The Brazilian government and data visualization company Qlik has agreed on a new agreement that establishes bigger discounts for products in bidding processes.
Under the new terms, price reductions for Qlik products may range between 19% to 29%, depending on the product contracted. Products supplied by the company to the Brazilian government include Qlik Sense, which is being used in the Ministry of Health's Covid-19 analytics dashboard.
In the current agreement with Qlik, 18 federal public companies that rely on the National Treasury, such as the Federal Data Processing Service (Serpro), are set to benefit from the lower prices. The catalog resulting from the previous agreement consisted of a 22-item list; the current deal includes 169 items.
According to the Ministry of Economy, the revised agreement with the supplier is expected to generate annual savings of 11.4 million reais ($2.1 million). The new agreement follows a previous price reduction in June 2020, when Qlik had to reduce prices for products supplied to the Brazilian government as part of initiatives aimed at rationalizing public sector IT spending.
Other companies that also had to revise their pricing agreements with the Brazilian government include Microsoft, Adobe, and Oracle. Since 2019, the federal government has been introducing initiatives to standardize the prices for technology products and services charged in bidding processes. This is aimed at rationalizing public sector IT spending.
"This is a successful model that, as well as benefiting states and municipalities when they contract technology products and services, it is also starting to serve other government branches," says the special secretary for management and digital government at the Ministry of Economy, Caio Mario Paes de Andrade.
"The agreements consider the purchasing power of the government as a whole, with public sector bodies, small or large, obtaining the benefits of lowest prices due to scale, which results in savings and acceleration of their digital transformation processes," he adds.
According to Qlik's country manager in Brazil, Olímpio Pereira, the updated agreement reflects the company's desire to broaden the adoption of its data-driven products across the Brazilian government.
"We aim to increase Qlik's presence in the public administration, based on the expansion of this contracting model by various [public sector] bodies. Therefore, we chose to offer discounts that allow greater access to our catalogue," he says.