As 2025 progresses, there is growing evidence of the mounting pressure federal agencies face to modernize their IT systems. To keep pace with rapidly evolving technology—and the emerging threats that come with it—these organizations must adopt new technologies as quickly as possible. However, along with the need for rapid adoption, these agencies also encounter significant roadblocks to progress. Chief among them is procurement, which—due to outdated processes and evolving policy requirements—continues to act as a recurring stumbling block.
How can federal agencies overcome this challenge? The first step is to fully understand it.
Understanding the Impact and Identifying Procurement Roadblocks
One clear example of procurement’s challenges came into sharp focus during the COVID-19 pandemic. Agencies working to combat disinformation attempted to deploy AI tools to stem the spread of online falsehoods. However, by the time those solutions cleared the approvals process, disinformation was already rampant, the information landscape had shifted, and the effectiveness of the newly deployed technology was diminished.
This scenario reflects a broader reality: the federal procurement process was not designed for the speed of modern technology and communication. Instead, it was built for an earlier time and now struggles to keep pace. In an environment where innovation moves at lightning speed, the slow turn of the government procurement process leaves agencies a step behind.
We can identify several factors, contributing to the slowdown of the procurement process:
- Budget uncertainty–Short-term funding cycles and continuing resolutions prevent agencies from making long-term technology investments.
- Compliance and security reviews–Even with funding, extensive compliance checks and security reviews frequently delay projects for months—or longer.
- Technology complexity–Procurement processes built for static systems aren’t designed to handle constantly evolving technologies like AI and machine learning.
- Changing requirements–Agencies must account for shifting policies, evolving standards, and the ongoing need to ensure data quality and algorithm transparency.
- Missed opportunities–Slow procurement processes mean agencies risk losing valuable time during crises, when the need for technology solutions is most urgent.
Overcoming Procurement Obstacles
Now that we’ve identified some of the obstacles to IT modernization, how can federal agencies better navigate them? In short, they need to rethink the acquisition process. Stronger collaboration between agency IT leaders and industry experts can accelerate pilot programs and proofs of concept, giving agencies a clearer sense of what works—and what doesn’t—before committing to full-scale adoption.
One straightforward step is to leverage pre-approved cloud marketplaces and as-a-service models, which allow agencies to sidestep some of the more complex acquisition steps. Modular procurement—purchasing smaller technology components in phases—can also help agencies deploy innovative solutions faster, without waiting for an entire project to pass through every approval stage.
Workforce development is another critical piece of the faster procurement puzzle. Procurement teams, IT professionals, and program managers all need a working knowledge of emerging technologies like AI, cloud, and data science. A shared understanding of these technologies helps agencies evaluate solutions more effectively and navigate procurement with greater speed and confidence.
Ultimately, modernizing how agencies acquire technology is just as important as the technology itself. Without it, there is no implementation. While procurement reform may not generate the same headlines as high-profile cost-cutting or splashy technology rollouts, addressing these underlying roadblocks is essential for agencies struggling to meet their IT modernization goals.