A $20 billion rush in federal IT spending anticipated for fourth quarter of 2007

Spending on information technology in the final months of the U.S. federal government’s fiscal year 2007 is expected to reach over $20 billion—over 33% of the 2007 total for federal IT spending.

09/18/2007


Spending on information technology in the final months of the U.S. federal government’s fiscal year 2007 is expected to reach over $20 billion—over 33% of the 2007 total federal IT spend—continuing the trend toward a fourth quarter spending spree, according to a recent report released by

“Over the last decade we have seen a consistent move toward agencies spending

The federal government fiscal year ends Sept. 30, and is often marked among vendors receiving a flurry of orders as agencies use up remaining funds. According to the report, this trend appears to be fueled in part by the nature of the appropriations process.

“Agencies are instilled with a use-it-or-lose-it mentality that drives them to spend their remaining budgets before the end of the year,” said

The report suggests that the increased purchasing activity in the fourth quarter favors established vendors who have put in the up-front work of relationship building and establishing their value. “Federal agencies tend to look to their established vendors when they have money to spend in a hurry,” said

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