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Tracking the Spend: $158M for CDT’s 5 Biggest IT Buys in Q3

The purchases, all beginning July 1, included fiber cable, Microsoft 365 and Office products and implementation, and CDT’s share of sales taxes.

servers in a data center
The California Department of Technology (CDT) spent just more than $158 million on its five largest purchases of IT goods in the third quarter of 2024.

Four of the five contracts were made on July 1 and run for five years, through July 1, 2029. The fifth purchase, also on July 1, has a term of just less than two years.

According to the State Contract and Procurement Registration System, CDT spent $158,061,717 from July 1 through Sept. 30 on the five purchases (all numbers are rounded). They were:
  • $91,598,162 for 288-strand fiber cable in a formal competitive bid. The contract was with Anixter Inc.
  • $22,562,702 for Microsoft 365 enterprise, a software licensing program (SLP) contract with Crayon Software Experts LLC
  • $19,739,662 for CDT’s portion of sales taxes paid to IBM in a proprietary, noncompetitive contract
  • $12,534,410 for Microsoft Office 365 in an SLP contract with Crayon Software Experts LLC
  • $11,626,781 for Microsoft implementation services in an SLP contract with Insight Public Sector Inc., that began July 1 and runs through March 31, 2026
The periodic reports of spending on IT goods and services by agencies and departments in state government are compiled by Industry Insider — California as a way of highlighting procurements and trends.
Dennis Noone is Executive Editor of Industry Insider. He is a career journalist, having worked at small-town newspapers and major metropolitan dailies including USA Today in Washington, D.C.