Tag: EIS

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Focusing on the EIS Customer Experience

Note: This is a guest blog post by Amando E. Gavino Jr., Director, Office of Network Services, ITS/FAS/GSA. He is responsible for a portfolio of acquisition vehicles that provide government agencies with a diverse set of telecommunications solutions, including Networx, Enterprise Infrastructure Solutions (EIS), SATCOM, Enterprise Mobility, Connections II, and the Federal Relay Service.

On June 22, the General Services Administration (GSA) joined more than 200 representatives from across government and industry for a dynamic, customer-centric discussion about next-generation telecommunications under the Enterprise Infrastructure Solutions (EIS), a comprehensive solution-based vehicle to address all aspects of federal agency information technology telecommunications, and infrastructure requirements.

EIS will provide mission-critical telecommunications infrastructure to the federal government for the next 15 years. It replaces the Networx, Washington Interagency Telecommunications System (WITS) 3, and GSA Regional telecommunications services contracts that expire in May 2020.

This event allowed us to hear from agency officials on a wide range of topics, including:   

  • What they need from EIS
  • How important it is for each agency to find opportunities when transitioning telecom services under current contracts to EIS
  • How they will meet the aggressive transition challenges

I’d like to take this opportunity to share more of the valuable feedback we received during the event. The customer-focused themes and advice give EIS stakeholders across government and industry more insight as we collectively move to EIS.

Top Customer Takeaways

  1. Every federal agency is affected – more than 150 agencies and 60 Tribal organizations
  2. Agencies need to have a sense of urgency, focusing continuously on preparing for their complete transition until finished
  3. The EIS program holds opportunities for agencies, including modernizing, securing and transforming agency infrastructure. Think transformation as a key goal, rather than simply transition to the new acquisition vehicle.  This means approaching EIS transition as an opportunity to transform agency telecom operations and add mission value.
  4. Top priorities for agencies include:
  • Complete transition before the current contracts expire in 2020
  • Increase bandwidth demands
  • Meet agency cybersecurity requirements (cyber is built into EIS)
  • Focus on network modernization
  • See both short and long-term cost savings
  • Pay only for what the agency uses
  • Improve performance at lower cost

  5. Agencies are driving demand, not the EIS acquisition vehicle

  • For example, due to local area networks increasingly connected to wide-area telecommunications networks over Ethernet interfaces (that time-division multiplexing interfaces were challenged to provide), demand drove Ethernet transport to be a mandatory service

  6. To have a successful transition, each agency needs an accurate inventory and strong senior leadership commitment

  • Inventory includes everything from traditional long distance to fully redundant, mission-critical, secure VPNs
  • More than seven million inventory items across 90 regional and eight Networx contracts must move

  7. Engage with GSA early, get the agency contracting officer on board early, and put agency governance in place

  8. Agency Transition Plans are due to GSA in October 2016

  9. Download a free copy of GSA’s just-released EIS Transition Handbook from the GSA Interact site

Industry Takeaways

  1. Industry needs to prepare for the anticipated tsunami of EIS task order requests;  Partners, teams, and processes have to be ready to go
  2. Agencies will be looking for high-quality proposals for task and service orders
  3. EIS wants to deliver tomorrow’s technology today and GSA encourages industry to work with government on ways to make that happen

Common Threads for Everyone

  1. EIS is designed as a flexible and dynamic acquisition vehicle that will require continued collaboration with GSA, government, and industry going forward
  2. All current federal government telecom inventory must be moved to EIS before the end of May 2020 – 47 months from now
  3. EIS will address changing technology needs throughout the life of the acquisition vehicle
  4. The EIS acquisition vehicle is expected to extend into 2031 with continuous technology refresh
  5. Year 2020 is just around the corner. Even though we’re in the midst of the EIS acquisition, we are also planning further into the future. We are updating the NS2020 strategy, which will become the NS2025 strategy

GSA looks forward to continuing this EIS transition customer-centric dialog with our industry and government colleagues. We will continue the conversation on this blog and our GSA EIS Interact community. If you need assistance with agency transition, reach out to us at the IT Customer Service Center at 855-482-4348 or ITCSC@gsa.gov.  And again, please download a free copy of GSA’s just-released EIS Transition Handbook from the GSA Interact site.

