10 Hotspots in State & Local Government Contracting for 2025

In today’s government contracting environment, diversifying your portfolio by exploring the state, local and education (SLED) government market is more crucial than ever. Our latest report is here to help you navigate this dynamic landscape. We've identified the top 10 areas where demand is increasing, enabling you to align your strategies with the evolving needs of SLED governments. Submit the request form to access the research!

What's Inside the Report:

The SLED market offers diverse opportunities, stable funding, and lower entry barriers, making it an ideal option to recoup lost federal revenue and expand your business. Delve into the driving forces behind each trend, and gain valuable insights into bid growth rates, state rankings, analysis of the underlying drivers behind each trend and strategic business development advice.

You’ll also discover how each of the hotspots in this year’s top 10 list roll up to several core themes:

• Technological Advancements in AI & Energy: Explore how AI and energy efficiency technologies are transforming government operations and sustainability efforts.
• Disaster & Resource Management: Learn about strategies and technologies for effective disaster preparedness and resource management.
• Community & Utility Services: Understand the importance of supporting vulnerable populations and managing essential utilities efficiently.
• Financial & Operational Efficiency: Discover how SLED governments are optimizing processes to achieve greater efficiency and effectiveness.

Unlock the full potential of the SLED market and position your business for success. This report is your ultimate guide to finding and winning your next SLED government contract award!

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Yogi Muthuswamy, Program Manager, YKM Tech Services

Major Themes in 2025's SLED Contracting Hotspots:


Advancements in AI & Energy
SLED governments are increasingly adopting AI and energy efficiency technologies to enhance operations and sustainability, driving demand for innovative solutions.


Disaster & Resource Management
Effective disaster preparedness and resource management remain top priorities, with investments in advanced strategies and technologies to protect communities and the environment.


Community & Utility Services
There is a growing focus on supporting vulnerable populations and efficiently managing essential utilities, reflecting the need for comprehensive community support and infrastructure improvements.

10 In preparing our annual Hotspots report on the state and local government market, we sifted through thousands of industry sectors and identified 10 products or services that are experiencing much faster growth in usage or adoption by SLED governments.

Get the SLED Market Insights You Need to Grow Your Public Sector Business! Download Report >