Federal Information Technology Market, 2013-2018

Published: July 03, 2013

Deltek’s Federal Information Technology Market, 2013-2018 explores market catalysts, strategic programs, key initiatives and forecasts federal information technology spending over the next five years.

Deltek forecasts demand for vendor-furnished information technology products and services by the U.S. government will decline from $112 billion in FY 2013 to $102 billion in FY 2018 at a compound annual growth rate (CAGR) of -1.9%.

Key Findings

Persistent budget pressure, threat of sequestration, multiple government mandates, and rapidly advancing technologies are challenging agencies to stretch their IT dollars to new lengths. These forces, combined with evolving capability demands and efforts to increase efficiencies and reduce redundant spending, are driving federal agencies to realign their technology investment strategies and shift how they operate core infrastructure.

Deltek predicts the information technology market will contract over the next few years as agencies look to lower costs, increase efficiencies and juggle priorities. While agencies streamline their IT budgets these investments continue to be regarded as an enabler of productivity and broader cost savings. These parallel objectives will create pockets of opportunity across the federal government.

Significant factors shaping the federal IT market:

  • Within a tightening market opportunities to support IT transformation are emerging, such as cloud computing, data center consolidation, information security, “big data” solutions, and mobility.
  • Morphing IT acquisition and management policies that add intricacies to an already-complex market, such as FITARA, LPTA, strategic sourcing, and the federal digital strategy evolution.
  • Ongoing budget uncertainty is requiring agencies to reprioritize, re-scope, delay or cancel programs.

Critical Insight for Vendors

Deltek’s Federal Information Technology Market, 2013-2018 report takes a 5-year strategic view of the trends, drivers and inhibitors impacting federal information technology procurement. Expanding beyond the scope of traditional IT, this analysis incorporates IT spending that is embedded within non-IT programs or major defense programs or is otherwise typically not reported through the Office of Management and Budget. The report:

  • Identifies numerous trends and drivers to provide companies with clarity on the issues, policies and technologies shaping the market landscape over the next five years.
  • Drills down into the unique elements driving individual market segments and agencies.
  • Includes insight from industry and government thought leader surveys.
  • Provides market forecasts designed to enhance a vendor’s federal planning process with strategic analysis and spending projections.
  • Offers recommendations to aid vendors and contractors in evaluating how trends may impact their business with a view to competitive market positioning.
Deltek's Federal Information Technology Market, 2013-2018 report is delivered in PowerPoint® format. The report package also includes a PowerPoint Executive Briefing, and an Excel® workbook.
  • Purpose of This Report
  • Scope and Methodology
  • Budget Environment
  • Technology
    • Cloud Computing
    • Data Center Consolidation
    • Cybersecurity
    • Big Data
    • Mobility
  • Policy
    • Digital Strategy
    • Open Data
    • PortfolioStat 2.0
    • Strategic Sourcing
    • LPTA
    • FITARA
  • Total Addressable Market, FY 2013-1018
  • Addressable Market by Buying Segment, FY2013-1018
    • Civilian, Defense, Intelligence
  • Addressable Market by Technology Segment, FY2013-1018
  • Technology Segment Analysis
    • Computer Hardware
    • Software
    • IT Services
    • Communication and Network Services
  • Army
  • Navy
  • Air Force
  • Defense Agencies
  • Homeland Security
  • Health & Human Services
  • Veterans Affairs
  • Transportation
  • Justice
  • Treasury
  • NASA
  • Commerce
  • Energy
  • Agriculture
  • Intelligence
  • Conclusions and Recommendations
  • Terms and Definitions
  • State
  • Interior
  • Social Security Administration
  • General Services Administration
  • Labor
  • Education
  • Housing and Urban Development
  • Small Business Administration
  • Environmental Protection Agency
  • National Science Foundation
  • Other Organizations