Public procurement notice: Contract Award Notice
Published: 2019-04-30
Buyer: Financial Conduct Authority
Country: UK
Contract type: Services
Procedure: Negotiated without a prior call for competition
CPV classification: 72000000
Estimated value: 160000000 GBP
Award criteria: The most economic tender

Technical requirements: Υπηρεσίες τεχνολογίας των πληροφοριών: παροχή συμβουλών, ανάπτυξη λογισμικού, Διαδίκτυο και υποστήριξη
This notice does not relate to a new contract but to 2 modifications to an existing contract in accordance with Article 72 of Directive 2014/24/EU and Regulation 72(1)(b) of the Public Contracts Regulations 2015.
(b) for the upgrade of the Contracting Authority's Exadata database machine, each under an existing IT outsourcing services agreement.
Pending the Contracting Authority's transition to separately procured provider, the VDI services provided under the existing agreement are necessary and a change in contractor cannot be made for economic reasons (as to transition to a different contractor at this stage would significantly increase the cost to the authority as compared with those under the existing agreement); and would result in significant inconvenience and a substantial duplication of costs arising from the need to transition twice (i.e. to a new contractor for a relatively short term and then subsequently). The value of the services extension is significantly less than 50 % of the total value of the existing IT outsourcing services agreement.
The Contracting Authority has a requirement to upgrade its Exadata database machine, which is a component of the existing extended hosting services provided by Fujitsu (such extension being the subject of a previous modification notice). The machine is out of service life and the relevant services which depend on the machine cannot currently be moved from the Fujitsu data centre as the application tiers which use the databases hosted by the Exadata machine are located within the Fujitsu data centre. Moving the machine would therefore cause technical performance issues for the relevant services. The Contracting Authority is in the process of moving all of the relevant services to a new cloud-based platform, and therefore moving the relevant services to a new supplier at this point would cause inconvenience and substantial duplication of costs arising from the need to transition twice (i.e. to a new contractor for a relatively short term and then subsequently). The overall term of the relevant hosting services remains the same. The value of the services extension is significantly less than 50 % of the total value of the existing IT outsourcing services agreement.
This notice does not relate to a new contract but to a modification to an existing contract in accordance with Article 72 of Directive 2014/24/EU and Regulation 72(1)(b) of the Public Contracts Regulations 2015. The contract modifications addressed by this notice are for:
(b) for the upgrade of the Contracting Authority's Exadata database machine, each under an existing IT outsourcing services agreement.
This notice has been posted in addition to a modification notice [to insert modification application number] and should be read in conjunction with that notice. This notice has been published for the purposes of transparency only, with the intention that a “relevant contract award notice” is brought into existence for the purposes of Regulation 93(3) of the Public Contracts Regulations 2015 (and not because the Contracting Authority believes (which it does not) that there is a strict requirement for the publication of a contract award notice in the circumstances of the modification which has been made).
The value given in V.2.4 is the total value of the contract including any prior modifications. The value of the modification made on 1.4.2019 (VDI services) is 413 316,00 GBP and on 31.10.2018 (Exadata) is 3 836 733,00 GBP.
(b) for the upgrade of the Contracting Authority's Exadata database machine, each under an existing IT outsourcing services agreement.
The award of this further extension is to cover the provision of VDI services for a period of an additional 12 months until such VDI services can be properly transitioned to a separately procured provider. The VDI services are required to ensure service continuity during this interim period whilst the new provider is deploying and rolling out their solution.
A change in contractor cannot be made for both technical and economic reasons as a change to a different contractor to deliver the services provided by the existing provider would result in the need to change from a number of management systems and processes which are proprietary to the current supplier, with associated requirement to re-configure many elements of the continuing services to ensure interoperability with any new supplier's solution, and changes to the associated service delivery models, which together would significantly increase the cost to the Contracting Authority as compared with costs under the existing agreement. A change in contractor would result in substantial duplication of cost as a result of changing the applicable VDI services to accommodate an interim provider and then changing them again once a new provider has been found.
The Contracting Authority also has a requirement to upgrade its Exadata database machine, which is a component of the existing extended hosting services provided by Fujitsu (such extension being the subject of a previous modification notice). The machine is out of service life and the relevant services which depend on the machine cannot currently be moved from the Fujitsu data centre as the application tiers which use the databases hosted by the Exadata machine are located within the Fujitsu data centre. Moving the machine would therefore cause technical performance issues for the relevant services. The Contracting Authority is in the process of moving all of the relevant services to a new cloud-based platform, and therefore moving the relevant services to a new supplier at this point would cause inconvenience and substantial duplication of costs arising from the need to transition twice (i.e. to a new contractor for a relatively short term and then subsequently). The overall term of the relevant hosting services remains the same.


Winner: Fujitsu Services Ltd
Award value: 160000000
Number of bids: 1