Budget Cuts Won't Stop DOD IT Spending in 2012, Forecast Predicts
November 3, 2011
While major cuts are inevitable for the Defense Department, the defense-industrial base – especially companies providing IT services – can still expect a healthy level of spending in fiscal 2012, even if it's not the same level as earlier in the decade, according to an industry outlook
"We rode through most of the earlier part of the decade with unprecedented growth, especially in the IT segment. We were looking at 11 [percent] to 12 percent year-over-year growth," said Brian Haney, vice president for client services at Deltek. "For the last two years we've been relatively flat...we're seeing about two to three years of flat spending. That said, we still are seeing the spending of significant dollars in this particular space. IT is still a healthy market. "
He spoke at Deltek's FedFocus 2012 conference Nov. 3 in Falls Church, Va. Haney said the fact that money is being spent on IT in new and unique ways means there are still market opportunities.