GSA IT CATEGORY FACILITATED OVER $30B IN FY’20 SPENDING

Even before the award of much-anticipated new IT contracts, such as ASTRO and StARS’s III, GSA’s IT Category was responsible for over $30 billion in IT spending last fiscal year.  That’s a 15% jump from the previous year.  Contractors need to understand the increased role GSA plays in IT acquisition, not just in terms of Multiple Award Schedule use, but what it means for how they approach the federal IT market overall.  Part of the growth is due to so many GSA IT contract vehicles being certified as “best in class” (BIC).  While use of BIC vehicles generally remains steady at 7% of government spending, the total dollars going through such vehicles rose as overall contract spending increased.  Companies are also starting to report that potential customers are looking for the BIC label when they consider a buy, potentially making such contracts an important part of a firm’s overall portfolio.  Another reason is that GSA has a wide variety of IT and IT-related contracts, including the EIS telecommunications vehicle which is starting to see more and more business as agencies face OMB pressure to modernize those solutions.  GSA’s federal IT market share is only expected to grow, not only with ASTRO and StAR’s, but with the new Polaris vehicle, expected to come on-line in early 2022, as well.  Partnering with the agency and with other contractors should be a key part of an IT contractor’s federal business.  StAR’s and Polaris, for example, are both small business set-asides, meaning that larger firms must seek out partners that will prime such vehicles in order to have viable channels that customers want when it comes to making IT procurements.  How GSA “does” IT is changing.  Contractors need to be aware of this and ensure they keep pace