federal cloud opportunities market snapshot - govwin

Federal Cloud Opportunities Market Snapshot March 2012

©Deltek 2012, All Rights Reserved 2

Reason for This Topic

In late 2010, the U.S. Chief Information Officer (CIO) released the 25-Point Plan to Reform Federal Information Technology Management. As part of the reform, the government issued a “cloud first” policy that requires agencies to adopt “cloud-based solutions whenever a secure, reliable, cost-effective cloud option exists” i

Understanding that the Federal IT budget will remain flat, at best, over the next three to four years, it becomes obvious that agencies will begin to embrace cloud computing not only as one path to cost savings, but also to:

in order to take advantage of the economical, flexible and fast IT deployments facilitated in a cloud environment.

• increase speed associated with application development, testing and migration of systems to operational environments that offer agility and scalability;

• spur innovation in areas like collaboration, social media, and mobility; and

• empower federal end- users by providing them with technology they commonly have at home.

In the Federal Cloud Computing Services Outlook, FY 2012-2017, Deltek found that the aggressive pace of cloud computing requirements, combined with the incompatibility of the acquisition process with cloud computing, has created a fractured market with parallel avenues of opportunity. The majority of federal cloud opportunities anticipated to be released in the next year can be categorized into one of the following areas: (1) determining an organizations’ cloud strategy, (2) enabling an organization’s cloud readiness, or (3) implementing a pure cloud-based solution.

This report provides a market snapshot of fifteen federal cloud opportunities that are representative of these areas, with summaries and significance of each.

Bottom Line

Cloud computing is the next iteration in the evolution of Federal Information Technology evolution. Deltek has observed a dramatic increase in the number of cloud related procurements in GovWin IQ since 2008. The combination of policies being put in place to support the procurement and implementation of cloud solutions will speed adoption. Deltek projects increased spending for cloud initiatives over the next five years, reaching $3.2 billion by 2017.

Key Points Cloud Opportunities

There are currently three categories of cloud opportunities in the federal market: Cloud Enabling, Cloud Strategy, and Pure Cloud.

Early Adopters Agencies that are leading the way with cloud implementations include GSA, DHS, NOAA, VA and Treasury.

Doing More With Less A recurring theme in the FY12 and FY13 budget requests, cloud computing appears to be an avenue for agencies to move forward with IT modernization, providing more functionality within the constraints of reduced budgets.

Market Projections Deltek projects that the cloud computing market will grow at a CAGR of 34%, reaching $3.2B by FY17.

How to Procure? The combination of federal guidance for agencies and industry through policies like FEDRAMP, “Cloud-first”, and “Shared-first,” as well as the creation of cloud-specific procurement vehicles, like GSA’s Infrastructure as a Service (IaaS), should propel the federal cloud market forward, albeit at a modest pace.

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What is the Cloud?

Cloud computing is officially defined by the National Institute of Standards and Technology (NIST)ii

The following concepts are also officially defined by NIST and are used throughout this report. In lieu of providing lengthy NIST definitions, each is presented in laymen’s terms with examples.

as “a model for enabling ubiquitous, convenient, on-demand network access to a shared pool of configurable computing resources (e.g., networks, servers, storage, applications, and services) that can be rapidly provisioned and released with minimal management effort or service provider interaction.”

Infrastructure as a Service (IaaS): The department or agency buys storage space and/or computing resources, or infrastructure to deliver various business solutions, with the objective of being able minimize costs when supporting an emergent need. Examples of IaaS include DISA RACE “…a self-service portal through which users can provision services in 50GB increments through a government credit card. Project and software designers have increasingly used RACE to meet their infrastructure needs rather than relying on custom infrastructure configurations.”

Cloud Service Delivery Modes

iii

Software as a Service (SaaS): The department or agency buys a service that is hosted by the service provider, relieving the agency of the responsibility of buying the hardware, and installing and managing the service software. Examples of SaaS offerings are email and customer relationship management (CRM) services.