Thanks to @ACTIAC and @ITAlliancePS  for supporting our June 22nd transition conversation.  The event was hosted by the ACT-IAC Networks and Telecommunications (N&T) Community of Interest (COI),Information Technology Alliance for Public Sector (ITAPS), and other industry groups.

Please follow us on Twitter @GSA_ITS and LinkedIn to join our ongoing conversations about government IT.

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New Year: New Focus on EIS Transition Planning

(This blog post is part of a multi-week series reviewing data and trends from GSA’s IT acquisition vehicles for FY15. Read previous posts at http://gsablogs.gsa.gov/technology/)

In my last blog post, we talked about the government’s Fiscal Year 2015 (FY15) networking trends and activity as evidenced by GSA’s widely used Networx contract.

Last year was also a breakout year for the government’s new telecommunications initiative: Enterprise Infrastructure Solutions (EIS) acquisition. EIS will be the follow-on contract to replace Networx and regional telecommunications contracts (including WITS 3), which many federal agencies use today. When fully implemented, we expect EIS to:

  • Simplify the government’s process of acquiring information technology and telecommunications products and services
  • Provide cost savings to each agency through aggregated volume buying and price and spend visibility
  • Enable the procurement of integrated solutions
  • Promote participation by small businesses and foster competition
  • Offer a flexible and agile suite of services supporting a range of government purchasing patterns into the future
  • Provide updated and expanded security services to meet current and future government cybersecurity requirements

Government and industry collaborated quite a bit on EIS requirements and planning in FY15. GSA engaged industry, worked with federal partners, held three well-attended industry days, and issued the EIS Request for Proposal (RFP), with proposals due February 22.

Focus on Transition Planning in 2016

Going into 2016, one of the government’s biggest priorities for telecom is planning the transition of services from expiring Networx and regional contracts to EIS.

Validating the current inventory of services on Networx, WITS 3 and other regional contracts requires joint collaboration of GSA, federal agencies, and industry partners.

GSA’s Transition Coordination Center (TCC) completed the initial inventory validation on January 29. We compared multiple data sources and worked with the contractors to match up services and reconcile data.

We  then notified  the agencies on January 29 that the Transition Inventory is ready for their initial confirmation and use in transition planning. Throughout the transition period, GSA will continue working with agencies and industry partners to maintain a valid and current transition inventory for tracking transition progress.

Each agency’s transition inventory consists of “service instances,” which are single records representing each active service that will be impacted by the expiration of the contract it’s on.  By today’s count, there are over seven million service instances that have to be transitioned to EIS before the current contracts expire by May 2020.

Important Steps Agencies Must Take Now

We’ve worked extensively with the agency users of Networx and our regional Local Service Agreements (LSAs) to complete the initial validation of the transition inventory.  These are the steps we’ve followed and guidance given:

  1. Download your agency’s transition inventory from the existing E-MORRIS web application. There is a separate module within E-MORRIS titled “Transition Inventory” that will allow agency users, as authorized by their existing E-MORRIS profile, to see their transition inventory, that will consist of Networx and regional inventory.
  2. Review your transition inventory for completeness and provide feedback to the GSA TCC following the instructions provided by the TCC.
  3. Continue to develop your Agency Transition Plan and continue transition planning. Refer to the EIS webpage for further transition updates and guidance or contact your Technology Service Manager.

Successful inventory validation now will assist agencies with more focused planning in advance of award of the EIS contracts. This will help expedite a smoother transition for each government agency starting next year.

You can reach the TCC by contacting the IT Customer Service Center at 855-482-4348 or ITCSC@gsa.gov.

Are you following ITS on Twitter? If not, join us at @GSA_ITS for updates and to engage us on government IT acquisition topics.

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Looking at Year-End Telecommunications Insights from Networx

(This blog post is part of a multi-week series reviewing data and trends from GSA’s IT acquisition vehicles for FY15. Read previous posts at http://gsablogs.gsa.gov/technology/

In FY15, federal agencies purchased $1.62 billion in network and telecommunication services under GSA’s Networx program. This reflects a 6.3% increase over FY14. Much of the increase was driven by demand for bandwidth, which more than offset declines in purchasing of legacy services like long distance voice, toll-free services, and other obsolete data-oriented services.

The source of the purchasing numbers is Networx billing data. On behalf of federal agencies, GSA operates a billing and inventory system for telecommunications services. These systems allow us to see purchase and price trends for every federal agency as well as the program as a whole.

