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Leidos Wins Four Spots on U.S. State Department’s $10B “Evolve” IT Modernization Contract Vehicle
The Apex Times

THE APEX TIMES

Business/The Apex Times/Jun 8, 6:39 PM EDT

Leidos Wins Four Spots on U.S. State Department’s $10B “Evolve” IT Modernization Contract Vehicle

The Reston, Virginia contractor said it was selected in four functional categories under the State Department’s Evolve program, a multiple-award indefinite-delivery indefinite-quantity (IDIQ) contract aimed at upgrading global systems used by diplomats and embassy staff.

Leidos (NYSE:LDOS) said it has been selected to support modernization of information technology systems used by the U.S. Department of State worldwide through the State Department’s Evolve contract. In a company announcement posted May 21, Leidos said it received awards in four functional categories under Evolve, which it described as a multiple-award IDIQ vehicle with a total ceiling of $10 billion.

Leidos said the work under Evolve is designed to strengthen cybersecurity, modernize applications and infrastructure, and improve the reliability of IT services across the Department of State’s network of embassies and consulates. The company said the intent is to ensure that diplomats and embassy staff can access secure and resilient systems in a wide range of operating environments.

Under the Evolve contract structure, Leidos received awards in these four categories: cloud and data center services; application development services; network and telecommunications services; and customer and end-user support. Leidos did not state the dollar value of its own task orders or how much of the contract ceiling is expected to flow to it. The company also did not disclose timelines for specific deliverables beyond describing the Evolve vehicle’s overall contract period.

The Evolve contract is an indefinite-delivery indefinite-quantity, or IDIQ, agreement. In practical terms, an IDIQ establishes a framework and pricing/terms while the government later issues individual task orders for particular needs. Leidos said Evolve includes a one-year base period and six option years, and other coverage of the program has described Evolve as the Department of State’s primary enterprise IT services vehicle spanning categories that include IT management, cloud and data centers, application development, networking, and end-user support.

Industry reporting in February 2026 described the Evolve awards as the result of a multi-stage procurement that had to be finalized after protests. That reporting said the State Department cleared the last protest and finalized a set of contract awards across multiple functional categories, with the overall Evolve ceiling presented as up to $10 billion. A separate trade account described the procurement as having 48 award “spots” across five functional categories, with the contract divided into groups for each category and individual contractors holding multiple spots.

For Leidos, the Evolve selection builds on its positioning in digital modernization and cybersecurity services, including cloud migration and “zero trust” security, a security approach that continuously verifies users and devices rather than relying on network location. Leidos also tied the awards to its strategic focus on NorthStar 2030, which the company said centers on digital modernization, cyber, and customer-centric innovation leveraging AI and IT transformation. What remains unclear is how soon task orders will be issued for each of Leidos’s four categories, and what specific systems, platforms, or geographies will be prioritized first by the Department of State.

Why It Matters

  • For government IT contractors, large IDIQ vehicles can be a long-term pipeline, because individual task orders tend to follow based on mission demand and budget priorities.
  • Leidos’s four-category selection suggests it is positioned to deliver both platform services (cloud, network) and application and end-user support, which can increase operational “stickiness” once programs begin.
  • The announcement underscores continued U.S. government emphasis on securing globally distributed IT environments, particularly those that support diplomacy and day-to-day embassy operations.
  • Because the company did not quantify its expected share of Evolve’s ceiling, investors and analysts will likely look for follow-on task order announcements for clearer near-term visibility.

Sources

Key Facts

  • Leidos said it received four awards under the U.S. Department of State’s Evolve contract vehicle: cloud and data center services, application development services, network and telecommunications services, and customer and end-user support.
  • Leidos described Evolve as a multiple-award IDIQ contract with a one-year base period and six option years, with a total ceiling of $10 billion.
  • Leidos said the effort is intended to strengthen cybersecurity, modernize applications and infrastructure, and improve reliability of IT services for embassies and consulates.
  • Leidos did not disclose what portion of the $10 billion ceiling is expected to be earned by the company, nor the value of any specific task orders.
  • Other reporting said the overall Evolve procurement was completed after protests were resolved, with awards finalized across multiple functional categories.

Defense Related

Leidos Wins Four Spots on U.S. State Department’s $10B “Evolve” IT Modernization Contract Vehicle | The Apex Times