It has been challenging over the last year for anyone in federal government information technology (IT) contracting to understand which direction the market is heading. Neither the Office of Management and Budget nor the Department of Defense (DOD) published the detailed descriptions of major IT investments that they usually do. The DOD put out a high-level summary of its anticipated IT budget for FY 2026, but the usual portfolio of civilian investments that appears on the IT Dashboard still hasn’t shown up.

We’re now able to provide at least a little insight for the U.S. Army, however, based on spending data acquired from SAM.Gov. It shows that the Army’s IT spending remained steady.

Total Army IT Spending

According to the data, a compilation of spending reported under Product Service Codes classified as IT, the Army obligated $15.2B for IT goods and services in FY 2025.

FY 2025 proved to be a “steady-as-she goes” year for the Army in terms of its IT spending.

Spending by Top Organizations

When it comes to determining which Army organizations spent the most, the data shakes out as follows.

As we can see, approximately 50%, or 10 of the 20 organizations shown, increased their IT spending over the three years from FY 2023-2025. The Communications Electronics Command spent by far the most, which makes sense because it is part of Army Futures Command and that is where the push to acquire commercial solutions is the hardest. The Program Executive Offices are also well represented, as is the Corps of Engineers.

Army IT Spending by Business Size

When it comes to spending with small businesses, the Army has made good progress over the last three fiscal years.

Spending with firms that are Other than Small remains robust, but is down 1% over the three-year period. Spending with small businesses is, by contrast, up by 11%. This shift reflects in part the participation of more non-traditional businesses drawn to work with the Army via Other Transaction Agreements and Commercial Solutions Openings.

Top Companies by Army IT Spending

Turning to the companies earning the most through their work with Army customers, we see a strong parallel with firms that are also the leading weapons manufacturers.

The connection between IT and weaponry reflects the extent to which technology has become embedded in modern armaments. Long gone is the “dumb-bomb” era, replaced by smart bombs, loitering munitions, and precision guided weapons.

Summing up, then, the doom and gloom of the DOGE Spring turns out to have been little more than hype. For the Army at least, the year amounted to more of the same when it came to IT spending. If this trend holds, the market in FY 2026 should be even more robust.