A new Deltek report forecasts the federal government’s spending on information technology products and services supplied by contractors to increase from $116.4 billion in fiscal year 2023 to $137.5 billion in FY 2027.
Deltek said Friday it expects the federal IT market to continue to see moderate growth as agencies invest in IT platforms and work to address the current administration’s technology mandates and priorities.
Federal agencies will continue to prioritize investments in cloud, big data, artificial intelligence, health IT, cyber, 5G and other critical technology areas and advance the adoption of DevOps, DevSecOps, microservices and application programming interfaces in software development and modernization initiatives, according to the company’s Federal IT Market, 2023-2027 report.
The analysis shows that zero trust policies, cloud security, software supply chain security, vulnerability and incident response and cyber data collection and sharing are prompting agencies to further invest in cybersecurity platforms.
Federal adoption of enterprise-scale analytics tools will continue to rise in the next five years, according to the report.
