Deltek: Federal Cloud Platform Investments to Reach $6.4B by FY 2021

cloudA new Deltek report predicts federal spending on cloud computing platforms and services to increase from $3.1 billion in fiscal year 2016 to $6.4 billion by FY 2021.

Deltek said Tuesday government investments in big data services and products will grow to $3.6 billion by FY 2021 from $2 billion in FY 2016.

According to the report, the Federal Risk and Authorization Management Program and recruitment of chief data officers to oversee strategies on large data sets will drive the adoption of cloud and big data platforms.

“The push for agencies to modernize their IT environments will ramp up pressure on agencies to adopt cloud computing. But with increasing concerns about security, the importance of FedRAMP compliance is only going to increase as the pace of cloud adoption increases,” said Alex Rossino, senior principal research analyst at Deltek.

Deltek also found that defense and civilian agencies spent approximately $1 billion on contracts to implement private cloud platforms over the last three years and that there is a high demand for cloud engineering services across the federal market driven by private cloud adoption.

Agencies cited security risks as barriers to the adoption of mobile platforms, the report said.

Deltek noted that government contractors should leverage the Office of Management and Budget’s Data Center Optimization Initiative to explore opportunities in order to help agencies meet infrastructure automation, server utilization and virtualization requirements.

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