Platform as a Service (PaaS): The department or agency buys a service, such as development tools or database management systems, enabling custom application development in a cloud environment. The agency is not responsible for the underlying cloud infrastructure, but maintains control of the applications developed and deployed. Example: DISA’s forge.mil is a collaboration and application lifecycle management platform that offers open source and open source-like application development. Forge.mil currently has 13,000 users and 700 projects.

Private Cloud: A cloud environment utilized by one, and only one, agency. Example: The Army Private Cloud contract was awarded in January 2012 to multiple vendors to support server consolidation and data center optimization. See Deltek opportunity #

Cloud Deployment Models

61265 for additional details, including reported spending.

Community Cloud: A cloud environment developed for and used by a group of agencies, typically with common mission objectives, to pool resources and computing capabilities.

Public Cloud: A cloud environment that is utilized by anyone and is not specific to the federal government. Public clouds are owned by the cloud provider. Examples of federal agencies websites that are deployed on public clouds: US Recovery Accountability and Transparency Board (ATB): www.recovery.gov ; US Department of the Treasury: www.treasury.gov ; US Department of

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Agriculture (USDA) Food and Nutrition Service (FNS): SNAP Retailer Locator, Healthy Access Locator.

Hybrid Cloud: A combination of two or more cloud environments.

The Federal Cloud Computing Services Outlook, FY 2012-2017 highlights the current service delivery modes and deployment models in use by the federal government on an agency by agency basis.

Federal Cloud Procurement

How are Federal agencies buying cloud services? As part of the US CIO’s Federal Cloud Computing Strategy, the government “will facilitate an approve once and use often

approach to streamline the approval process for cloud service providers.” iii GSA has been identified as the lead to develop procurement options to be used across the government.

An example of this is the GSA’s IaaS Blanket Purchase Agreement (BPA) contract that offers a list of 12 pre-approved vendors to provide storage, virtual machines, and/or web hosting services. Additional similar BPAs will be competed and awarded for SaaS commodities, like email. Deltek is tracking the progress of the GSA BPAs under the following opportunities:


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Software as a Service (SaaS) Email: With a ceiling of $2.5B, this procurement was initiated with a sources sought notice in August 2010, followed by the initial solicitation release in May 2011, and a revised solicitation release in November 2011. Deltek anticipates multiple awards to be made in Q2FY12.

Platform as a Service (PaaS): Deltek has been tracking this opportunity since September 2009, with notes that the acquisition strategy is still under development.

While these contracts may help agencies accelerate adoption, agencies have not been waiting to use these vehicles. Agencies are already utilizing many of the same contract vehicles they typically use for traditional IT solutions. The Federal Cloud Computing Services Outlook, FY 2012-2017 analyzes the most used IT contract vehicles and how agencies are using them to procure cloud computing solutions.

Figure 1: GSA Email as a Service Categories





Federal Cloud Opportunities

As noted in the Cloud Computing Market Forecast Report, Deltek anticipates “heavy-lifting” cloud activities, and consequent spending, to accelerate in 2014. Supporting this assertion is increased level of forecast and Pre- Request for Proposal (RFP) cloud opportunities being tracked by Deltek in GovWin IQ, represented in Exhibit 1.

Exhibit 1

Trend in Federal Cloud Computing Related Procurements Through February 2012

The Market Snapshot of Federal Cloud Opportunities, seen in Exhibit 2, was developed to provide a set of cloud-related opportunities that are representative of cloud opportunities being tracked by Deltek in three categories:

Cloud Strategy: The organization is seeking guidance on how to proceed with plans for the implementation of a cloud environment to resolve issues associated with enterprise systems like geospatial services or embedded military systems. These opportunities include assistance with developing policies and best practices.

Cloud Enabling: The organization has determined they will proceed with cloud adoption, and are preparing their infrastructure to support cloud implementations. Examples of this include data center consolidation, virtualization initiatives, or implementation of a Service Oriented Architecture (SOA). Many times one will see references to the IaaS service delivery mode.

Pure Cloud: The organization has a cloud strategy in place and has readied the infrastructure. They are interested in procuring or developing applications in a cloud environment. There are frequent references to SaaS and PaaS.



