration tools.

The task order was issued under the GSA Schedules held by each company. They formed what GSA calls a Contractor Team Arrangement, which allows the companies to offer a solution that combines the supplies and/or services from each company’s individual GSA schedule contract.

Dell EMC is the lead on the team because it is a major reseller of Microsoft Office 365 cloud products.

“By complementing each company’s capabilities, the Dell-GDIT-Microsoft team is able to offer a comprehensive, cost effective, commercial CHES solution to the government,” said Dan Busby, a vice president and general manager of IT services and solutions at GDIT.

Busby said that given the complexity of what the Air Force was asking for in its solicitation there was no single GSA enterprise as a service blanket purchase agreement that could meet all of the requirements.

The three companies began working together in 2015 on the Air Force’s $296 million Collaboration Pathfinder contract, which deployed email, productivity tools and communications to 140,000 users. At the time, Microsoft said it was the largest cloud migration in the federal government.

This new contract expands on Collaboration Pathfinder with a wider scope, Dell EMC said in a statement. The companies claim it is the large contract for unified communications and collaboration in the federal market.

“The objective is to roll out the entire program in under a year, a schedule that will allow the services to focus on their core mission and reduce costs as data centers are consolidated,” the company said.

The contract includes Dell EMC consulting services for migrating communication and collaboration systems and assessing other applications for cloud migration or retirement.

“This new contract builds on the foundation and success of Collaboration Pathfinder that launched the department’s modernization initiative,” said Steve Harris, senior vice president and general manager of Dell EMC Federal.

About the Author

Nick Wakeman is the editor-in-chief of Washington Technology. Follow him on Twitter: @nick_wakeman.


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