recommended reading

How to Approach Declining Federal IT Spending


More efficient federal information technology systems will require fewer dollars, according to a new report from Deltek that predicts agency IT spending will fall from $101 billion to $94 billion in five years.

Deltek factors in IT spending that often is left out of the overarching budget numbers, such as technology for the judicial and legislative branches and the intelligence community, as well as IT embedded in large defense systems.

Today’s technology offerings and policies promise savings down the road, including data center optimization, strategic sourcing, shared services and cloud computing, Deltek said.

“This transition to a leaner federal government — and the ability to sustain it — requires technologies that facilitate the consolidation, integration and standardization necessary to develop uniform IT platforms known as Common Operating Environments,” Deltek said.

The one-enterprise perspective will shrink budgets in the long term, Deltek predicted. Still, agencies will need cybersecurity and data analytics technology to support their mission priorities, the report said. The Defense Department in particular will need intelligence, surveillance and reconnaissance and health IT, Deltek noted.

Smaller budgets are the new normal and will remain that way, even if sequestration ends. “Agency leaders want more control of where cuts happen,” said John Slye, Deltek analyst. “This means redefining priorities and acquisition strategies to fit within new budget realities.”

Contractors must have strategies in place to identify growth opportunities and to protect their market share.

(Image via JohnKwan/

Threatwatch Alert

Thousands of cyber attacks occur each day

See the latest threats


Close [ x ] More from Nextgov

Thank you for subscribing to newsletters from
We think these reports might interest you:

  • Data-Centric Security vs. Database-Level Security

    Database-level encryption had its origins in the 1990s and early 2000s in response to very basic risks which largely revolved around the theft of servers, backup tapes and other physical-layer assets. As noted in Verizon’s 2014, Data Breach Investigations Report (DBIR)1, threats today are far more advanced and dangerous.

  • Featured Content from RSA Conference: Dissed by NIST

    Learn more about the latest draft of the U.S. National Institute of Standards and Technology guidance document on authentication and lifecycle management.

  • PIV- I And Multifactor Authentication: The Best Defense for Federal Government Contractors

    This white paper explores NIST SP 800-171 and why compliance is critical to federal government contractors, especially those that work with the Department of Defense, as well as how leveraging PIV-I credentialing with multifactor authentication can be used as a defense against cyberattacks

  • Toward A More Innovative Government

    This research study aims to understand how state and local leaders regard their agency’s innovation efforts and what they are doing to overcome the challenges they face in successfully implementing these efforts.

  • From Volume to Value: UK’s NHS Digital Provides U.S. Healthcare Agencies A Roadmap For Value-Based Payment Models

    The U.S. healthcare industry is rapidly moving away from traditional fee-for-service models and towards value-based purchasing that reimburses physicians for quality of care in place of frequency of care.

  • GBC Flash Poll: Is Your Agency Safe?

    Federal leaders weigh in on the state of information security


When you download a report, your information may be shared with the underwriters of that document.