Under the contract vehicle, the agency in March 2006 chose EDS, IBM Corp, and Companion Data Services LLC to compete for task orders to overhaul more than 20 different data centers into four centers.

EDS in April 2006 won its first order, worth up to $29m, to build the first data center and provide hosting for Medicare claims processing in six states. And in July 2006 it landed a $41m deal for hosting CMS Web sites.

Just last week, Companion Data Services – a subsidiary of BlueCross BlueShield South Carolina – received a contract worth more than $200m to provide data processing and hosting for claims processing in 30 states.

The new EDS task order includes a one-year base period and five one-year options. It covers application hosting for Medicare processing in 12 states.