I worked on the EDS NMCI contract. This was (is) a 7 year outsourcing contract (now extended to 10). This will provide computer support to the shore-side Navy and Marine Corp, 430,000 seats. So, the idea that this contract was unique is false.
The problems encountered by Northrup Grumman and Virginia read like a history of NMCI. Underscoping is endemic to the bidding process: the contracting organization isn't aware of the entire complexity, and so submits a lower bid than the others. When the low bid is accepted they have a very rude awakening.
My only surprise is that the situation isn't much worse.