Exhibit 2

Federal Cloud Opportunities Market Snapshot Quick Reference List

MKT. CAT. AGENCY PROGRAM ACRONYM EST. RFP DATE

EST. AWARD DATE

EST. VALUE

Deltek ID

Strategy Army ARMY GEOSPATIAL CENTER BROAD AGENCY ANNOUNCEMENT

Nov-11* Apr-13 TBD 80545

Strategy Defense MILITARY CRITICAL CLOUDS Mar-12 Sep-12 TBD 76988 Strategy Defense GIG CLOUD COMPUTING SERVICES GUIDANCE Mar-12 Jul-12 TBD 79077 Strategy HHS SCIENTIFIC COMPUTING SUPPORT Mar-12 Jul-12 TBD 79464 Enabling Education VIRTUAL DATA CENTER SERVICES FOR FEDERAL

STUDENT AID Mar-12 Jul-12 $ 206M 67528

Enabling HHS CMS IT VIRTUAL DATA CENTER SUPPORT SMALL BUSINESS IDIQ

May-12 Sep-12 $ 3B 77143

Enabling DHS INFORMATION TECHNOLOGY NETWORK OPERATION VIRTUAL ALLIANCE OPERATIONS AND MAINTENANCE

May-12 Dec-12 $ 300M 66366

Enabling DOL DATA CENTER CONSOLIDATION INITIATIVE Mar-12* Sep-12 TBD 69225 Enabling Navy MILITARY SEALIFT COMMAND CORPORATE DATA

CENTER TRANSITION Apr-12 Jul-12 $ 50M 83616

Pure Cloud USDA NFC MANAGED MAINFRAME CLOUD COMPUTING May-12 Oct-12 TBD 81086 Pure Cloud DHS EMPLOYEE PERFORMANCE MANAGEMENT AND

LEARNING MANAGEMENT SYSTEM Mar-12 Jun-12 TBD 81346

Pure Cloud DOI ENTERPRISE MANAGEMENT DASHBOARD SYSTEM Mar-12 Jun-12 TBD 79198 Pure Cloud DOJ CLOUD STORAGE FOR THE EXECUTIVE OFFICE FOR

UNITED STATES ATTORNEYS Mar-12 Jun-12 TBD 67843

Pure Cloud Navy COMMERCIAL CLOUD SOLUTION Apr-12 Jul-12 TBD 69284

Pure Cloud SSA SOFTWARE AS A SERVICE SAAS WEB ANALYTICS TOOLS

May-12 Nov-12 TBD 83752

Source: Deltek

1. Deltek RFP estimate dates are based on what it believes is the earliest an RFP could be released by government to ensure industry does not miss any procurement activity. As a result, dates will frequently shift to later dates as the government solidifies its acquisition plans.

2. The assigned values vary between published values, Government estimates, and Deltek estimated values. For its estimated values, Deltek reports the highest possible contract value for any opportunity.

* Indicates actual solicitation release date or government estimate. All other dates are Deltek estimates.

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Federal Cloud Strategy Opportunities: Summary and Significance

Army Geospatial Center (AGC) Broad Agency Announcement (BAA) (Opportunity ID: 80545) Market Category: Cloud Strategy

Agency: Army/ Corps of Engineers

Est. Value: TBD

Duration: 3 year(s) base

Incumbent(s): None. New Requirement. RFP Date: November 2011

Award Date: April 2013 (Deltek Estimate)

Primary Requirement: Research & Development

Summary: The Army Corps of Engineers, Office of the Commanding General, Army Geospatial Center (AGC) has a requirement for Basic Research and Applied Research in fifty topic areas. Within the BAA, the task area that pertains to cloud computing is associated with the Geospatial Acquisition Support Directorate, Research Area I: Cloud Computing (ACG-09). While the Broad Agency Announcement (BAA) was released in November 2011, Deltek has confirmed that proposals will be accepted until November 16, 2012. As such, there is still time available for vendors to submit proposals.

