FAA PC deal includes disposal costs

The blanket purchase agreement, worth up to $100 million over five years, was written to reflect total cost of ownership.

The Federal Aviation Administration has awarded Dell a blanket purchase agreement that could bring the company up to $100 million over five years. The BPA includes not only hardware, but maintenance, systems management and the costs of systems disposal.

Other agencies should emulate this total cost of ownership approach, said Troy West, vice president of Dell Federal. The prices for desktop computers, servers and other hardware components are only a small part of their total cost.

It's important for agencies to factor in the other elements, West said.

The BPA spans one year and is valued at $20 million. It includes four optional one-year renewals, and will make Dell equipment available throughout the Transportation Department.

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