Overall in FY15, more than 120 federal agencies used the Networx program, which consists of the Networx Universal and Network Enterprise contracts.

Beyond purchasing, a significant milestone in FY15 was the decision to extend the Networx contracts to four of the five Networx suppliers to FY20. This extension gives federal agencies time to transition to the next generation network and telecommunications acquisition – Enterprise Infrastructure Solutions – which is currently an active solicitation. And, the Networx contracting and program offices are using this extension period to continue ensuring our agencies pay not only fair and reasonable prices but better than commercial (in most cases) for services.

Annual Networx Buying Trends

As in FY14, the two largest in-demand core services on Networx continued to be Network-Based Internet Protocol Virtual Private Network (NBIPVPN) and Managed Network Services (MNS), making up 48% and nearly 12% respectively of Networx purchases.  NBIPVPN is simply bandwidth, designed for use within an enterprise.

Demand for these two services continues to grow. Government agencies increased purchasing of bandwidth by 12% and managed network services by 3% in FY15 over FY14. But, the growth trend on these two services tapered from past years. In FY14, the year-over-year growth trends for these two services were 17% for both services.

The real interest around bandwidth purchasing is a trend away from the digital signal hierarchy (DS-1, DS-3) towards Ethernet services. The most common circuit in the federal inventory is the DS-1. However, the number of these low bandwidth circuits dropped by 5.9% in FY15 and for the past five years has a negative compound annual growth rate of 4.1%. Conversely, the growth rate associated with 100MBps Ethernet transport circuits grew by nearly 100% in FY15 compared to FY14. We believe this trend will continue and are acting proactively to ensure our pricing is fair and reasonable given the buying power of the federal government.

Evolving Security Needs

One of the bigger growth areas on Networx was security. Network security is a fundamental component of information technology security. The Managed Trusted Internet Protocol Services (MTIPS) grew at nearly 36% from FY14 to FY15 and the five-year compound annual growth rate is 209%.

MTIPS is a unique service to the government and combines bandwidth and security services. GSA continues to have productive working relationships in the federal IT community to enhance MTIPS. And, we expect demand for MTIPS to continue to grow faster than the rate of Networx as a whole.

Security services, like MTIPS, constantly evolve. They will continue to do so on Networx and on Enterprise Infrastructure Solutions (EIS), which is the follow-on contract vehicle for Networx, the Regional Local Service Agreements (LSAs), and other current contracts. EIS will have a suite of advanced security services in addition to MTIPS.

FY14 to FY15 year-over-year purchase increases are shown below for some of Networx core services:

Highlights of Networx Purchases by Service from FY14 through FY15 Percentage Growth (FY14 to FY15) Percentage of Networx Purchases
Network-Based Internet Protocol Virtual Private Network Service 12.1% 48.4%
Managed Network Services 3.2% 11.6%
Toll Free Services -7.5% 7.5%
Managed Trusted Internet Protocol Services (MTIPS) 35.9% 1.7%

Delivering Cost Savings

One of the missions of GSA is to use the purchasing power of government to drive down prices and reduce costs for agencies. GSA closely and continually evaluates how Networx is meeting this mission, especially around the area of pricing. In FY15, the Networx program saved taxpayers and agency users approximately $670 million on telecommunications, compared to best commercial prices.

GSA calculates savings by keeping and using detailed Networx data on both the services agencies purchase and agency usage volume. Third-party market research allows us to compare best commercial rates for these services to Networx pricing. If you are interested in seeing current year pricing by service on Networx, please visit our Networx Unit Pricer.

Going forward, we will continue to closely evaluate prices paid for services. Through effective data collection, we closely track purchasing by supplier, by service, and by agency. And, based on this data and the subsequent analysis, we will act on opportunities for savings through effective supplier management.

This practice will continue throughout the life of Networx as well as subsequent acquisitions within the Network Services Program.

Please follow us on Twitter @GSA_ITS to join the government IT and networks conversation.