Significance:

• This is an opportunity for vendors that can provide guidance to the AGC for the use of cloud computing in support of enterprise geospatial services and could result in pilot projects. Research areas include:

o the optimal architecture to support cloud computing in a geospatial enterprise, o the benefits and challenges of cloud computing at various nodes of the enterprise, o how various geospatial data types would be addressed in the cloud, and o any challenges associated with low-bandwidth and periodically disconnected users, providing

analytics as a service, and geospatial data as a service via cloud computing. • Additional areas could include security issues in the cloud environment, crowd-sourced data in the

cloud, maintaining the currency of and adding to geospatial data in a deployed cloud, and the use of Federal Cloud Computing services versus standing up a geospatial cloud capability.iv



Military Critical Clouds (MCC) (Opportunity ID: 76988)

Market Category: Cloud Strategy

Agency: Department of Defense/ Defense Advanced Research Projects Agency (DARPA)

Est. Value: TBD

Duration: TBD

Incumbent(s): None. New Requirement. RFP Date: March 2012 (Deltek Estimate)

Award Date: September 2012 (Deltek Estimate)

Primary Requirement: IT Professional Services

Summary:

DARPA has a requirement for innovative technologies that will provide the benefits of cloud computing for embedded military applications.

A Request for Information (RFI) was released in August 2011. To date, the BAA has not yet been released.

Significance: • DARPA expressly states in the RFI the desire for “solutions that are revolutionary, with high payoff

and potentially high risk, and can be deployed into practice after 3-5 years of intensive research and development.” This spirit of innovation is further expressed by stating that the agency is not interested in “evolutionary improvements to existing approaches, methods, or practices. Some current military standards and practices inhibit the use of cloud computing. DARPA’s role is to remove technical obstacles to progress; hence issues related to existing standards and how they might be improved are of secondary concern.”

• Through innovative technologies, DARPA is interested in capitalizing on the benefits of cloud computing – cost efficiency, manufacturing agility, reliability, maintainability, and democratization – while overcoming challenges of using cloud computing in embedded military applications – efficiency, security, reliability, performance, and verifiability.

• This opportunity allows vendors the advantage of early entrance into a defense-wide market showcasing cloud solutions that support embedded military applications.



GIG Cloud Computing Services Guidance (Opportunity ID: 79077) Market Category: Cloud Strategy

Agency: Department of Defense/ Defense Information Systems Agency (DISA)

Est. Value: TBD

Duration: TBD


Award Date: July 2012 (Deltek Estimate)


Summary: This opportunity is one part of a larger DISA Enterprise Wide Systems Engineering (EWSE) initiative that requires industry experts to provide subject matter engineering expertise to the core team tasked with refining, analyzing, and proposing solutions in support of the DOD GIG. For the cloud component, DISA is requesting support to develop technical guidance for cloud computing services at the enterprise level to ensure the interoperability of cloud services and improve performance of cloud services.

Significance:

• DISA recognizes an “urgent need” to develop guidelines in support of enterprise level DOD cloud computing technical framework, architecture, and implementation to ensure interoperability of all DOD clouds.

• Because both the DOD Cloud Computing Strategy and Implementation Plan will be business drivers for the enterprise level DOD cloud computing technical framework and architecture, this is an opportunity for cloud service providers to shape the future of the DOD cloud market.





Scientific Computing Support (Opportunity ID: 79464) Market Category: Cloud Strategy

Agency: Health and Human Services (HHS)/ Food and Drug Administration (FDA)

Est. Value: TBD

Duration: TBD



Primary Requirement: System Design and Architecture

Summary: The FDA’s science is data-centric, complex, and collaborative, involving multidisciplinary groups. FDA researchers and other scientists increasingly rely on computationally-intensive methods, high-performance computing (HPC) and cloud-based services for storing, managing, manipulating, and analyzing large datasets. The FDA continues to develop and modernize its scientific computing tools and infrastructure in order to keep up with the increasing complexity of the FDA‘s regulatory and public health initiatives portfolio. A Sources Sought Notice was issued in October 2011 and Deltek has confirmed with the contracting office that the FDA intends to move forward with this procurement, although a timeframe is not yet available. Significance:

• The FDA is looking for guidance on how to leverage benefits associated with cloud computing in support of for HPC, analytics, and collaboration in a scientific research and regulatory environment.

• This opportunity allows vendors the advantage of early entrance into the federal scientific/ health research market by providing recommendations and guidance for cloud solutions that could then be replicated to support efforts inherent to other federal agencies with similar needs.





