Federal Big Data Market, 2024-2028

The term “data as an asset” is more important than ever in the federal government. In addition to driving evidence-based decision making, agencies are ramping up efforts to improve data governance, inventory and infrastructure to leverage AI and automation technologies. Other emerging technologies such as the Internet of Things, 5G, edge computing, and zero trust are also driving the need for more reliable and accessible data. Agencies are prioritizing the centralization of enterprise data by investing in storage and integration solutions for easier access and use.  

Though there is a push to expand federal big data practices, agencies struggle with understanding current data sets, integrating disparate data, ensuring data integrity, and fostering a data-centric culture. Agencies will continue to invest in data management and integration solutions, analytics, analysis support and storage/servers to tackle these challenges. 

Deltek anticipates federal spending on big data products and services will increase from $9.1B in FY 2024, to $12.3B in FY 2028, an increase of 35% in the next five years.  

Key Findings 

• AI Influence. Agencies continue to improve data management practices and data hygiene as part of the drive to leverage AI and automation in operations and missions. 
• Technology Convergence. AI, zero trust, Internet of Things and edge computing initiatives are driving data tagging/labeling, while cloud computing is being used to scale and integrate data. 
• CDO Priorities. Top priorities for Chief Data Officers include implementing data strategies, enabling data-driven decisions, improving data management infrastructure and data organization. 
• Top Data Challenges. Key data challenges at agencies include understanding the data sets that exist within the organization, ensuring data integrity and creating a data-driven culture. 
• Cloud-Based Analytics. Driven by convenience and the availability of cutting-edge capabilities, agencies are turning to cloud-based analytics more than ever. 
• Storage and Servers Investment. Agency investment in storage and servers grew 22% from FY 2021 to 2023, driven by needs arising with AI adoption. 
• Small Business Growth. Small business awards for big data-related products and services grew 34% from FY 2021 to 2023 across both the defense and civilian sectors. 

Critical Insight for Vendors 

Deltek's Federal Big Data Market, 2024-2028 report provides the spending trends, drivers, and inhibitors shaping the federal big data environment.  

The report provides: 

• Analysis of the policies, legislation, leadership and strategies impacting federal big data acquisitions. 
• Understanding of the technologies intersecting and helping shape federal big data strategies and initiatives. 
• Assessment of historical spending patterns. 
• Addressable contractor-addressable market forecasts across the federal sector, big data solutions areas and top agencies for the next five years. 
• Insight to agency initiatives and priorities.  
• Recommendations to help contractors evaluate the impact of trends on their businesses. 

Deltek's Federal Big Data Market, 2024-2028 report is delivered in PowerPoint® format, including a PowerPoint® Executive Briefing, and an Excel® data workbook and list of upcoming opportunities.