EchoStar has been awarded a $2.7 billion contract to provide 5G smart devices and services for the DoD and federal agencies.
In an announcement, the company said it had been awarded a contract for the indefinite delivery, indefinite quantity (IDIQ) contract as part of the US Naval Supply Systems Command Spiral 4 wireless products and services purchasing program.
It's welcome news for the company, which reported big losses during the first quarter, amid fears of bankruptcy.
As part of the contract, EchoStar subsidiaries Hughes Network Systems and Boost Mobile will provide 5G wireless services and devices to support DoD usage in all 50 United States and US territories and for temporary duty international travel.
The estimated value of the contract is $2.7 billion and will run for 10 years.
The Spiral 4 program, which is run by the US Navy, is available to buyers in the Department of Defense and other federal agencies. Spiral 4 will include mobile device delivery and task orders for service plans.
"EchoStar Corporation is proud to provide the DoD and other federal agencies with significant technological advancement using our innovative, Open-RAN based wireless connectivity capabilities," said John Swieringa, president of technology and COO of EchoStar Corporation.
"Through our Boost Mobile brand, the EchoStar team will deliver critical 5G solutions, including devices from multiple manufacturers as well as a native 5G Open RAN network."
The program focuses on smartphone devices mainly but also includes the possibility of additional devices such as tablets, IoT equipment, and other 5G-enabled devices.
Spiral 4 requires Radio Access Networks (RAN) with support for Radio over Internet Protocol (ROIP) and Citizen Band Radio Services (CBRS). The program has a base year beginning in May 2024 and nine one-year option periods through 2034.
