NASA signs decade-long, $2.5B outsourcing pact with HP

03.01.2011

"Technology changes rapidly and the methods of contracting and purchasing also changes," said Bjorklund. "If you have a contract that is too long both the government and the contractor can get set in their ways and not necessarily embrace better ways of doing things."

Bjorklund said that seven years is about the average for contracts of comparable value. Even though the HP contracts include two options for renewal, government agencies almost always exercise the renewal option, he added.

Bjorklund did note that long contracts can help the contractor better plan ways to keep costs down over the lifecycle of the contract.

NASA's contract with HP is part of its IT infrastructure integration program, which includes adopting management practices that align with the IT Infrastructure Library (ITIL), along with improved security.

Defense contractor Lockheed Martin has been providing outsourcing desktop services for NASA.