Solicitation options for digital procurements

Last updated on August 20, 2025

 

Get ready to make a digital purchase 

Procuring digital goods and services have unique requirements in addition to those set out in the Procurement Policy, Chapter 6. Digital procurement could include the sourcing, purchasing and management of a good or service with a technical component.  When procuring digital goods and services, you should also be familiar with Procurement policy, Chapter 12: Information Technology and Information Management

If you still have questions after reviewing these solicitation options, contact your ministry procurement specialist or the Procurement and Supply Division (PSD) for advice. 

All contracts are legally binding agreements, including those for open-source software. If you have questions about the legal implications of your procurement, seek legal advice from your ministry solicitor at Legal Services Branch (LSB).  

You must consult LSB if you intend to alter a corporate solicitation or contract template, use a supplier-provided contract, or use a custom form of contract. 

You will require funding approval before you begin. Learn more about funding your digital service through the digital investment process.  

Your ministry may have additional reporting or review requirements for digital purchases. Please review your ministry’s financial policies before proceeding with your procurement.  

Solicitation options for digital goods and digital services 

The information below outlines solicitation methods that may be available for your digital procurement depending on your budget, timeline, and business requirements. 

Digital goods      

These solicitation options may be available when you need to purchase digital goods.  

Digital goods are tangible items that meet a functional need, like computers, hardware accessories such as keyboards, mice, external storage devices, physical software that is not purchased in cloud format, etc. 

Digital services              

These solicitation options may be available when you need to purchase digital services. Digital services enable organizations to create, manage, access, and optimize information and business processes, like design, project management, consulting, software-as-a-service (SaaS), and training. 

Note that your purchase may include both goods and services. For example, a contract for cell phones with a two-year plan includes digital goods (the cellphones) and a service (the data plan and support). 

To determine whether your purchase is a good or a service, consider where most of the cost is going. In this example, as the cost of the phone is less than the cost of two years of service, it is considered a service. 

Digital Marketplace 

The Digital Marketplace is a platform that supports digital procurements, such as Agile services, digital development, application creation, and technical expertise. There is a cost associated with using the Digital Marketplace services.  

Services available: 

Are software licenses considered a good or service?  

  • If the software license is a subscription, needs to be renewed and paid every month or year, it is considered a service
  • It is considered a service because the government doesn’t own the software
  • Additionally, if cost of the maintenance is more than the cost of the good, the software is considered a service
  • However, if the software is a perpetual, unchangeable license, the buyer performs the maintenance and does not pay for updates, the software is considered a good
  • And, if the cost of software maintenance is less than the cost of the actual good, the software is considered a good

Note: If the cost balance shifts over the course of a contract, it may affect your ability to extend or reprocure the product. 

Get help with your digital procurement 

Ministry procurement and contract management specialists 

Your ministry procurement specialist will be your first point of contact. They will coach you through the planning stages, including:  

  • The procurement lifecycle 
  • Understanding scope and requirements 
  • Solicitation vehicles and evaluation 
  • Approvals and timeline 
  • Privacy, security, risk  
  • Liaising with Legal Services Branch 

Your ministry’s contract management team can assist with Expense Authority (EA) approvals, obtaining signatures, requesting WorkSafe letters, insurance, obtaining support to finalize packages, and performing a final review and contract closure.  

For additional support, access our comprehensive list of key contacts who can assist with your procurement or contract.  

Digital procurement support 

The following areas are subject matter experts and have expertise in various digital procurement areas.  

Information Management Branch (IMB) 

The IMB branch provides support for mobile devices, account management, server assistance and requests for Privacy Impact Assessments. 

Digital Investment Office  

The DIO can help you navigate the digital investment process for capital projects under 20 million dollars and less than 10 million dollars in any one year. They can walk you through the steps to secure financial support to build or scale your digital service.  

Cloud Services 

This team can provide support and guidance when procuring cloud and SaaS products.  

Technology Design, Architecture and Cybersecurity Division 

The team helps deliver secure, modern and resilient digital services across government. They work on hosting and cloud services, cybersecurity, enterprise architecture, artificial intelligence and connected services. 

Service Delivery Operations Division 

The OCIO Service Delivery Operations Division focuses on operational service delivery; and streamline responsibilities, improve accountability and enhance quality consistency of foundational services. 

How SaaS Procurement Works 

How to determine budget costs for SaaS as well as next steps for procuring SaaS tools under and over $75K. 

Enterprise Services (ES) Product Portfolio – Application Hosting  

The Hosting Services Branch ensures the products within the Application Hosting Service are delivered in a secure, sustainable and fiscally responsible manner. 

Service Management 

Service Management Branch provides tools, service design life cycle support and IT service management processes and procedures. 

Information Security Branch (ISB)    

ISB provides overall governance and operations for information security to support the secure delivery of government programs. They ensure all goods and services are compliant with all information management and digital standards. 

They can also help you determine the level of risk with a Security Threat and Risk Assessment (STRA) in collaboration with Ministry Information Security Officers (MISO)

We recommend you review the privacy and security considerations for applications and software, as you prepare your solicitation.