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Leidos awarded $823 million DISA task order to operate and sustain modernized DoDNet

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Leidos (NYSE:LDOS) has been awarded an $823 million task order from the Defense Information Systems Agency (DISA) for the Defense Enclave Services (DES) Department of Defense Network (DoDNet) program. This five-year task order is part of a larger $11.5 billion, 10-year contract to optimize network services for Fourth Estate Defense Agencies and Field Activities (DAFAs).

Leidos will provide operations and sustainment for DoDNet, expanding support from 30,000 to over 160,000 users, including 14 additional DAFAs. The company will ensure DoDNet's security, scalability, and operational status by offering IT solutions, cybersecurity support, and network management. DoDNet is expected to support approximately 370,000 DAFA users once fully implemented.

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Positive

  • Secured $823 million task order from DISA
  • Part of a larger $11.5 billion, 10-year contract
  • Expanding support from 30,000 to over 160,000 users
  • Potential to support approximately 370,000 DAFA users

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  • None.

News Market Reaction 1 Alert

-4.57% News Effect

On the day this news was published, LDOS declined 4.57%, reflecting a moderate negative market reaction.

Data tracked by StockTitan Argus on the day of publication.

RESTON, Va., July 29, 2024 /PRNewswire/ -- Leidos (NYSE:LDOS), a Fortune 500® innovation leader, was recently awarded an $823 million task order from the Defense Information Systems Agency (DISA) to provide operations and sustainment for the Defense Enclave Services (DES) Department of Defense Network (DoDNet) program. DISA is working with Leidos through the single-award, $11.5 billion, 10-year indefinite delivery, indefinite quantity DES contract to optimize network services for Fourth Estate Defense Agencies and Field Activities (DAFAs) as they migrate from their legacy systems to the modernized, consolidated DoDNet.

This five-year task order award establishes the long-term operations and sustainment construct that will expand support from just over 30,000 users to more than 160,000 users, including 14 additional DAFAs to be migrated to DoDNet. Leidos will help ensure the DoDNet environment is secure, scalable, and operational by providing resilient and flexible IT solutions, including cybersecurity support, systems engineering, network architecture and management, and comprehensive technical support. DoDNet is projected to support approximately 370,000 DAFA users and workstations once implementation is complete.

This effort provides a more diverse and scalable service offering for the DoDNet user community, including a new Virtual Desktop as a Service solution, supporting DISA's strategic vision of DoDNet to deliver a highly available and reliable network anytime, anywhere, and for any device.

"As one of DISA's largest IT service providers, Leidos is focused on leveraging our innovation, speed, and agility to deliver an exceptional user experience and establish a strong foundation of operations and maintenance support to expand the DoDNet user community," said Steve Hull, Leidos digital modernization sector president. "By delivering the standardized DoDNet, our goal is to enable more efficient service delivery and support across DAFAs to advance the mission of our nation's warfighters and secure our combat operations around the world."

Leidos has been leading operations for the DES program since February 2022.  

About Leidos

Leidos is a Fortune 500® innovation company rapidly addressing the world's most vexing challenges in national security and health. The company's global workforce of 47,000 collaborates to create smarter technology solutions for customers in heavily regulated industries. Headquartered in Reston, Virginia, Leidos reported annual revenues of approximately $15.4 billion for the fiscal year ended December 29, 2023. For more information, visit www.leidos.com.

Certain statements in this announcement constitute "forward-looking statements" within the meaning of the rules and regulations of the U.S. Securities and Exchange Commission (SEC). These statements are based on management's current beliefs and expectations and are subject to significant risks and uncertainties. These statements are not guarantees of future results or occurrences. A number of factors could cause our actual results, performance, achievements, or industry results to be different from the results, performance, or achievements expressed or implied by such forward-looking statements. These factors include, but are not limited to, the "Risk Factors" set forth in Leidos' Annual Report on Form 10-K for the fiscal year ended December 29, 2023, and other such filings that Leidos makes with the SEC from time to time.  Readers are cautioned not to place undue reliance on such forward-looking statements, which speak only as of the date hereof. Leidos does not undertake to update forward-looking statements to reflect the impact of circumstances or events that arise after the date the forward-looking statements were made.

Contact:

Melissa Lee Dueñas
(571) 526-6850
duenasml@leidos.com

Alyssa Pettus
(571) 526-6743
alyssa.t.pettus@leidos.com

Brandon Ver Velde
(571) 526-6257
brandon.p.vervelde@leidos.com

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/leidos-awarded-823-million-disa-task-order-to-operate-and-sustain-modernized-dodnet-302208946.html

SOURCE Leidos Holdings, Inc.

FAQ

What is the value of the task order awarded to Leidos (LDOS) by DISA?

Leidos (LDOS) was awarded an $823 million task order from the Defense Information Systems Agency (DISA) for the DoDNet program.

How long is the task order for Leidos (LDOS) to operate and sustain DoDNet?

The task order awarded to Leidos (LDOS) for DoDNet operations and sustainment is for a five-year period.

How many users will Leidos (LDOS) support through the DoDNet program?

Leidos (LDOS) will expand support from just over 30,000 users to more than 160,000 users, with DoDNet projected to support approximately 370,000 DAFA users once fully implemented.

What services will Leidos (LDOS) provide for the DoDNet program?

Leidos (LDOS) will provide IT solutions, cybersecurity support, systems engineering, network architecture and management, and comprehensive technical support for the DoDNet program.
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