A robust process for data collection, accessibility, visibility and interoperability is essential to fulfilling the mission and supporting operations at any federal agency. Historical spending trends reveal this as federal agencies invested $22B on big data-related goods and services from FY 2022 to 2024, increasing spending by 30% in the three-year period.

Federal Big Data Market Drivers

Federal agencies are expanding investments in data solutions and frameworks to bolster data-driven decision-making and augment technologies such as artificial intelligence and machine learning (AI/ML). Moreover, the growing emphasis on leveraging and sharing open data across federal agencies is fueling further investments in big data solutions.  While AI is a primary driver for data maturity at agencies, several technology areas are also helping to shape the federal big data market. These include quantum computing, cybersecurity, and the Internet of Things. The growth and evolution of areas such as cloud computing, edge computing and 5G networking will also boost data’s role at agencies. The Trump 2.0 Administration’s emphasis on AI and combatting government waste and fraud is also set to bolster data optimization efforts.

Federal Big Data Forecast

Given this and more, Deltek forecasts federal spending on big data products and services will grow in the next three fiscal years in a recently released report.

Source: Deltek

Big Data Key Findings

• Related Trump 2.0 Administration Policies. Future big data investments and initiatives will be influenced by Trump Administration policies, such as a focus on breaking down information silos to curb wasteful spending per Executive Order 14243, as well as efforts to ensure data readiness for artificial intelligence (AI) growth as outlined in the AI Action Plan.

• FY 2027 R&D Budget Priorities. Agency R&D priorities for the FY 2027 budget are centered on advancing AI, quantum, and computing technologies, driving the production of data that is discoverable, accessible, and usable to support emerging research domains.

• Chief Data Officers. Federal Chief Data Officers (CDOs) increasingly feel accomplished in data governance and maturity yet continue to face challenges stemming from limited resources and ambiguity in defined responsibilities.
• Technology Influencers. Advancements in the Internet of Things, edge computing, and AI will continue to drive strengthened metadata practices across agencies, while cloud and 5G technologies are supporting the scaling, integration, and acceleration of data.
• FY 2022-2024 Market Expansion. Federal big data spending totaled $22B from FY 2022 to 2024, reflecting a 30% growth and signaling heightened agency commitment to improving data quality and utilization.
• Big Data Solution Area Growth. Historical spending trends from FY 2022-2024 revealed increased investments across all eight key big data solution areas, including high performance commuting and storage/servers, areas that notably experienced volatile trends in the past.

For additional insight into the federal big data marketplace, refer to Deltek’s new report, Federal Big Data Market, 2026-2028.