FED IT Spending: Reviewing 2018 & Gauging 2019


2018 was a stellar year for companies doing business with U.S. Federal Agencies. Over $95.6 billion dollars were allocated towards the procurement of secured IT products and solutions across Civilian, DoD, and the IC agencies.

2018 DoD IT Spend | $35.7 billion

$42.5 billion originally allocated – not all spending has been recorded*

2018 Civilian IT Spend | $45.5 billion

$53.1 billion originally allocated – not all spending has been recorded*

Top 5 Agencies: Predicted % of Total Spend*

DoD: ~44.4%
HHS: ~14.5%
DHS: ~7.1%
Treasury: ~4.5%
VA: ~4.3%

*Data based on 2018 White House and OMB projected and released findings.

Modernization: Improving the U.S. Critical Infrastructure

According to the President and OMB’s release on Information Technology, “The Administration will work to modernize and improve government operations and service delivery by building modern citizen-facing digital services, buying more like a business, improving cybersecurity, investing in improved data analytics, and generating greater cost efficiencies.”

This further emphasizes the President’s focus on improving the homeland’s IT support system. In May of 2017, he signed an Executive Order to modernize and strengthen our technology infrastructure.

Additional information on the current status of the modernization effort can be found here.


The President of the U.S. recently signed the Department of Defense Appropriations Bill that provides over $674 billion dollars to fund military operations in 2019.

This is a $19.8-billion increase from the FY 2018.

Estimated 2019 DoD IT Spend | $46.4 billion

According to the Physical 2019 request, $36.4 billion will be allocated towards unclassified IT, $10 billion to classified, and $8.6 billion to cyberspace activities

Estimated 2019 Civilian IT Spend | $45.8 billion**

This is a decrease from previous years, although the previous IT budget included grants made by Federal agencies to state and local governments for IT systems used to administer Federal benefits.

The FY 2019 budget includes funding and investments to support 3 main functions: 1.) mission delivery; 2.) IT infrastructure, IT security, and IT management; and 3.) administrative services and support systems.

**Data based on 2019 White House and OMB projected release.

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