- The United States government agencies must buy it centrally under a new order
- 6,000 contracts have already been terminated or cheaper facts
- The goal is to reduce waste and save taxpayers dollars
The president of the United States, Donald Trump, has signed an executive order to centralize the Federal acquisition of IT under the administration of General Services (GSA), a 76 -year agency that supervises purchases.
The measure means that the Office of Management and Budget (WBO) must approve acquisition contracts of the entire government through the GSA.
The order, signed on March 20, 2025, is called “eliminate waste and save taxpayers dollars to consolidate the acquisition.”
United States government to centralize IT expense
The White House explained that the United States government spends “approximately $ 490 billion per year on federal contracts for common goods and services” and requested the most efficient and effective purchase of these goods and services with the US taxpayer dollar.
In addition to being smarter with the money he spends, the Trump administration also hopes that the measure will help eliminate waste and duplication.
In the two months prior to the signing of the executive order, the United States government had already ended or economized more than 6,000 contracts.
The data sheet published separately continues to explain that the agencies have independently bought licenses for productivity software such as Microsoft 365, which leads to price inconsistencies and other challenges.
By bringing all this under the watchful eye of the General Services administration, Trump expects to save $ 100 million per year.
A savings of $ 150 million were also observed in fiscal year 24 with respect to the centralization of identity protection services to prevent and respond to data violations.
Passing at the hardware, approximately $ 1 billion annually, buying computers for staff, but only $ 6 billion have passed through the GSA in a complete decade, highlighting the potential savings scale. NASA, NIH, Army and GSA have each of the agreements for the purchase of configuration volume with the GSA, but other agencies have not done so.
In all, the Government Efficiency Department (Doge) has identified “more than $ 100 billion in estimated savings” in several identification areas, including regulatory software, software and savings.