Executive Summary
This digest covers a single significant contract modification totaling $242,713,808 in obligations, entirely civilian with 0/1 defense-related, focused on the Department of the Treasury's IRS IT Strategy and Modernization office.
FCN, INC., a woman-owned small business, demonstrates strong execution on a $242M firm fixed price delivery order for Broadcom software licenses and maintenance, with $240M already outlayed since December 2022 toward a November 2026 current end date and $454M potential including options. The highest-conviction bullish signal is FCN's full and open competition win signaling competitive strength in IRS IT modernization. A key risk is high contract pricing risk under the firm fixed price structure, alongside monitoring option exercises and outlay progress beyond $240M.
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Tracking the trend? Catch up on the prior Significant Contract Modifications ($10M+) digest from May 04, 2026.
Investment Signals (1)
- FCN, INC. Advances $242M IRS Broadcom Software Maintenance Order with $240M Outlayed (MEDIUM)▲
FCN, INC. has nearly fully outlayed $240M of a $242,713,808 obligation on a firm fixed price delivery order awarded December 7, 2022, by IRS IT Strategy and Modernization for Broadcom software licenses and maintenance (PSC DA01), indicating rapid execution through November 2026. This full and open competition win by the Rockville, MD-based woman-owned small business underscores delivery momentum with $454M total potential including options.
Risk Flags (1)
- Execution [HIGH RISK]▼
High pricing risk on FCN, INC.'s firm fixed price $242M IRS delivery order, as rapid $240M outlays to date heighten performance pressure through the November 30, 2026 current end date.
Opportunities (1)
- ◆
FCN, INC. has $211M in unexercised options remaining on the $454M ceiling IRS Broadcom software maintenance order, signaling potential revenue expansion for the woman-owned small business.
Sector Themes (1)
- ◆
The IRS's $242M obligation to FCN, INC. for Broadcom software licenses and maintenance (NAICS 541519, PSC DA01) highlights sustained investment in IT application support, with $240M outlayed since December 2022 on a 4-year performance period.
Watch List (1)
- 👁
{"entity"=>"FCN, INC.", "reason"=>"$242M IRS order with $240M outlayed and $454M potential ceiling, testing execution through November 2026 end date amid high pricing risk.", "trigger"=>"option exercise notifications; outlay progress beyond $240M; current end date compliance (Nov 30, 2026)"}
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