After a bidding process that took more than three years, hundreds of employees and some thousand follow-up questions, Qwest Communications soon will find out whether it won the largest telecommunications contract ever awarded.

The Denver-based telco is competing against AT&T, Verizon and Sprint Nextel to oversee an overhaul of the federal government's telecommunications, focusing on integrating next-generation technology.

The General Services Administration said it will award the most lucrative part of the contract, known as Networx, this month. Networx is expected to be worth as much as $48 billion, and winning the 10-year-deal could be a transforming event for debt-laden Qwest.

Qwest hasn't received any indication from the GSA as to how it stands, said spokeswoman Claire Mylott. "We certainly feel we've put our best foot forward."

At least two winners will be chosen, and it's possible all four companies could get the contract.

Winning the contract doesn't mean the companies share the multibillion-dollar prize. The winners will split $525 million and then must compete for business from individual agencies. Experts said they expect federal agencies to collectively spend as much as $48 billion over the life of the contract.

"To the winners, it's a guaranteed pool of business for a decade even though there will be competition," technology consultant Warren Suss said. "On the other hand, the companies that don't get a ticket to play are going to be closed out of a large portion of the federal marketplace."

A potential advantage for Qwest is its relatively new, nationwide fiber-optic network that might give the company a cost advantage. But unlike its larger rivals, this is Qwest's first time bidding as the lead vendor of a major government contract.

Each telecom company's bid includes dozens of smaller companies that will handle subcontracted work. Qwest's partners include SAIC Inc. and Bearing Point.

Pact's details

• The contract covers voice, video and data services for at least six federal agencies.

• The GSA will choose at least two prime contractors, who will then be eligible to bid on individual agency projects.

• The contract is estimated to be worth as much as $48 billion over its 10-year term.

davisj@RockyMountainNews.com or 303-892-2514.