Federal Cloud Enabling Opportunities: Summary and Significance

Virtual Data Center (VDC) Services for Federal Student Aid (Opportunity ID: 67528) Market Category: Cloud Enabling

Agency: US Department of Education/ Federal Student Aid

Est. Value: $206 Million (Deltek Estimate)

Duration: TBD

Incumbent(s): Dell

RFP Date: March 2012 (Deltek Estimate)


Primary Requirement: Platform/ Data Center Operations

Summary: In 2006, FSA awarded a virtual data center (VDC) contract with the objective of reducing costs, and gaining efficiencies and economies of scale in a performance based environment. Located in Plano Texas, the VDC is fully contractor- owned and operated with the tools and technologies designed to provide services that support FSA’s entire computing infrastructure including state-of-the-art blade server and virtualization technology and continued support for legacy mainframe, non-mainframe (Wintel and Unix) services; enterprise telecommunication voice and data services; disaster recovery; security services; middleware services; database administration support; storage services; and data network services. Significance: • One element of preparing for a cloud-based environment is virtualizing data centers. Based on this

requirement, it can be construed that the department is supporting an infrastructure where various cloud- based applications can be supported.

• One of the requirements is for Tech Refresh, and Continual Optimization, including: Modernizing the IT infrastructure on an ongoing, cost effective basis to ensure that infrastructure and system components stay current with evolving industry standards and technology platforms, while maintaining efficient service delivery.

• It can be anticipated that federal policies like “cloud-first” will be adopted in this environment indicating that vendors may want to watch the agency for future cloud-related opportunities




CMS IT Virtual Data Center Support (VDCS) Small Business IDIQ (Opportunity ID: 77143)

Market Category: Cloud Enabling

Agency: Health and Human Services/ Centers for Medicare and Medicaid Services

Est. Value: $3 Billion

Duration: 1 year(s) base plus 9 x 1 year(s) option(s)

Incumbent(s): Hewlett-Packard Company, Companion Data Services, IBM Corporation

RFP Date: May 2012 (Government Estimate)


Primary Requirement: System Design and Architecture

Summary:

The CMS mission is to ensure effective, up-to-date health care coverage and to promote quality care for beneficiaries. The Agency works with the health care community to improve the quality and efficiency in beneficiaries’ programs, services, and care, and to promote the fiscal soundness of an evolving health care system in the United States.

CMS uses significant data center capacity provided by industry to support the IT Infrastructure requirements of the agency.

Significance:

• CMS anticipates the need for data center resources to grow as the beneficiary population continues to increase and legislative mandates increase expectations of the agency to control healthcare cost, improve health outcomes, and enable beneficiaries as consumers.

• Currently, these industry resources are decentralized and operated under multiple contractual vehicles which present CMS with barriers to establishing interoperability between data centers, implementing standard processes and procedures for data center oversight, and ensuring compliance with CMS standards for all data center operations. To resolve these issue, CMS wants to establish a group of geographically dispersed, world-class data centers owned and operated by a broad pool of industry partners but under the control of a single procurement vehicle.

• A related RFP for large businesses (Opportunity 77124) was released in December 2011; however, this is a small business set aside for a ten year contract offering vendors a potential long term vehicle that could be used to pursue additional business opportunities in support of data center and cloud-related initiatives.

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Information Technology Network Operation Virtual Alliance (IT NOVA) Operation and Maintenance (O&M) (Opportunity ID: 66366)

Market Category: Cloud Enabling

Agency: Department of Homeland Security/ Directorate for Management

Est. Value: $300 Million


Incumbent(s): Lockheed Martin

RFP Date: May 2012 (Deltek Estimate)

Award Date: December 2012 (Deltek Estimate)


Summary:

The Information Technology Networking Operations Virtual Alliance (ITNOVA) Operations & Maintenance (O&M) requirement is for Information Technology (IT) support services for the Department of Homeland Security (DHS) headquarters, the department’s Associate Components, select field offices of the department’s Major Components and to other federal, state, and local level government organizations.

