How effective is the clause at reducing vendor lock-in?
OMB’s current April 2025 memo says agencies should include solicitation provisions that reduce the risk of vendor lock-in, including requirements for knowledge transfer, clear data and model portability practices, clear licensing terms, and pricing transparency. The same memo says agencies must pay careful attention to vendor sourcing, data portability, and long-term interoperability to avoid costly dependencies on a single vendor. GSA’s February 2026 draft clause is more specific on rights: the Government retains ownership of Government Data and Custom Developments, contractors and service providers receive only a limited, revocable, non-exclusive, non-transferable license to use those assets for permitted purposes, and the Government receives an irrevocable, royalty-free, non-exclusive license to use the AI system for any lawful Government purpose. GAO’s April 2026 report adds the implementation problem: agencies were not yet systematically collecting lessons learned, and they were missing opportunities to apply best practices such as contract terms tied to data rights or testing requirements. The evidence supports a narrow conclusion: the clause can materially reduce lock-in risk when those terms are included, but the sources stop short of promising that any single clause will fully prevent lock-in.