Booz Allen to Bring Best in Class Tech Solutions to FBI

Rhea-AI Summary

Booz Allen Hamilton (NYSE: BAH) has secured a position on the FBI's $8 billion Information Technology Supplies and Support Services 2nd generation (ITSSS-2) blanket purchase agreement. This contract, the largest IT vehicle ever established by the FBI, focuses on obtaining critical technologies for IT support and modernization. Booz Allen will assist in providing emerging technologies and IT support services for various projects and programs, including workplace solutions, business applications, and platform and infrastructure solutions.

The company plans to leverage its expertise in AI, quantum computing, agile software development, advanced data analytics, cloud solutions, and cybersecurity services. Work will be conducted in the Washington, DC area and Huntsville, Alabama, where the FBI is establishing an Innovation Center. This contract builds on Booz Allen's long-standing support for law enforcement and national security missions.

Positive

• Secured spot on FBI's $8 billion ITSSS-2 blanket purchase agreement
• Opportunity to provide critical IT support and modernization services
• Expansion of work in Huntsville, Alabama, a growing tech hub for the FBI
• Leveraging expertise in AI, quantum computing, and other advanced technologies

Negative

• None.

Insights

Financial Analyst

The $8 billion ITSSS-2 blanket purchase agreement with the FBI represents a significant opportunity for Booz Allen Hamilton (BAH). While the exact revenue impact is unclear, as this is a multi-vendor contract, it solidifies BAH's position in the lucrative federal IT modernization market. The contract's focus on critical technologies for IT support and modernization aligns well with BAH's expertise in AI, quantum computing and cybersecurity.

Investors should note that this contract builds on BAH's long-standing relationship with the FBI, potentially providing a stable revenue stream over the contract's duration. The expansion into Huntsville's FBI Innovation Center could open up additional opportunities. However, the competitive nature of government contracts and potential budget constraints could impact the actual revenue realized from this agreement.

Tech Expert

This contract highlights the FBI's push towards advanced technologies like AI, quantum computing and cloud solutions. BAH's role in providing these cutting-edge technologies to a major law enforcement agency could position them as a leader in the government IT modernization space. The focus on emerging tech for direct mission impact suggests a shift towards more sophisticated, data-driven law enforcement strategies.

The mention of an Innovation Center in Huntsville is particularly intriguing, as it could become a hub for developing and testing new law enforcement technologies. This could give BAH a competitive edge in future contracts and potentially lead to innovative products that could be marketed to other agencies or even the private sector.

Market Research Analyst

This contract win reinforces BAH's strong position in the government IT services market. The $8 billion value of the ITSSS-2 agreement indicates the significant investment the FBI is making in technology modernization, which could signal similar trends across other federal agencies. This could lead to increased demand for IT services providers with expertise in emerging technologies and federal contracting.

The expansion in Huntsville aligns with a broader trend of tech hubs developing outside traditional centers, potentially opening up new talent pools and business opportunities. Investors should monitor how effectively BAH capitalizes on this contract to gain market share and whether it leads to additional contracts with other law enforcement or intelligence agencies.

$8B BPA builds on decades of IT modernization for agency

MCLEAN, VA--(BUSINESS WIRE)-- Booz Allen Hamilton (NYSE: BAH) today announced it was awarded a spot on the $8 billion Information Technology Supplies and Support Services 2nd generation (ITSSS-2) blanket purchase agreement with the Federal Bureau of Investigation (FBI). This is the largest IT contract vehicle ever established by the FBI and is focused on obtaining critical technologies for IT support and modernization. This contract builds on Booz Allen’s decades of support to the FBI.

“We are honored to have the opportunity to bring best-in-class, secure, modern technology solutions to the FBI through this contract vehicle—a key tactic in protecting the country from national security threats,” said Carl Ghattas, senior vice president at Booz Allen and leader of the firm’s Law Enforcement and Immigration business. “Booz Allen has supported critical law enforcement missions for decades and we are pleased to have the opportunity to continue to support the FBI efforts to identify and disrupt emerging threats at the speed of mission.”

Under this contract, Booz Allen will assist in providing emerging technologies and IT support services for projects and programs varying in complexity and scope, aligned to critical missions and daily operations centered on workplace solutions, business applications, and platform and infrastructure solutions. Building on past performance and as a leading provider of AI to the federal government, Booz Allen will continue to field emerging technologies, such as AI and quantum, for direct mission impact, in addition to providing agile software development, advanced data analytics, cloud solutions, and cybersecurity services.

