_________________________________________
 
               DISMISSED WITH PREJUDICE: January 7, 1993
               _________________________________________
 
                             GSBCA 12217-P
 
                           ViON CORPORATION,
 
                                           Protester,
 
                                   v.
 
                  DEFENSE INFORMATION SYSTEMS AGENCY,
 
                                           Respondent,
 
                                  and
 
                         FEDERAL SYSTEMS GROUP,
 
                                           Intervenor.
 
        Irwin Goldbloom, Thomas D. Sydnor, II, and Edward J. Shapiro
   of Latham & Watkins, Washington, DC, counsel for Protester.
 
        H. Jack Shearer  and Virginia G. Farrier,  Office of General
   Counsel, Defense  Information  Systems  Agency,  Scott  AFB,  IL,
   counsel for Respondent.
 
        David  S.  Cohen  and  Donn  R. Milton  of  Cohen  &  White,
   Washington, DC, counsel for Intervenor.
 
   BORWICK, Board Judge.
 
                                 ORDER
 
        On December 9, 1992, ViON Corporation (ViON) filed a protest
   against the Defense Information Systems Agency/Defense Commercial
   Communications Office  (DISA), respondent.     ViON alleged  that
   DISA's award to Federal Systems Group  (FSG) violated the request
   for proposals' requirement for a state-of-the-art processor.  
 
        On  December  30,  1992, protester  and  respondent  filed a
   settlement stipulation and a joint motion to dismiss the protest.
   Respondent  acknowledges that the model processor proposed by FSG
   could reasonably be construed as not state-of-the art as  defined
   in the request for proposals.   Respondent agrees not to consider
   that  particular  model processor  or  any  other model  of  that
   processor line, as  currently configured, to satisfy  a state-of-
   the  art requirement  in  any future  procurement using  the same
   state-of-the art definition.  Respondent agrees, upon  submission
   of  an  invoice, to  pay ViON  a  sum not  to exceed  $45,000 for
   attorney  fees and  protest  costs.   Respondent  may retain  the
   mainframe computer acquired  under the contract.   Intervenor FSG
   has not objected to this settlement.  
 
 
        Pursuant to  Rule 28(a)(1) and  the request of  the parties,
   this protest is DISMISSED WITH PREJUDICE.  The limited suspension
   of respondent's delegation of procurement authority lapses by its
   terms.  
   ______________________________
 
                                       ANTHONY S. BORWICK
                                       Board Judge