Hewlett-Packard Co. retained a $543 million federal contract to provide wireless tracking of medical devices despite a protest from IBM.
IBM (NYSE: IBM) had challenged a June decision to give the five-year Department of Veterans Affairs contract to HP (NYSE: HPQ).
The U.S. Government Accountability Office, which arbitrates contract disputes, agreed with IBM’s argument that the VA didn’t properly evaluate proposals from vendors seeking the contract. In October, it directed the agency to reconsider the award.
After re-evaluating the bids, the department decided to stick with HP, according to Jo Schuda, a VA spokeswoman.
The VA chose HP “again as the best value for the government,” Schuda said in an e-mail.
HP, based in Palo Alto, California, beat five other companies to win the work to provide veterans hospitals with wireless tracking systems, according to VA documents.
The technology would help minimize lost equipment, track whether medical devices are properly sterilized and identify patients who may have received recalled products, according to documents posted online.
The VA ordered HP to stop work on the project in June, after Armonk, New York-based IBM protested the award.
IBM Scientists Honored for Laser Work
In other news:
IBM scientists will receive the National Medal of Technology and Innovation from President Obama for their work in laser research, including technology that led to LASIK eye surgery. The research dates back to 1981.
The scientists are: James J. Wynne, Rangaswamy Srinivasan, and Samuel Blum. Wynne remains at IBM employee. The others have retired.
BioOpticsWorld has the details.
IBM employs an estimated 10,000 people across North Carolina.
[IBM ARCHIVE: Check out 10 years of IBM stories as reported in WRAL Tech Wire.]
(Bloomberg contributed to this report.)