The support services include all network components, services, and monitoring; network and internet access; infrastructure transformation and support; applications management, delivery, and development; wireless communications systems management; communications and messaging; communications security (COMSEC); Continuity of Operations (COOP) planning; and IT operations disaster management.

Significance:

• DHS is an early adopter of cloud technologies having moved multiple public websites to the cloud, implementing a private cloud for collaboration, and launching an identity-proofing application in the cloud.

• Deltek anticipates that cloud service options will be required in the re-competition of this contract.

• At the Gov/Cloud conference held in February 2012, Keith Trippie, the Executive Director of Enterprise System Development at DHS, explained that the next big opportunity for contractors will be evaluating legacy applications and helping agencies migrate those legacy apps to the cloud.




Data Center Consolidation Initiative (Opportunity ID: 69225) Market Category: Cloud Enabling

Agency: Department of Labor / Office of the Assistant Secretary for Administration and Management (OSAM), Information Technology Center (ITC)

Est. Value: TBD

Duration: TBD

Incumbent(s): None. New Requirement.

RFP Date: March 2012 (Government Estimate)


Primary Requirement: Platform/ Data Center Operations

Summary:

The DOL OSAM ITC issued a Sources Sought Notification in March 2011 requesting information about vendor offerings and solutions which will help DOL develop a Statement of Requirements (SOR) for the future acquisition of outsourced data center hosting services, in support of the department adopting a consistent approach to managing IT infrastructure, IT assets and data throughout the Department. It addresses the Federal Data Center Consolidation Initiative (FDCCI).

Deltek has confirmed that the solicitation release is imminent and anticipated in March 2012, and is expected to be released under GSA Alliant.

Significance:

• DOL is initiating efforts to conform to the FDCCI policy, and has stated that this program will support department-wide solutions versus agency-specific solutions.

• Requirements anticipated to be addressed in the solicitation include: hosting capabilities, security, cloud computing services, managed services, and on-site support services.




Military Sealift Command Corporate Data Center Transition (MCDC) (Opportunity ID: 83616) Market Category: Cloud Enabling

Agency: US Navy/ Military Sealift Command

Est. Value: $49.8M


Incumbent(s): SAIC

RFP Date: April 2012 (Deltek Estimate)


Primary Requirement: Information Technology

Summary: The Department of the Navy (DON) issued Data Center Consolidation (DCC) Policy Guidance in July 2011. The guidance states that the DON would like to halt additional investment into non DON owned data centers until it is determined that current centers cannot meet requirements for consolidation, Continuity of Operations (COOP) and Disaster Recovery (DR). Military Sealift Command (MSC) Corporate Data Center (MCDC) is not currently located in a DON owned facility. To comply with DCC Policy Guidance, MSC must migrate its MCDC to a SPAWARSYSCOM, NMCI, or Marine Corps data center solution, or migrate to a commercial solution if the commercial solution is able to exceed the SPAWARSYSCOM, NMCI, or Marine Corps solution. A Request for Information (RFI) was released in mid-February 2012; Deltek anticipates the solicitation to be released in April 2012. Significance:

• In regards to Data/ Infrastructure Separation, vendors are encouraged to consider hybrid cloud solutions that offer cost savings to MSC based on the type and sensitivity of hosted data.

• MSC has requested that vendors propose any combination of the cloud computing and service deployment models as defined in NIST SP 800-144 (IaaS, SaaS, or PaaS).

• The vendor’s solution must allow all required application development and modernization, integration, production, and sustainment to occur in the same cloud-based environment that will host production capabilities. No computing hardware procurement shall be required.




Federal “Pure Cloud” Opportunities: Summary and Significance

NFC Managed Mainframe Cloud Computing (Opportunity ID: 8108 ) 6Market Category: Pure Cloud

Agency: US Department of Agriculture (USDA)/ Office of the Chief Financial Officer (OCFO), National Finance Center (NFC)

Est. Value: TBD

Duration: TBD



Award Date: November 2012 (Deltek Estimate)


Summary:

The OCFO NFC is the formal system of record for personnel, payroll, and other financial applications for more than 140 Federal organizations, representing all three branches of the Government. The agency released a Request for Information (RFI) in December 2011 for information to provide a private Federal cloud for IBM mainframe systems.

