Seem like the LUMEN FEDERAL GOVERNMENT team is winning contracts left and right! They seem to hold their own and sustain the most of the company. Perhaps LUMEN should expand on the Government sector.
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Make sure you follow the DEI metrics and policies of this wonderful Administration of a Government.
https://www.govconwire.com/2023/09/lumen-secures-110m-disa-dark-fiber-operations-and-maintenance-services-idiq/
This one particularly is being hyped as a new deal. Yet to see if this changes their next quarter's revenue or net income. The contract is a continuation of a previous contract:
https://sam.gov/opp/4798d449c41d47bf933b41ebe64757a7/view
They treat it as a win because could've gone to another provider, but just the transition cost would make that cost prohibitive; in other words, they are stuck with Lumen, but the government negotiates almost always at a loss to the vendor in exchange of the press release.
Funny they pay their sales people for renewals where there isn't new revenue to pay from.
Trends here:
https://www.usaspending.gov/recipient/dcc7220d-7604-b0b5-8961-5a07865199ea-C/latest
Over the years these government contracts are a nightmare. They can put huge fines on any metrics you don't meet. So you end up creating one off code and reporting just for them that quickly becomes legacy nightmares. They also have the worlds worst systems, so they force you into working with them in order to keep the business ... they want dedicated resources, etc.
Another way to look at it. both Lumen and the Federal Government are so screwed up they understand each other very well. It takes one to know one.
Take a look at margins on those big government deals. That’s your answer