Oracle products discounted under GSA OneGov deal
The General Services Administration struck a deal with Oracle as part of its OneGov strategy to provide a variety of cheaper services to federal agencies, including a 75% discount for license-based Oracle Technology Programs.
Under OneGov, GSA wants to work directly with original equipment manufacturers like Oracle to negotiate better governmentwide terms for commercial technology. On top of the 75% discount for licensed technology such as database, integration, security, and analytics services, Oracle will also offer “substantial base discounts” for its Oracle Cloud Infrastructure services, GSA announced Monday.
“The Trump Administration is focused on acquiring cutting-edge commercial technologies to modernize federal systems at scale,” GSA acting Administrator Stephen Ehikian said in a statement. “This landmark agreement with Oracle marks a major step forward in that mission. Oracle’s advanced database, cloud and AI solutions deliver unmatched speed, security, and scalability — core capabilities for transforming how government manages and secures sensitive data.”
Oracle is now the latest of several technology vendors, including Adobe, Google, Salesforce and others, to negotiate a OneGov deal with GSA.
This deal, however, comes with some additional terms beyond discounts that stand to benefit federal agencies as they modernize their IT infrastructures. In particular, Oracle won’t charge data egress fees when agencies move their “existing workloads from Oracle Government Clouds to another cloud service provider’s FedRAMP Moderate, High or DOD IL 4, 5 Cloud,” GSA said in its release. The company will also promote pricing parity with other competing commercial cloud providers, “with no additional security or government uplifts ever charged in the Oracle cloud.”
Also, Oracle will provide “white-glove migration services” to agencies to move them from legacy on-premise environments to the cloud.
The deal will run through November 2025.
As more OneGov deals trickle in, it remains to be seen what will happen to value-added resellers that were often the ones selling such IT services to federal agencies. A top GSA acquisition official recently acknowledged that the new strategy will be “somewhat disruptive” to resellers in the federal technology acquisition market.