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Improving Government Cybersecurity

(This blog post is part of a multi-week series reviewing data and trends from GSA’s IT acquisition vehicles for FY15. Read previous posts at http://gsablogs.gsa.gov/technology/)

As many are aware, the Office of Management and Budget (OMB) is putting in place tactical and strategic cybersecurity measures in response to threats and events including the recent Office of Personnel Management (OPM) breach. The General Services Administration (GSA) Office of Integrated Technology Services (ITS) is active in this response. In FY15, GSA ITS continued to support government efforts to improve cybersecurity by developing and improving upon the following initiatives:

Supply Chain Risk Management (SCRM)

This initiative supports the IT Security Category Management Plan to establish a Supply Chain Risk Management capability to:

  • Develop FAS ITS Cybersecurity SCRM guidance and controls;
  • Conduct contract reviews of IT Schedule 70 vendors;
  • Manage incidents within FAS ITS contracts;
  • Establish and maintain contact with both internal GSA stakeholders and external agencies on cyber incidents; and
  • Maintain awareness of government-wide supply chain policy/trends.

The implementation of a SCRM capability will give customers confidence that our IT products come from original equipment manufacturers, their authorized resellers, or other “trusted” sources. A policy of buying IT products from trusted sources supports a customer’s ability to strengthen their IT security posture.

Cybersecurity Strategy and Implementation Plan (CSIP)

The CSIP directs GSA, in coordination with OMB and DHS, to research contract vehicle options and develop a capability to deploy incident response services that can quickly be leveraged by federal agencies, on a reimbursable basis. ITS is currently working across GSA and with OMB and DHS to do this in accordance with the timeline established by OMB.

Cybersecurity and Information Assurance (CyberIA) Project

As part of the Federal Acquisition Service (FAS) Category Management Initiative, the Office of Integrated Technology Services (ITS) initiated the Cybersecurity/Information Assurance (CyberIA) Project. The scope of the project is to categorize CyberIA products and services based on the NIST “Framework for Improving Critical Infrastructure Cybersecurity”, which aligns with Executive Order (EO) 13636 “Improving Critical Infrastructure Cybersecurity” and OMB M-16-04 “Cybersecurity Strategy and Implementation Plan (CSIP) for the Federal Civilian Government”. It will also allow federal agencies to more easily identify CyberIA products and services, and offer better access to support market research, acquisition planning, and category management.

US Access

GSA’s USAccess program supports improving government cybersecurity by providing over 100 civilian agencies with credentialing solutions: a vital nationwide, economical, secure, shared service facilitating identity credential issuance, maintenance, and lifecycle management. These identity credentials are used to control access to federal information and facilities. The program currently manages over 600,000 active credentials and has been able to significantly reduce the cost of credentialing for customer agencies of all sizes through the shared service platform.

Federal Public-Key Infrastructure (FPKI)

The Federal Public-Key Infrastructure Management Authority (FPKIMA) enables the best and most cost-effective identity management practices for secure physical and logical access, document sharing and communication across the federal government and with the private sector. The FPKIMA enables agencies to achieve their e-government and identity management goals. The FPKI Trust Infrastructure has helped agencies reduce document handling, shipping, and processing costs as well as reducing network intrusions. In addition, the Trust Infrastructure enables interoperability between the over 5 million issued HSPD-12 credentials and other industry approved digital certificates.

Alliant 2 and Alliant 2 Small Business Cyber Security Requirements

GSA has baked in minimum-security standards for select contractor systems, the handling of government sensitive data and information technology, contractor security clearances, and homeland security in our GWACs at the contract level. At the task order level, contractors must comply with all GSA IT Security Policies, all applicable GSA and NIST standards and guidelines, and other government-wide laws and regulations for protection and security of information technology, e.g., Federal Information Security Management Act (FISMA) of 2002.

Network Services

Cybersecurity has always been a key aspect of GSA’s Network Services Programs, and we’re stepping it up in the Network Services 2020 era. Today, Networx includes baseline standards and security services, such as the Managed Trusted Internet Protocol Service (MTIPS) that currently provides Trusted Internet Connections-compliant managed security services to over 60 agencies.

Tomorrow, NS2020 will enable interoperability and further the migration from legacy technologies to a converged IP environment, ensuring cybersecurity is built in and inherently part of the government’s telecom infrastructure. Programs in the portfolio will specify cybersecurity requirements and include an even broader range of pre-defined, flexible security services.

For the Enterprise Infrastructure Solutions acquisition, we worked closely with DHS and ensured state of the art cybersecurity measures are applied to all applicable services. In addition to provisions to facilitate the implementation of EINSTEIN 3A for all agencies, EIS contains MTIPS, a range of Managed Protection Services, and Intrusion Prevention Services. And cybersecurity considerations appear throughout the NS2020 portfolio. For example, the recently launched Mobility 2.0 initiative will encompass managed mobility, including Mobile Device Management and Mobile Application Management, both critical aspects of mobile security.

