Department of Defense Awards $145M Contract for Appian Software, Hardware, & Maintenance Through the Department of Defense Enterprise Software Initiative (DoD ESI)

Rhea-AI Summary

Appian (Nasdaq: APPN) has announced that three of its partners have been awarded a $145.9 million multiple-award contract through the Department of Defense Enterprise Software Initiative (DoD ESI). This agreement will provide the U.S. Navy with Appian's commercial off-the-shelf (COTS) software, hardware, and maintenance support over a five-year period.

The contract was awarded to Carahsoft Technology Corp., Groundswell, and TD Synnex Public Sector. This DoD ESI program is designed to centralize IT product and service acquisition across the Department of Defense, streamlining procurement and leveraging the DoD's buying power for potential discounts. Appian's inclusion as a key technology vendor under the DoD ESI is seen as a significant endorsement of its capabilities, particularly in the public sector.

Positive

• Secured a $145.9 million contract through DoD ESI, indicating strong government demand
• Five-year ordering period provides long-term revenue visibility
• Endorsement as a key technology vendor enhances Appian's credibility in the public sector
• Contract streamlines procurement process, potentially leading to increased government sales
• Demonstrates Appian's growing momentum in Department of Defense business

Negative

• Contract shared among three Appian partners, potentially limiting direct revenue impact
• Competitive procurement process with 990 vendors solicited may indicate high competition in the sector

DoD ESI lowers the total cost of ownership across the DoD, Coast Guard and Intelligence Communities for commercial software, IT hardware, and services.

MCLEAN, Va., Sept. 10, 2024 /PRNewswire/ -- Appian (Nasdaq: APPN) today announced that three Appian partners have been awarded a multiple-award contract for Appian products through the Department of Defense (DoD) Enterprise Software Initiative (ESI). The agreement, valued at an estimated $145,902,412 will provide the U.S. Navy with Appian's commercial off-the-shelf (COTS) software, hardware, and maintenance support. The multiple-award firm-fixed-price blanket purchase agreements (BPAs) were awarded to Carahsoft Technology Corp., Groundswell, and TD Synnex Public Sector.

The $145M agreement will provide the U.S. Navy with Appian's COTS software, hardware, and maintenance support.

The DoD ESI is a program designed to centralize the sourcing and acquisition of IT products and services across the Department of Defense. ESI contracts, which take the form of BPAs associated with a General Services Administration (GSA) schedule, streamline procurement for DoD purchasers and leverage the combined buying power of the DoD to offer potential discounts. Contractors must be approved technology vendors on the GSA schedule before becoming eligible to participate as a DoD ESI technology vendor, and Appian's inclusion provides government agencies with direct access to its solutions.

"We're excited about the momentum we're building in our Department of Defense business, and we're especially thankful for the collaboration with the Department of Defense on this important initiative," said Dave Dantus, Vice President of US Public Sector Sales, Appian. "Being selected as a key technology vendor under the DoD ESI is a significant endorsement of Appian's capabilities. ESI not only gives the government easier access to Appian, but it also pre-negotiates terms, making the procurement process smoother and more efficient for large enterprise purchases. This framework enables the DoD to easily make significant, impactful buys."

The BPAs will cover a five-year ordering period, with task orders funded primarily by operations and maintenance allocations. The contract was competitively procured through the GSA E-Buy platform, with 990 vendors solicited, three responses received, and three vendors selected for award.

Appian solutions for the public sector represent a new class of enterprise software that offers the benefits of both packaged and custom software. These solutions are specifically designed to enable agencies to gain efficiencies without developing them from the ground up. Key offerings include Appian Case Management Studio for Public Sector that streamlines and automates complex case management applications; Appian Government Acquisition Management solutions that streamline and automate the end-to-end procurement process; and Appian's agility layer that modernizes ERP systems without a complete overhaul by connecting enterprise systems and data.

See why U.S. Department of Defense agencies trust Appian to unify data, automate workflows, and deliver on mission priorities.

About Appian

Appian is a software company that automates business processes. The Appian AI Process Platform includes everything you need to design, automate, and optimize even the most complex processes, from start to finish. The world's most innovative organizations trust Appian to improve their workflows, unify data, and optimize operations—resulting in better growth and superior customer experiences. For more information, visit appian.com. [Nasdaq: APPN]

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SOURCE Appian

FAQ

What is the value of the DoD contract awarded for Appian software?

The Department of Defense awarded a $145,902,412 contract for Appian software, hardware, and maintenance support through the DoD Enterprise Software Initiative.

Which Appian partners were awarded the DoD contract?

Three Appian partners were awarded the contract: Carahsoft Technology Corp., Groundswell, and TD Synnex Public Sector.

What is the duration of the Appian (APPN) contract with the Department of Defense?

The contract covers a five-year ordering period for Appian's products and services.

How does the DoD Enterprise Software Initiative benefit Appian (APPN)?

The DoD ESI provides Appian with easier access to government contracts, pre-negotiated terms, and a more efficient procurement process for large enterprise purchases within the Department of Defense.