The Department of War has awarded Oracle an enterprise software agreement worth up to nearly $7 billion over 10 years.
The agreement consolidates the department’s on-premises Oracle software licensing under a single direct-award contract negotiated by the Department of the Navy.
The department expects the consolidated structure to save U.S. taxpayers at least $441 million over the agreement’s lifecycle.
The contract includes a five-year base period and an option for an additional five years.
It will support the entire Department of War, along with the U.S. Coast Guard and the Intelligence Community.
Previously, agencies and military organizations could purchase Oracle software through separate agreements. Consolidating those purchases is intended to reduce duplication, provide greater visibility into software usage and improve management of technology spending.
The agreement also seeks to standardize Oracle deployments across the department, making it easier for systems to share information and operate together.
The Department of the Navy said the structure could accelerate delivery of secure software from administrative environments to tactical systems used by Navy and Marine Corps personnel.
The department expects standardization to reduce cybersecurity risk, improve interoperability and allow technology resources to be directed toward systems capable of operating in contested environments.
KEY QUOTES:
“By fundamentally improving how we procure on-premises Oracle capabilities, we are driving at least $441 million in taxpayer savings while rapidly and effectively serving our warfighters.”
“This nearly $7 billion agreement with Oracle strengthens our digital ecosystem, supporting our warfighters with secure, scalable technology to dominate current and future missions.”
Kirsten A. Davies, Chief Information Officer of the Department of War
“Reducing fragmented procurement and advancing enterprise standardization will strengthen interoperability, reduce cybersecurity risk, and help us focus resources on resilient capabilities that can scale, integrate, and endure in contested conditions.”
Barry Tanner, Performing the Duties of Chief Information Officer for the Department of the Navy
