Budget Analysis: Defense Agency Cyber-Related Budgets in FY 2022

Key Takeaways

• Defense Agencies requested $1.5B for programs leveraging cybersecurity/warfare technology in fiscal 2022.
• The National Security Agency (NSA) requested the highest funding for cyber-related work out of all the Fourth Estate agencies and offices.
• The Fourth Estate’s budget request for programs with cyber-related work is down for the third year in a row.

The Federal Market Analysis (FMA) team analyzes the Fiscal 2022 Department of Defense (DOD) Procurement and Research, Development, Test, and Evaluation (RDT&E) budget requests using keywords to identify cloud computing, big data analytics, cybersecurity/weaponry, and other technologies. This analysis reveals that Defense Agencies, otherwise known as the Fourth Estate, requested a total of $1.5B for programs that either use or prepare for the use of cybersecurity/warfare technology. This number is down from the approximately $1.7B requested for FY 2021 and $1.8B requested in 2020.

Identifying the specific cyber spend in every program is impossible due to the vague way that the DOD reports budget request data. Readers should keep in mind, therefore, that the numbers presented here are the requested budgets for agencies and programs that have a cyber component. The numbers presented here should not be considered the Fourth Estate’s entire cyber budget for FY 2022. They are best thought of as a signpost indicating how and where Defense Agencies intend to do cyber-related work and the potential amounts they could spend on it.

Requested Cyber-Related Budgets by Agency

The chart below lists the agencies that requested FY 2022 funding for programs with a cyber component.

Largest Programs

Here are the five largest programs with cyber-related investment that FMA could identify. Because the totals shown are from the Procurement and RDT&E budget requests, it means the work involved could be new and available to contractors.

Information Systems Security Program (NSA): No details provided for this classified program.

Cyber Security (DARPA): The Cyber Security project develops the computing, networking and cyber security technologies required to protect DOD, U.S. Government, and U.S. civilian information, information infrastructure and mission-critical information systems. In FY 2022, DARPA will select, scale, optimize and increase the robustness of cyber-related algorithms, machine-learning and cloud software systems. Will also demonstrate the capabilities of the highest performing algorithms for automated modification of representative military software systems.

Operational Test and Evaluation (OSD): The Director, Operational Test and Evaluation (OT&E) is responsible under for policy and procedures for all aspects of operational test and evaluation within the DOD. Particular focus is given to OT&E that supports major weapon system production. Funding for FY 2022 provides OT&E inputs for Test and Evaluation Master Plans, Test Plans, System Acquisition Reports and Defense Acquisition Executive Summary Reports for those programs designated for oversight by OT&E and the Office of the Under Secretary of Defense for Acquisition and Sustainment (OUSD(A&S)).

Ballistic Missile Defense Enabling Program Cyber Operations (MDA): This project provides for the management of the Missile Defense Agency's Facility-Related Control Systems (FRCS) cybersecurity program, cybersecurity engineering for FRCS incorporated in MDA facility plans for construction and upgrades, and the implementation of Risk Management Framework and Computer Network Defense (CND) on FRCS in MDA facilities. FY 2022’s request will provide continued support for those programs.

Joint Threat Warning System (USSOCOM): The JTWS System of Systems enables SOF Cryptologic and Cyber Enabling Joint Operators to collect, process, locate and exploit threat communications signals of interest in order to provide timely, relevant and responsive intelligence, networked, enhanced target acquisition and threat warning information directly to the SOF Commanders. FY 2022’s request funds the Capital Replacement Program of 30 GSK kit variants, 13 Air Variant System variants, three Precision Geo-location (PGL) ground kits, 11 PGL ground kits, one PGL Air kit, one Ground Static, Evolutionary Technical Insertion, two Unmanned Aerial Collection Systems, nine Maritime variants, four PGL Maritime kits and initial training and spares.