Industry group forecasts federal IT spending

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OCT. 19'Federal spending on information technology is expected to grow by 1.7 percent annually over the next five years, according to a study from an industry trade group.

By Patricia Daukantas
GCN Staff

OCT. 19'Federal spending on information technology is expected to grow by 1.7 percent annually over the next five years, according to a study from an industry trade group.

The IT spending projection encompasses annual outlay increases of 2.2 percent from civilian agencies and 1.1 percent from the defense section, representatives of the Government Electronics and Information Technology Association announced yesterday.

For fiscal 2001, civilian agencies have requested a total of $22 billion for IT, and DOD has requested $17.7 billion, said Mary Freeman, a market research manager with Verizon Communications' federal division in Bronxville, N.Y., and GEIA's budget forecast chairwoman. Congress has not passed all of the 2001 appropriations bills.

'There's absolutely no question that the government's reliance on our industry is continuing to grow,' Freeman said.

Another trend is that agencies are more likely to require their industry partners to assume a larger share of the risk in IT projects, said Jeanmarie Klitzner, federal-sector business development director of Computer Sciences Corp.

GEIA representatives will present additional results of the group's 12th annual study of the federal IT market on Nov. 2 during its 2000 Vision conference in Arlington, Va.

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