Moving Forward

ITS is committed to help government as a whole improve cybersecurity. We stand ready to work with agencies to explore ways our IT solutions can help reduce costs, minimize duplications and redundancies, and save money. Our job is to help support you to focus on your missions while maintaining quality and reducing costs.

And remember to follow us on Twitter@GSA_ITS to join the conversation.

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Regional Telecom

In my last post, we talked about GSA’s issuance of the Enterprise Infrastructure Solutions (EIS) Request for Proposal (RFP) on October 16, 2015.  On the heels of this important milestone, GSA is announcing some changes in our Regional Network Services Program.

The Regional Network Services Program (RNSP) resides within the General Services Administration’s Office of Integrated Technology Services (ITS).  The program provides telecommunications service delivery and technical support for federal agencies nationwide. (GSA services are available in all states and also in Puerto Rico, the Virgin Islands, Guam, Samoa, and the Northern Marianas Islands.)

The program’s FY2015 business volume exceeded $450M managing more than 80 Local Service Agreements (LSAs) or contracts with all major suppliers of telecommunication services, including the largest and most well-known of the LSAs–the WITS 3 Contract.

The Regional Program offers significant economic value to its customers by offering excellent–and in most cases, the best–prices available to government agencies.

The following table shows the average monthly prices for basic telephone service offered by the program in FY2016 and FY2011. As noted, average RNS Program prices have decreased, whereas prices in the broader U.S. economy have increased for business local telephone service. Prices in eight of 11 regions have decreased.

Average Monthly Recurring Charge –
Basic Telephone Line
Region FY2011 FY2016 CAGR*
1 $27.14 $22.76 -3.46%
2 $29.77 $20.21 -7.45%
3 $21.61 $21.59 -0.02%
4 $22.54 $14.40 -8.57%
5 $24.23 $21.38 -2.47%
6 $35.28 $28.65 -4.08%
7 $20.70 $23.32 2.41%
8 $26.15 $31.01 3.47%
9 $28.03 $19.07 -7.41%
10 $17.66 $19.27 1.76%
11 $16.43 $9.29 -10.78%
Program Average
(Regions 1-11)**		 $19.43 $14.41 -5.81%
Producer Price Index-Business Local
Telephone Service***		 $101.80 $108.10 1.21%
  • * The compound annual growth rate (CAGR) provides a constant growth rate over a multi-year period.
  • ** All averages are weighted averages.
  • *** PPI – Business Local Service (Wired Telecommunication Carriers) is tallied by the Bureau of Labor Statistics (Product Code No. 517110-112).

Full-Service Delivery Model

The Regional Network Services Program supports a full-service delivery model in Regions 1-10, where GSA works solely with telecom service providers on behalf of its agency customers. (The WITS3 program in Region No. 11 is an exception; it is a “customer direct order” contract.)

Full-service delivery allows agencies to focus on their missions rather than manage the complexities and risks inherent in telecom/datacom procurement and operations.

Moreover, agencies derive significant imputed savings (stemming from federal agency cost avoidance) when opting for full-service, since GSA assumes responsibility for the following:

  • Providing telecom requirements analysis and specification;
  • Conducting acquisition and “fair opportunity” decisions;
  • Placing service orders for moves, adds, and changes;
  • Transitioning service from one service provider to another (where applicable);
  • Assuring prompt payment to vendors;
  • Reconciling monthly invoices with inventory; and
  • Providing ongoing inventory management and vendor oversight.

As part of the recent introduction of category management, the Regional Program has instituted a common, nationwide fee structure for its services in FY2016. Effective category management makes use of market intelligence and expert guidance in procuring goods and services in the telecommunications category. In addition, category management aims for pricing transparency and simplicity. The Regional Program has accordingly introduced a common program fee structure across all LSAs in Regions 1-10.

GSA is also pleased to announce the extension of the GSA National Capital Region’s WITS 3 Contract effective September 10, 2015 with the WITS 3 contract holders, Level 3 and Verizon. Under the extension, the contract Period of Performance consists of the following:

  • A three (3) year base period (November 8, 2015 – November 7, 2018)
  • A one (1) year option period (November 8, 2018 – November 7, 2019)
  • A final option period (November 8, 2019 – May 30, 2020)

The follow-on contract to WITS 3 and the Regional LSAs is the Enterprise Infrastructure Solutions (EIS) Contract.  GSA is focusing increasingly on transition planning from the Regional telecommunications contracts to EIS.

