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Tech players claim share in AU$3.8 billion government spend

Leon Spencer | Dec. 12, 2016
IT, broadcasting and telecommunications contractors claimed 6.8 per cent of Australia’s total government procurement value in FY16

The contract terms see Leidos provide software maintenance and support for an information communications technology-based system that will manage Australian Defence Force (ADF) operations and major Joint and Coalition exercises.

In September, following its acquisition of Lockheed Martin's IS&GS business, Leidos mopped up the remainder of Lockheed Martin's $800 million deal with the Department of Defence to supply centralised processing services until 2022.

The company claims that the transferal of orders under the existing contract following the acquisition was worth at least $147.9 million for the company, although tender documents published in September put the figure closer to $550 million.

Also in November, the Department of Defence updated its ongoing IT transformation activities, with the release of its Defence Information and Communications Technology Strategic Direction 2016-2020, which outlined plans to spend $20 billion on IT over a 10-year period.


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