The Pentagon currently operates with a $38.5 billion IT budget. The Pentagon is looking to trim around $40 billion from its overall budget in 2013 in order to reach its goal of cutting nearly $500 billion over the next decade.
Recently, the Pentagon announced its plans to consolidate its IT infrastructure and predicts it will cut between $1.2 billion and $2.2 billion annually by fiscal year 2016 through the process.
According to Federal Times, the Pentagon expects to require military services and agencies to use departmentwide contracts for buying IT products and services. Currently, Pentagon components are only required to consider using departmentwide contracts.