Agencies should also be working on transition plans.  We look forward to collaborating with agencies for the transition to EIS.

If you haven’t already been in touch with us, please go to the EIS webpages and download the template for transition planning or contact your GSA Technology Service Manager.

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Enterprise Infrastructure Solutions (EIS) RFP is Here!

spinning globe with silhouette overlay of binary code

GSA issued the Enterprise Infrastructure Solutions (EIS) Request for Proposal (RFP) on October 16.  

Issuing the RFP represents a major milestone for government in two significant ways.

First, it means that we are well on our way to providing the federal government the comprehensive solutions based vehicle for telecommunications and IT infrastructure services that our customer agencies need.  

Second, the RFP is a great example of the collaboration and teamwork that allows us to be responsive continually to existing and emerging needs of government and industry. We feel very confident that the results achieved by the EIS acquisition will provide our customers flexibility, choice and convenience, and industry an agile platform for meeting unique agency requirements for the future.

In the spring and summer leading up to the RFP release, we held three information exchange days with industry. Over 150 industry and agency participants attended each session. In addition, we held over 60 one-on-one meetings with individual companies and obtained input from the ACT-IAC NS2020 Working Group and the NS2020 Interagency Advisory Panel (composed of Federal IT and Acquisition Executives). We received over 1,600 comments on the draft RFP that we analyzed. The final EIS RFP incorporates that feedback and comments received from numerous meetings with individual agency CIOs, the NS2020 Executive Advisory Panel, and industry.

I am confident that the final product will give industry flexibility to offer technologically current solutions to agencies at great prices, and agencies will have the flexibility to easily adopt those solutions to meet their mission needs.

We are looking forward to some robust competition on EIS.  It is still our goal to have EIS ready for agency use in early 2017.

Preparing for the Transition

In the meantime, we are focused on preparing for the transition from Networx and our Regional telecommunications contracts to EIS.  The three-year Networx contracts extensions to 2020 give agencies time to transition to EIS. We are also extending many of our local service agreements, including the Washington Interagency Telecommunications Contract 3 (WITS 3), to 2020. It’s imperative that federal agencies complete the transition of all their telecom services to EIS by May 2020 as this is the hard deadline for contract expiration.

Together, industry, agencies, and GSA have a lot of work to do to achieve the May 2020 deadline for transition. We have solicited industry ideas for the most efficient ways to transition services. The transition effort is the next opportunity for agencies and industry to continue the high level of collaboration so far achieved under the EIS initiative.  We look forward to the challenge.  

Agencies should now be working on transition plans and telecommunications services inventories, both essential steps to a timely transition. We are currently working with some agencies on these steps. If you haven’t already been in touch with us regarding transition planning, please go to the EIS webpages today and download the template for transition planning or contact your GSA Technology Service Manager.

Please check out and register on our EIS Interact site for status updates on EIS and our transition efforts. And be sure to follow ITS on Twitter @GSA_ITS for updates on all GSA’s IT offerings.

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Networx Buying, IP Services, and Ethernet Migration Grow in FY 2015

For this Great Government through Technology Blog post, we welcome special guest author Bill Lewis, the Program Manager for GSA’s Networx program.

Most federal agencies continue to purchase network services through GSA’s Networx telecommunications program. Federal communications purchasing in the first half of FY 2015 shows that Networx continues to be a stable program with steady growth driven by demand for bandwidth. Overall, purchasing for network services on Networx exceeded $820M in the first half of the fiscal year, a 7.6% increase over the same period last year.

Like our last telecommunications insight blog, we wanted to explore and dive into some interesting trends we’ve seen in our Networx program. These purchases–and their associated trends–are also helping us shape the next-generation Enterprise Infrastructure Solutions (EIS) contract, which GSA intends to have ready for government-wide use in 2017.

Internet Protocol Services Sales Dominate

Twenty years ago, more than 70% of federal purchases were voice related — either long distance voice or toll-free services. Unsurprisingly, today less than 10% of the purchases are voice-related services. Most of us have seen this same trend in our personal buying.  

