Obama Administration Ends Contract With Firm Behind Healthcare.gov

The government is expected to sign a deal worth about $90 million with Accenture next week.

The rollout of healthcare.gov has been nothing short of an IT disaster. As a result, the Obama administration will part ways with CGI Federal, the primary contractor behind the health insurance marketplace, and plans to ink a 12-month contract with Accenture that's worth about $90 million next week.

Accenture was responsible for California's health care exchange, but the Washington Post notes that it hasn't done substantial work on federal health care programs. Under CGI Federal, healthcare.gov was ill-equipped to handle the volume of traffic it received, frustrating many users as it enrolled just six people on the first day of the exchange's opening. By the second day, that number rose to 248.

Following this display of inefficiency, the government has apologized for the debacle, and tech companies Google, Oracle, and Red Hat have offered to help improve the website.

[Image: Flickr user kokopinto]

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