Significance:

• The RFI requested information from both vendors and Federal agencies. • Vendors have the opportunity to propose cloud computing solutions that address problems identified

by the OFCO NFC in the following areas: cost savings, scalability, rapid provisioning, security, meterability, reliability, interactivity, ownership, service levels, and risk management.

• Representing the first of many anticipated federal migrations of critical legacy systems hosted on a stove piped IT infrastructure to the cloud, this opportunity is indicative of the next wave of higher risk migration opportunities for vendors in this market.




Employee Performance Management (EPM) and Learning Management System (LMS) (Opportunity ID: 81346)

Market Category: Pure Cloud

Agency: Department of Homeland Security

Est. Value: TBD

Duration: TBD



Award Date: June 2012 (Deltek Estimate)

Primary Requirement: Information Technology

Summary:

The DHS issued a Request for Information in December 2011 for a cloud-based EPM to support the performance management and appraisal process for the department’s 200,000 geographically dispersed employees and a LMS to support the 200,00 employees and an additional 158,000 DHS component-specific authorized State and local users and authorized contractors.

Significance: • DHS is interested in an enterprise-wide, cloud-based solution that is compliant with OPM, GAO and

additional requisite policies in an effort to promote agility, cost efficiencies and performance improvements to enhance employee performance and continuous learning as strategic business investments.

• DHS has requested that vendors address the EPM and LMS as two stand-alone solutions, and also as a single integrated solution.

• While the magnitude of the data migration – over 350,000 records – is enough to make this effort significant, it also fits into the “next wave” of migrating federal legacy applications to the cloud.




Enterprise Management Dashboard System (EMDS) (Opportunity ID: 79198)

Market Category: Pure Cloud

Agency: Department of the Interior/ National Business Center, Acquisition Services Directorate for the Policy, Management and Budget (PMB)

Est. Value: TBD

Duration: TBD




Primary Requirement: Applications Software

Summary:

The PMB issued a Request for Information in October 2011 for a cloud-based data dashboard solution with accompanying maintenance for the products and services.

The EMDS will provide focus on key performance indicators and enable executives, managers and employees to measure, monitor and report key metrics, milestones and activities necessary to achieve organizational goals.

Significance:

• The PMB is requesting a true SaaS solution for performance dashboards to provide accurate and relevant information on demand, in a graphical electronic format, employing best practices in visualization of data, enabling fast and effective decision making.

• The EMDS will leverage performance and management data by pulling, reading or transferring data from existing systems, translating that data into information, and presenting it in an intuitive, graphical manner to managers.

• Pilot programs for EMDS are planned.




Cloud Storage for the Executive Office for United States Attorneys (Opportunity ID: 67843) Market Category: Pure Cloud

Agency: Department of Justice/ Executive Office for US Attorney’s (EOUSA)

Est. Value: TBD





Primary Requirement: Data Management

Summary:

The DOJ released a Request for Information (RFI) in January 2011 for products to be used for a hybrid cloud solution that will increase the overall data storage capacity for all US Attorney’s Offices (USAO) and reduce the overall cost of data storage for the organization.

Significance:

• The EOUSA envisions this deployment as a “Storage as a Service” government owned vendor provided 100 usable terabyte (TB) expandable systems solution at a government owned data center, where the data is stored in a private cloud at two geographically separate vendor owned data centers within a pay per use model.

• EOUSA anticipates a phased approach for this deployment, with phase 1 described in the bullet point above; phase two will involve the implementation of an auto-archiving solution; and phase three will introduce Software as a Service (SaaS) cloud apps.

• The RFI requested vendors to provide standard Service Level Agreements (SLAs), and to characterize the offerings as SaaS, PaaS, and IaaS. These requirements will most likely become commonplace in future federal cloud solicitations.

• DOJ has already established a distributed private cloud for email, web hosting and other general productivity capabilities. Based on the RFI, it can be anticipated that the DOJ is embracing broader cloud computing implementations as there are requirements for vendors to describe how their cloud services “integrate with other cloud services and provide seamless interoperability for the end user.”