Today, the bulk of services purchased are Internet Protocol (IP)-based services. Sixty percent of federal spending on Networx  is Network Based IP Virtual Private Networks (NBIPVPN) and management of these services. In the first half of FY2015, NBIPVPN purchasing is up 14% and purchasing services to manage this bandwidth is up 12%.

Purchase trends for various Networx services are shown below.

 Networx Service Type  Purchase Volume (FY15 First Half)  Percentage Change (First Half, FY14-FY15)
 Network Based IP Virtual Private Network Bandwidth  $391.1M  14%
 Managed Network Services  $102.0M  12%
 Toll Free Services  $64.4M   -10%
 IP Services (External Bandwidth)  $28.5M   8%
 Long Distance Voice Servies  $19.8M   -6%

 

Migration to Ethernet Technology

In terms of networking technologies, federal wireline purchasing is clearly migrating away from the traditional digital signal hierarchy towards native Ethernet.

The bulk of the federal inventory of bandwidth is still around the traditional DS-1, Digital Signal Hierarchy Level 1, which is a 1.5Mbps service. But in the past five years, the number of DS-1s in the federal inventory has shrunk nearly 4% annually. And number of “sub-rate” DS-1s (circuits with less than 1.5Mbps) has shrunk over 6% annually over the same period.  

Many of us have more bandwidth going into our homes than a DS-1, so it’s no surprise federal agencies are demanding more bandwidth as well. We rely more on applications stored in remote data centers or the cloud as we use more video, and rely on other services around unified communications.

We’ve seen some migration towards 45Mbps services, a “DS-3”, where growth was up 21% over the past five years. Now the trend is slowing, as evidenced by DS-3 growth only up 8% through the first half of this year. This slowdown is expected since DS-1s and DS-3s are legacy services originally designed for Time Division Multiplexing (TDM) equipment and voice-dominated networks.  

Because Ethernet services are designed for networks dominated by IP-based data rather than voice, Ethernet growth is higher as shown below for the past five years.

 Ethernet Purchasing off Networx  5-Year Annual Compound Rate
 10 Mbps Ethernet  138%
 100 Mbps Ethernet  78%
 1 Gbps Ethernet  60%

 

Shaping EIS and Preparing for Transition

Networx purchase data has driven some of the requirements for GSA’s EIS contract, which is in its final stages of development. For example, Ethernet will be a required service under EIS. But we haven’t developed EIS requirements in a vacuum by simply looking at historical purchase data.  

This spring and summer, we held three information exchange days with industry. These were well-attended, lively events, with over 150 participants in each session. In addition, we have been in frequent contact with government agencies and industry in other forums and individually to shape EIS.  

Over the next year, we will go through the acquisition process on EIS. At the same time, we are preparing for the transition from Networx and our regional telecommunications contracts to EIS.  As you know, we are extending the Networx contracts three years to 2020 to give agencies time to transition to EIS.  Four of the five Networx suppliers have submitted modification extension proposals.

We are also extending many of our local service agreements, including the Washington Interagency Telecommunications Contract 3 (WITS 3), to 2020. We are also working with agencies to develop transition plans and examine inventories of telecommunications services, both essential steps to a timely transition. Agencies will transition all telecom services, including secure Internet and data services as well as voice and toll-free services.
Please check out and register on our Interact site for status updates on EIS and our transition efforts. And be sure to follow ITS on Twitter @GSA_ITS for updates on all GSA’s IT offerings.

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Regional Telecom Extensions Underway

Federal government agencies largely order their telecommunications through GSA’s Networx telecommunications program or through our Regional Local Service Agreements (LSAs) for local telecommunications.

As announced in March, we are extending the period of performance for the Network Universal and Enterprise contracts from 2017 to 2020.

We are currently working with our industry suppliers to extend the LSAs, including the Washington Interagency Telecommunications System (WITS) 3 contract in the metropolitan DC area.

In addition, we are working closely with our federal agency partners to begin rigorous transition planning and preparation. These extensions will allow agencies time to develop requirements and evaluate and implement solutions using the follow-on Enterprise Infrastructure Solutions (EIS) contract and/or other contracts in the GSA ITS portfolio.

As part of our overall NS2020 strategy, we will also be incorporating services currently available on our regional LSAs into EIS, eliminating the need for many duplicative contracts.  To bring these two programs together and minimize transition time, cost and risk, GSA will extend those LSAs expiring earlier than 2020 to coincide with the Networx contract extensions to 2020.

