NASA has given a new information technology contract worth up to $2.5 billion to Hewlett-Packard’s Enterprise Services division.
The contract means Hewlett-Packard will deliver and maintain personal computing equipment, software, mobile technology needs and other services for NASA end users.
“It’s basically everything that’s plugged into the wall that’s IT,” NASA spokesman Michael Sweigart said. “This contract combines some services on a number of different contracts across the agency.”
The initial contract is for four years with two optional three-year extensions. The $2.5 billion cost would be the maximum value for the full 10-year contract period.
Hewlett-Packard executive Dennis Stolkey called the contract “very important for H-P.”
“We are honored to have been selected,” said Stolkey, the company’s senior vice president for enterprise services to the U.S. public sector.
Many of the services coming from Hewlett-Packard for NASA were previously provided by Lockheed Martin Corp.
A spokeswoman for Lockheed said in an e-mailed statement, “Our team is disappointed that NASA selected another solution. We submitted a ‘best-value’ solution based on our knowledge of the program and our understanding of NASA’s mission. We continue to serve NASA on other contracts.”
The contract gives Hewlett-Packard a chance to serve the U.S. government’s main aeronautics and space research center. Beating out Lockheed Martin, gives the particular division of Hewlett-Packard that delivers the contract a strong boost. Lockheed will certainly remain a strong provider of technology support for the government and will continue to provide NASA with technology services and support.
In 2008, Hewlett-Packard acquired EDS which provided many other government and Fortune 500 companies IT Services. The acquisition boosted the company to 9th on the Fortune 500 Company list and strengthened its own IT Infrastructure and Services Division with the likes of IBM. Hewlett-Packard trades under the NYSE as trading symbol HPQ.
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