May 20, 2010

Sprint Offers Recommendations to Expedite Transition from FTS 2001 to Networx

  • Only telecom carrier to have served FTS 2000, FTS 2001 and the Networx contracts
  • More than 20 years of experience as GSA telecommunications provider

WASHINGTON, May 20, 2010 (BUSINESS WIRE) --Bill White, vice president of federal programs at Sprint (NYSE: S), testified today before the House Committee on Oversight and Government Reform to share ways to expedite the transition process from FTS 2001 to Networx for federal agencies. With more than 20 years of experience as General Services Administration (GSA) telecommunications provider, a proven history of innovation, secure solutions, award-winning networks and a dedication to service, Sprint is the only telecom provider to have served FTS 2000, FTS 2001 and the Networx contracts.

"I am here today to present Sprint's views on ways to expedite the transition in order to save the government time and money and to bring about greater competition in the acquisition of telecommunications services," said White in his opening statement.

In his comments, White offered two recommendations for the GSA to help accelerate the transition process:

  • Combine the Networx Universal and Networx Enterprise contract vehicles into one contract or at least direct agencies to the lower-priced Networx Enterprise.
    • Both contracts overlap considerably, creating unnecessary complexities that result in delays and a loss in savings.
    • Simplifying the contract platform will help reduce the transition complexity and ultimately accelerate the transition process.
    • It will allow agencies to have a clear and faster path to traditional services and transformative capabilities, such as unified communications, mobile integration and 4G.
    • GSA will have a more streamlined administrative effort and lower costs to manage contract modifications, reporting and the contract oversight process.
    • The Networx Universal vendors will also have reduced labor and administrative effort required today to support duplicative contracts.
    • All of these resources can be reinvested in expediting transition.
  • Increase competition by opening agency requirements to all five Networx Enterprise contractors.
    • This will serve in the best interest of the federal government by helping to achieve best value for services, save money and complete the transition by the mid-2011 deadline.
    • More than 95 percent of the current FTS 2001 inventory of services installed at agencies is available on Networx Enterprise.

During the past five years, Sprint has invested millions of dollars in the Networx contract vehicle and is better prepared for the transition based on lessons learned from prior FTS transition experiences. To highlight some of the progress to date, Sprint has migrated more than 423,000 voice lines from FTS to Networx in an average of 1.5 days per project and more than 400 IP (Internet Protocol) services completed in an average of 21 days per project. These services comprise about 45 percent of the revenues billed to Networx to date.

"No contractor is better prepared or more experienced than Sprint for this transition task," stated White. He shared a specific example of how Sprint in December 2008 worked closely with an agency to help make the transition from their MPLS data network from FTS to Networx within one bill cycle. Customer orders were received on Dec. 15, 2008, and both the FTS 2001 disconnects and new-order installs occurred under Networx effective January 2009.

Agencies continue to rely on the depth of Sprint's IP convergence and mobility portfolio, including the company's suite of managed services and mobile broadband data services on a dependable 3G network*. According to White, federal agencies are also eagerly anticipating the blazing fast speeds and dynamic new applications that can be enabled by Sprint 4G, available in 32 markets across the country and scheduled to launch in the Washington, D.C., area in 2010.

Sprint received the Networx Enterprise contract offered by the GSA in 2007. To date Sprint has helped more than a half-dozen agencies make the transition to services under Networx Enterprise. This multiyear, $20 billion award strengthens Sprint's leadership position in offering a broad portfolio of innovative telecommunications services that can be customized to the mobility, IP and convergence needs of federal, civilian and defense agencies.

For more information on Sprint's business solutions for federal agencies, visit www.sprint.com/federal or contact your Sprint account team.

About Sprint Nextel

Sprint Nextel offers a comprehensive range of wireless and wireline communications services bringing the freedom of mobility to consumers, businesses and government users. Sprint Nextel served more than 48 million customers at the end of the first quarter of 2010 and is widely recognized for developing, engineering and deploying innovative technologies, and is the first and only wireless 4G service from a national carrier in the United States; offering industry-leading mobile data services, leading prepaid brands including Virgin Mobile USA, Boost Mobile, Common Cents Mobile and Assurance Wireless and instant national and international push-to-talk capabilities; and a global Tier 1 Internet backbone. With its customer-focused strategy, you can learn more and visit Sprint at www.sprint.com or www.facebook.com/sprint and www.twitter.com/sprint.

SOURCE: Sprint

Sukhi Sahni, 703-592-8457

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