No Longer Pursuing RIS

GSA originally looked at a Regional Infrastructure Solutions (RIS) strategy to extend service for the expiring Regional LSAs by consolidating acquisitions and awarding interim contracts to provide service continuity until the competitive awards of EIS were made.

That approach would involve three larger geographic interim solutions: Northeast Infrastructure Solutions (NIS), Western Infrastructure Solutions (WIS), and Central Infrastructure Solutions (CIS).

However, in looking further at the approach, we found the schedules for the EIS and RIS procurements began to run parallel, and we questioned the purpose and cost effectiveness of separate RIS acquisitions. Industry partners and agencies were also concerned about RIS running in parallel with EIS and the additional acquisition investments the approach would have required.

GSA found eliminating the RIS acquisitions could achieve significant savings for industry and government and avoid unnecessary duplication and transitions.

Focusing on EIS

With our full focus now on EIS, we have a lot of information to share with you. And we’re also hoping you’ll continue to share your input with GSA as we work to finalize the EIS requirements.  To facilitate the sharing of information, we created the new EIS Interact Community and created a series of Information Exchange Days. Register now for the last Information Exchange Day on June 30.

Please follow us on Twitter @GSA_ITS to hear more about EIS and to join GSA’s ITS’s overall acquisition conversations.

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EIS Takes Big Steps to Collaborate

It’s April. It’s Spring. And, it’s the time of year when we do spring cleaning to revitalize our lawns, clean messy garages, and refresh our winter-weary homes.

It’s also a great time to kick off a series of live GSA Enterprise Infrastructure Solutions (EIS) “Information Exchange” sessions with industry and launch a new EIS interactive online community for federal government agencies and potential industry partners.

EIS is the main component of the Network Services 2020 (NS2020) Strategy. It will replace GSA’s Networx and regional and local contracts, which many agencies currently use to acquire best-value IT, telecom, and infrastructure. Agencies will start to transition in 2017.

Attend Information Exchange Days

We issued an EIS Draft Request for Proposal (RFP) in February. Our partners in government and industry responded with more than 1,500 comments on the Draft RFP. We’re excited about the amount of interest in the Draft RFP and we’re looking forward to good, constructive conversations.

We’ll continue this productive dialog during “information exchange” days before we issue the RFP.  These “information exchange” sessions are open to government and industry and will take place on April 27, May 28 and June 30.

The information exchange sessions will give government and industry a chance to talk about the upcoming RFP and discuss common themes, insights, and issues. Stay tuned to the EIS Interact Community for how to register for the remaining sessions. Space is limited.

Join EIS Interact Community

To make EIS a success, we must ensure continuous collaboration and feedback. The EIS Interact community opened on April 17. This open forum is for GSA, agencies, and industry to continually collaborate and share ideas.

The EIS transition planning process, for example, has started. In order to be successful, we need to share insights and lessons learned. On the Interact community, we can jointly share transition insights and lessons to add value for every agency and make government-wide transitioning smoother overall.

How valuable the open forum will be depends on the value of member contributions. When we share good generic tips, ideas, and helpful insights, we serve our shared needs.

For any non-public discussions, including those related to proprietary information, you should use the EIS mailbox, which is EIS.Mailbox@gsa.gov.

To join the Interact community, visit the site to become a member. You will have access to community postings, including from GSA, and can participate, share and receive helpful information via the discussions.

Collaboration is Shaping EIS from the Start

These efforts mark the next logical steps in our continued emphasis on EIS collaboration.

Government and industry working together has been part of the EIS acquisition effort from day one. This is vital to ensure federal agency needs are met and industry partners have input early into the contract.

Our first step was to gather feedback and input on lessons learned from current contracts and past telecom transitions.

We’ve issued Requests for Information (RFIs) and posted a Draft Request for Proposal (RFP) on FBO.gov to gather EIS input and recommendations from stakeholders and share the planned EIS approach.

We continue to work in partnership with government agencies and industry partners, such as with one-on-one meetings, working groups, advisory panels, and by participating at other government and industry events.

This Spring marks a new season in collaboration. We encourage you to join the EIS Interact Community and come to information exchange days. Let’s keep moving in the right direction together!

If you need help or information on GSA’s EIS acquisition, go to our EIS Webpage.

And don’t forget to follow us on Twitter @GSA_ITS to join GSA’s IT acquisition conversation.