Should contractors 'cast a wary eye' on FedBid reverse auctions?

Tuesday - 1/24/2012, 8:00pm EST

Larry Allen, president, Allen Federal Business Partners

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Big money is heading into the coffers of the federal reverse auction business. A group of investors that includes Ted Leonsis and Steve Case has invested in FedBid, a company that does reverse auctions for agencies.

Larry Allen, the president of Allen Federal Business Partners, has said contractors "should cast a wary eye on this development."

Allen joined In Depth with Francis Rose to discuss why.