FAQ: Federal government's massive Networx telecom program

Which carriers are bidding? How much is it worth?

An FAQ on the massive government project.

What is Networx?

Networx is a 10-year program that will provide domestic and international telecommunications services including voice, data, video and wireless to the U.S. federal government. (Read a timeline of Networx.)

How much is Networx worth?

Networx has an estimated value of $20 billion.

Who is in charge of Networx?

The General Services Administration (GSA), which handles governmentwide IT acquisitions, is in charge of Networx.

Who can purchase from Networx?

All federal agencies, including military and civilian agencies, can purchase services from the Networx contracts.

How is Networx organized?

Networx is divided into two parts: Networx Universal and Networx Enterprise. Networx Universal provides comprehensive telecommunications services globally, while Networx Enterprise provides emerging IP and wireless services nationally.

What services are on Networx Universal?

Networx Universal provides 48 services including: traditional voice, toll-free, frame-relay, asynchronous transfer mode, VPNs, VoIP, video teleconferencing, call center, Web hosting, managed firewalls, antivirus, managed e-mail and cellular.

What services are on Networx Enterprise?

Networx Enterprise requires secure, IP and managed network services. Carriers may offer a wide range of optional services.

What companies won Networx Universal?

The three winning teams are:

  AT&T's team includes Bechtel, Cingular Wireless, Electronic Data Systems, Global Crossing, GTSI, Northrop Grumman and SRA International.

• Qwest’s team includes Akamai Technologies, Bearing Point, Hawaiian Telecom Services, Lucent Technologies (now Alcatel-Lucent), Science Applications International Corp and Wire One Communications.

• The Verizon Business team includes Accenture, CSC, Fiber Tower, General Dynamics, HP, IntelSat General, Level 3 communications, Mindbank, SkyTel, TeleTech, Verizon Wireless and Viack.

What companies won Networx Enterprise?

The three Networx Universal teams won Networx Enterprise along with teams led by Sprint Nextel and Level 3 Communications.

When was Networx Universal awarded?

March 2007

When was Networx Enterprise awarded?

May 2007

What will the Networx program replace?

Networx replaces the FTS 2001 contracts, which were awarded to Sprint in December 1998 and MCI in January 1999. Other carriers including SBC and Qwest were added to the FTS 2001 program later through FTS 2001 Crossover contracts.

How long has the Networx program been in the works?

Networx has been in the planning and procurement process for nearly four years.

Why should anyone outside the federal government care about Networx?

The GSA’s two predecessor contracts – FTS 2000 and FTS 2001 — affected the overall telecommunications market in the United States. When Sprint won FTS 2000 in 1988, the contract gave the fledgling carrier much-needed credibility. When Sprint beat AT&T for FTS 2001, AT&T’s federal revenues suffered for years. Having the steady, sizeable revenue of FTS 2001 helped MCI weather its bankruptcy in 2002.

Where can I learn more about Networx?

At GSA Networx Overview.

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