LGfL Applications and Support Services (LASS) Contract

Description

Pursuant to the publication of a voluntary ex-ante notice on 05/08/2023, reference - 2023/S 000-022840 (VEAT Notice), the Authority has awarded a contract for the provision of a Universal Sign On (USO) Platform and Related Services for a period of 60 months to Atomwide Limited. The Contract period is 22/12/2023 to 21/12/2028 with the option of a 36-month extension for the period 22/12/28 to 21/12/31. The services provided by Atomwide are complex, deeply integrated and dependent on the use of proprietary software that was developed over an extended period. The software is not a commodity product due to its unique nature and its limited market; Atomwide is the only supplier capable of supporting and maintaining it. Consequently, economic operators could not submit competitive tenders for the provision of alternative services without a licence from Atomwide for its proprietary materials resulting in an absence of genuine competition. Following extensive consideration of alternative options, LGfL determined that use of the negotiated procedure without prior notice under Regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015 was essential for the continued successful operation of LGfL. Lot 1: LGfL was established in 2001 as a Regional Broadband Authority by the 32 London local authorities and the City of London Council. It was established as a not-for-profit company and a registered charity, and is a body governed by public law. Its purpose is to provide broadband connectivity and Information and Communications Technology and related services to schools in London, LGfL’s ‘customers’. It currently provides essential services to over 3,000 schools providing education to around 1.2 million students each year. Atomwide developed a proprietary product for the provision of a USO solution and related support services that is inextricably linked to the provision of broadband connectivity and related support and ICT services for the benefit of LGfL’s customers. The proprietary nature of the USO solution and the nature of its deep and wide integration with the other services provided by LGfL to its customers means that an alternative supplier could not deliver replacement services without a licence from Atomwide. LGfL determined that proper competition would also be absent due to the complexity and interconnected nature of the solution and concluded that use of the negotiated procedure without prior notice under Regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015 was justified.LGfL conducted thorough due diligence of its options and satisfied itself that USO is a unique product delivering proprietary and interconnected services for which there is no comparable alternative in the Education market. LGfL is developing a clear technology and design principles for future solutions which will require the replacement of proprietary solutions with those based on open standards and interoperability. This is a necessary strategic step to replace USO as a central system and to reduce dependency on USO during the term of the new contract.