The FY17 President’s Budget Request of $19 billion could mark an inflection point in the market.
Arlington, Virginia (PRWEB) June 27, 2016
The Soter Group, LLC released a report that analyzes unclassified cyber security spending across the Federal government. “Government cyber security spending has oscillated over the last several years but appears to have reached a new steady state in the last couple of years,” Soter Group Director of Market Research, Peter Wong explained. “Just as we are settling into a new ‘normal,’ with a renewed sense of urgency and understanding of the cyber security problem, there appears to be a large increase in funding planned for next year. It remains to be seen whether this cyber security momentum will continue and if we stay on this trajectory given perennial political discord and the upcoming change in Administration.”
The report makes the following major observations:
- Fiscal year (FY) 2015 unclassified Federal cyber security spending increased 3% to $13.1 billion – Reported government spending grew modestly from $12.7 billion in FY14 to $13.1 billion in FY15. FY15 also marked the first fiscal year in which aggregate spending across Federal civilian departments and agencies surpassed $4 billion.
- The FY17 President’s Budget Request of $19 billion could mark an inflection point in the market – The latest budget includes nearly $5 billion in additional annual funding for cyber security programs and activities. However, political hurdles could prevent this requested funding increase from being realized. Transition in the Administration also introduces uncertainty regarding how this may be implemented in the coming fiscal year.
- Reported spending shows continued growth in investment in major, on-going government initiatives – The Prevent Malicious Cyber Activity category of spending increased 22% to $4.6 billion in FY15. This category of spending supports initiatives such as the Continuous Diagnostics and Mitigation (CDM) program and large network sensor programs.
“While the money for cyber security is increasing, so is the competition going after it. Companies wanting to take advantage of this market opportunity really need to do their homework and have a prioritized strategy and plan for capturing Federal business,” Soter Group President and CEO, Justin Taft, added.
Access the full report here:
2015 Unclassified Federal Government Cyber Security Spending
Follow The Soter Group on LinkedIn to access other and future reports on the following topics:
- Border Security
- Federal Homeland Security Mission Spending
- Department of Homeland Security Contracting and Procurement
- Federal IT and Health IT
- Federal Cloud Computing
- Intelligence, Surveillance, and Reconnaissance (ISR)
About The Soter Group
The Soter Group provides services to both the Federal government and the commercial entities that support it. Our Commercial Services Division provides market research and assessments, competitive assessments, and strategic advisory services to commercial clients seeking to enter or grow in the Federal government security market. To learn more, please visit http://www.TheSoterGroup.com.