Half of all government computers purchased through GSA

Over half of the computers purchased by the federal government - $23.8 billion expected for fiscal 2003 - are procured through the General Services Administration, according to a report released Aug. 26 by market research firm Input Inc., Reston, Va.

GSA IT sales have doubled since 1999, according to Input (Click for link to report summary, registration required).

"Procuring computer systems through the GSA IT Schedule is increasingly becoming the norm for agencies due to the speed and ease of this acquisition vehicle," said Lauren Jones Shu, a senior analyst at Input.

The report also predicted that government spending for computers systems would increase at a compounded annual rate of 8 percent per year, $13.8 billion in fiscal 2003 to more than $20 billion in 2008. Part of the increase comes from a jump in the number of federal workers, including those starting work at the Homeland Security Agency. Shu said this gain may be short-lived, however, as more of the workforce retires.

As a result of this shift in spending, Input advises vendors to work closely with contractors and service providers.

The report identified Dell Inc., Round Rock, Texas, as having the largest percentage of government computer sales with 17 percent, followed by Northrop Grumman Corp., (8 percent), GTSI Corp. (6 percent) and IBM Corp. (5 percent).