The U.S. Navy announced on October 8 that it awarded the first portion of its Next Generation Enterprise Network Recompete (NGEN-R) contract to HPI Federal, with the company set to provide end-user hardware to the service branch.

The NGEN-R End User Hardware (EUHW) contract – a three-year base contract with six option years estimated up to $1.4 billion – will help the Navy complete technology refreshes in the near future, once the contract begins at the start of Fiscal Year 2021.

The contract only accounts for part of the existing NGEN contract, as the Navy opted to break out hardware and integration services into different contracts. The Service Management, Integration, and Transport contract, valued at $3 billion, is set to be awarded in the second quarter of FY2020.

“The award of the NGEN-R EUHW contract is the culmination of several years of hard work towards moving from a single service contract to a multi-sourced contract model,” said Capt. Ben McNeal, program manager for the Naval Enterprise Networks Program Office.

The contract will “provides Navy and Marine Corps customers the flexibility of leasing computing devices via EUHW-as-a-Service or purchasing EUHW hardware,” the press release states. The Navy also highlighted the benefits of all devices coming standard with SSDs, annual updates for available hardware offerings, and a faster acquisition process.

“This contract positions the DON to develop and deliver modern IT services and systems that meet our customers’ expectations,” said Ruth Youngs Lew, program executive officer for Enterprise Information Services.

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