A Call for Change: Moderate Federal IT Spending Growth Masks the Ongoing Burden of Legacy Systems

By Shawn P. McCarthy – June 11, 2018
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Unlike a few years ago, U.S. federal civilian agencies are not seeing double-digit annual growth in information technology spending. But moderate growth is still underway. Some of these spending increases are happening because agencies face significant ongoing expenses related to maintaining legacy systems.

This week IDC issues a new civilian agency IT spending forecast, which predicts that annual civilian agency spending will reach $52.0 billion by the time the 2018 fiscal year ends on September 30. Surprisingly, we expect just 21.1% of those funds will go into new systems development, while 78.9% will go toward improving and maintaining legacy systems. (Maintenance and Operations.)

 

About the author

Shawn P. McCarthy

Research DirectorIDC Government Insights

<p>Analyst and research director at IDC since 2004.</p>

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