Varian Medical Systems, Inc.

Varian Medical Systems, Inc., a foreign-owned subsidiary of Siemens AG headquartered in Palo Alto, California, manufactures and maintains radiation therapy linear accelerators, oncology information systems (ARIA), treatment planning software (Eclipse), and related medical equipment as a prime contractor to the federal government—operating 100% as a prime across its federal footprint with no SBA certifications and competing full-and-open in all non-set-aside procurements. The company holds no social or economic set-aside designations and does not participate in 8(a), HUBZone, SDVOSB, WOSB, or other small-business programs.

Varian's federal capability portfolio centers on radiation oncology infrastructure for cancer treatment. Representative work includes $6.3 million for a TrueBeam Base System 120 linear accelerator delivery to Michael E. DeBakey VA Medical Center in Houston (Department of Veterans Affairs National Acquisition Center, ultimate completion July 30, 2027); $5.8 million for maintenance and service agreement for TrueBeam, ARIA, and Eclipse systems at the National Cancer Institute (ultimate completion September 21, 2027); and $7.5 million for linear accelerator maintenance services at Naval Medical Center Portsmouth and Keesler Medical Center (Defense Health Agency, ultimate completion April 30, 2031). Across the broad federal footprint, Varian delivers equipment procurement, installation, software licensing, preventive maintenance, emergency repairs, hardware and software upgrades, training, and 24/7 technical support for proprietary radiation therapy systems.

Customer concentration centers on the Department of Veterans Affairs and Defense Health Agency. The top five customer categories account for 80% of combined potential value: Department of Veterans Affairs Veterans Integrated Service Network 12 leads with 114 awards totaling $876.6 million; Defense Logistics Agency Troop Support Medical holds 42 awards worth $516.9 million; Department of Veterans Affairs National Acquisition Center accounts for 125 awards valued at $267.8 million; Department of Veterans Affairs Veterans Integrated Service Network 22 holds 39 awards at $48.4 million; and Defense Health Agency carries 56 awards at $46.6 million. By volume, the top four customer agencies by award count are the Department of the Navy (603 awards), Department of the Air Force (578 awards), Department of the Army (443 awards), and Defense Logistics Agency (182 awards)—a concentration pattern reflecting Varian's entrenched position as the specialized OEM supplier for radiation therapy equipment across the military health system and VA.

Varian's vehicle position is anchored by five major indefinite delivery contracts. The VA NAC Radiation Therapy Next Generation Program carries 70 task orders valued at $100.8 million and runs through September 2030. A single-award VA National Acquisition Center IDC worth $300 million (ultimate completion September 5, 2035) covers radiation therapy equipment systems and accessories across VISN 12 and Defense Logistics Agency procurement. A second single-award VA National Acquisition Center IDC valued at $90 million supports radiation therapy equipment and systems procurement. A $300 million multiple-award IDIQ awarded to Varian on September 6, 2025, under VISN 12 (ultimate completion September 5, 2030) includes a five-year base period plus five-year option for linear accelerators, simulator systems, treatment planning systems, brachytherapy systems, and accessories nationwide. Additional vehicles include Indefinite Delivery Contract V797P6077B (119 task orders, $120.7 million combined value), Basic Ordering Agreement N0010485GA003 (110 task orders), Basic Ordering Agreement N0010478GA012 (106 task orders), and a single-award Defense Health Agency IDIQ for $22 million (ultimate completion September 5, 2025) covering capital medical equipment and radiation therapy products. Task orders flow from VA medical centers (VISN 1–23), National Acquisition Center, Defense Logistics Agency, Defense Health Agency, Air Mobility Command, National Cancer Institute, and Federal Correctional Complex Butner.

Activity has remained steady across the recent five-year period (61 awards in 2022, declining to 34 in 2026 year-to-date) with 3,717 total prime awards in the source data and $2.2 billion combined potential value. Sixty-seven awards carrying $124.1 million in combined potential value face ultimate completion within the next twenty-four months and will trigger recompete activity. Varian's primary NAICS concentration runs across Other Electronic and Precision Equipment Repair and Maintenance (311 awards), Irradiation Apparatus Manufacturing (287 awards), and Electromedical and Electrotherapeutic Apparatus Manufacturing (243 awards), with top PSC codes reflecting electron tubes and medical equipment repair and maintenance work.

Service Contract Inventory reporting shows SCI-captured federal service contract invoicing of $45.8 million across FY2022–FY2025 (FY2022: $171 thousand; FY2023: $9 million; FY2024: $18.6 million; FY2025: $18 million). The company deployed roughly 5.6 FTEs in FY2025 on federal service contracts captured in SCI. Across SCI-reportable prime contracts, median government-paid hourly rates ran around $1,561.86 per hour, with senior labor and specialized technical work pricing through $12,397.38 per hour at the 90th percentile. Varian self-performed all reported labor across SCI records with zero subcontractor hour engagement on federal maintenance and support contracts.

Varian operates as a pure prime on its federal footprint—100% of awards are prime contracts and IDVs with no material subcontract or sub-recipient activity. On SCI-reportable service contracts, the vendor self-performs all labor and does not engage subcontractors, maintaining direct control of technical service delivery for radiation therapy equipment maintenance and support.

Corporate structure includes subsidiaries Varex Imaging Corp (medical imaging components), D3 Oncology Inc., and Calypso Medical Technologies, Inc., reflecting Varian's broader portfolio of radiation oncology and medical imaging capabilities beyond the core linear accelerator and software business. Varian operates without federal grant prime or sub-recipient awards in the source data; three named sub-awards appear under University of Maryland Baltimore and Dana-Farber Cancer Institute in NIH-funded research on imaging and treatment optimization in radiotherapy, positioning Varian as a participating technology provider rather than grant recipient.