Work will take place in the Washington, DC, metropolitan area in addition to Huntsville, Alabama—where the FBI is creating an Innovation Center and campus that will serve as a technology hub bringing new capabilities to the Bureau.

“Booz Allen is ingrained in the fabric of Huntsville, just like the FBI, and we are excited to be a part of the region’s evolution and mission to protect national security alongside key government partners like the FBI,” said Gary Pomajevich, a Huntsville-based distinguished engineer within Booz Allen’s Law Enforcement and Immigration business. “Booz Allen has been investing in the people, technology, and community of Huntsville for years, working to operationalize critical technology, empower and grow the workforce, and ensure mission success.”

This contract capitalizes on Booz Allen’s long tenure of supporting law enforcement, national security, and homeland security missions for the nation. It also reinforces Booz Allen’s commitment to advance the mission by equipping agents and officers with innovative technologies to help collect and organize data, make more informed decisions, and protect against emerging threats.

Read more about Booz Allen’s law enforcement and immigration efforts and how we foster data-enabled missions as a 24/7 critical mission provider.

About Booz Allen Hamilton

Trusted to transform missions with the power of tomorrow’s technologies, Booz Allen Hamilton advances the nation’s most critical civil, defense, and national security priorities. We lead, invest, and invent where it’s needed most—at the forefront of complex missions, using innovation to define the future. We combine our in-depth expertise in AI and cybersecurity with leading-edge technology and engineering practices to deliver impactful solutions. Combining 110 years of strategic consulting expertise with the perspectives of diverse talent, we ensure results by integrating technology with an enduring focus on our clients. We’re first to the future—moving missions forward to realize our purpose: Empower People to Change the World®.

With global headquarters in McLean, Virginia, our firm employs approximately 35,100 people globally as of June 30, 2024, and had revenue of $10.7 billion for the 12 months ended March 31, 2024. To learn more, visit www.boozallen.com. (NYSE: BAH)

Forward-Looking Statements

Certain statements contained in this release include “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Examples of forward-looking statements include statements that do not directly relate to any historical or current fact. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “could,” “should,” “forecasts,” “expects,” “intends,” “plans,” “anticipates,” “projects,” “outlook,” “believes,” “estimates,” “predicts,” “potential,” “continue,” “preliminary,” or the negative of these terms or other comparable terminology. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we can give you no assurance these expectations will prove to have been correct.

These forward-looking statements relate to future events or our future financial performance and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. A number of important factors could cause actual results to differ materially from those contained in or implied by these forward-looking statements, including those factors discussed in our filings with the Securities and Exchange Commission (SEC), including our Annual Report on Form 10-K for the fiscal year ended March 31, 2024, which can be found at the SEC’s website at www.sec.gov. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the foregoing cautionary statements. All such statements speak only as of the date made and, except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

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View source version on businesswire.com: https://www.businesswire.com/news/home/20240808451244/en/

Media Relations: Amanda Allison-Martini, Allison_Amanda@bah.com

Investor Relations: Investor_Relations@bah.com

Source: Booz Allen Hamilton Holding Corporation

FAQ

What is the value of the FBI's ITSSS-2 contract that Booz Allen Hamilton (BAH) has been awarded a spot on?

Booz Allen Hamilton (BAH) has been awarded a spot on the FBI's $8 billion Information Technology Supplies and Support Services 2nd generation (ITSSS-2) blanket purchase agreement.

What types of services will Booz Allen Hamilton (BAH) provide under the FBI's ITSSS-2 contract?

Under the ITSSS-2 contract, Booz Allen Hamilton (BAH) will provide emerging technologies and IT support services, including workplace solutions, business applications, platform and infrastructure solutions, AI, quantum computing, agile software development, advanced data analytics, cloud solutions, and cybersecurity services.

Where will Booz Allen Hamilton (BAH) conduct the work for the FBI's ITSSS-2 contract?

Booz Allen Hamilton (BAH) will conduct work for the FBI's ITSSS-2 contract in the Washington, DC metropolitan area and Huntsville, Alabama, where the FBI is creating an Innovation Center and campus.

How does the FBI's ITSSS-2 contract align with Booz Allen Hamilton's (BAH) existing expertise?

The FBI's ITSSS-2 contract aligns with Booz Allen Hamilton's (BAH) long-standing support for law enforcement, national security, and homeland security missions, as well as their expertise in advanced technologies like AI and quantum computing.