SAIC Says Leidos’ $450 Million Cloud Contract Has Price Flaws

Science Applications International Corp. told a federal court that the US Air Force’s decision to award Leidos Inc. a $450 million cloud computing contract presents “significant performance risk.”

The Air Force didn’t adequately consider whether Leidos’ proposed price was unbalanced, which occurs when contract proposal line items are significantly overstated or understated, SAIC said in a complaint filed in the US Court of Federal Claims. The court should halt Leidos’ performance and make a new award decision, according to the complaint made public Wednesday.

SAIC, the incumbent contractor, protested Leidos’ selection to perform the Cloud 1 Architecture and Common Shared ...