Commercial Cloud Solution (Opportunity ID: 69284) Market Category: Pure Cloud

Agency: Space and Naval Warfare Systems Command (SPAWAR)/ SPAWAR Systems Center (SPAWARSYSCEN) Atlantic

Est. Value: TBD

Duration: TBD


RFP Date: April 2012 (Deltek Estimate)


Primary Requirement: Systems Software

Summary:

SPAWARSYSCEN Atlantic released a Request for Information in March 2011 seeking a commercial cloud solution that provides web based email and collaboration tools. Deltek has confirmed that solicitation has not yet been issued.

Significance:

• The solution is anticipated to be platform and browser agnostic and adhere to open standards best practices.

• The solution requirements are broad and include two way authentication; on-line email with digital email signature, calendaring features, and enterprise contact management; enterprise collaboration tools like: IM, Voice and Video Chat, on-line discussion groups, on-line workspace publishing, on-line video sharing; office productivity applications with co-authoring ability like: on-line word processor, spreadsheets, presentations, forms, and drawings; personal and organizational on-line storage and file sharing; enterprise search; and enterprise application integration environment to create custom apps (PaaS) and the ability to integrate with 3rd party apps.



Software as a Service (SaaS) Web Analytics Tools (Opportunity ID: 83752) Market Category: Pure Cloud

Agency: Social Security Administration

Est. Value: TBD

Duration: TBD

Incumbent(s): None. New Requirement


Award Date: November 2012 (Deltek Estimate)

Primary Requirement: Software Development

Summary:

The Social Security Administration (SSA) is seeking cloud-based SaaS web analytics tools from a commercial provider of Cloud Computing services to reduce SSA's web analytics costs, gain support services to facilitate a comprehensive implementation across SSA's web properties, and equip SSA webmasters with modern, vendor-supported, reliable, guaranteed, holistic metrics on internet and intranet usage.

SSA issued a Sources Sought Notice in late February 2012.

Significance:

• In its Federal Software Products Market, 2011-2016 report, Deltek projects data analytics to be a growth market.

• As agencies continue to capture and store more data, the challenge becomes how to harness the data and use it to support business decisions. As such, this opportunity is representative of the business analytics/ business intelligence opportunities that Deltek anticipates will be released in the next few years.





Conclusions • The federal cloud market is going to become more active in FY 2012, as indicated by the cloud

opportunities presented in this report. Deltek anticipates that with the creation and award of cloud procurement vehicles, like GSA BPAs for IaaS and SaaS Email, agencies will be more comfortable moving forward with cloud procurements, thereby increasing procurement activity.

• As agencies achieve success with low risk cloud migrations, they will leverage their experience to implement the higher risk cloud migrations for back office and legacy systems, but this will take years due to budget constraints.

• Cloud opportunities will take many forms so vendors should develop a robust end-to-end solution that will support agencies as they go from cloud strategy to preparedness to implementation.

• Vendors that want to play in this market must monitor the progress of the federal CIO’s policies for cloud assessment and security. Vendors will need to plan for the costs and time it will take to earn the federal certifications. The combination of a FedRAMP certification, a procurement vehicle that the agencies can use to buy services, and well-defined Service Level Agreements (SLAs) for cloud services will open doors for vendors as agencies ramp up their cloud computing adoption.

• As vendors are building their federal business pipelines, they should remain cognizant of the “cloud-first” policies requiring reviews of IT systems to be evaluated as cloud migration candidates. Vendors should be prepared to discuss with their federal customers their cloud readiness, plans for cloud implementations, and if they are open to cloud solutions, even if not specifically identified in the requirements.

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i Vivek Kundra, U.S. CIO, 25 Point Implementation Plan to Reform Federal Information Technology Management,

(December 2010) ii Peter Mell and Timothy Grance, The NIST Definition of Cloud Computing, Special Publication 800-145 (September 2011) iii Vivek Kundra, U.S CIO, Federal Cloud Computing Strategy, (February 2011) iv Army Geospatial Center, BAA Solicitation Number W5J9CQ-12-R-0001.

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federal cloud opportunities market snapshot - govwin

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