DoD Modernization in 2026

Aging infrastructure, outdated hardware and overall modernization needs have been a mission-critical challenge for the DoD. It’s not just about IT headaches; there are real obstacles to modernization for the Department. Let’s look at what’s driving the urgency to update in multiple ways and how IT companies can position themselves to help modernize the nation’s defense backbone.

The FY26 NDAA’s IT Call-Outs

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The National Defense Authorization Act (NDAA) is passed annually to define the Department of Defense’s priorities and guide how funds are allocated. While it doesn’t directly appropriate money, it shapes the direction of defense spending and sets the framework for future contracts. This makes it a key indicator of where IT investments and opportunities will emerge.

Key Cyber Law Expires Amid Shutdown: Implications of the CISA 2015 Lapse

As the U.S. marks Cybersecurity Awareness Month, a critical pillar of the nation’s digital defense has expired. On September 30th, Congress failed to pass a continuing resolution, furloughing many federal cybersecurity staff and allowing the Cybersecurity Information Sharing Act (CISA) of 2015 to lapse as cyber threats are reaching unprecedented levels. The Cybersecurity and Infrastructure Security Agency, which spearheaded much of the law’s implementation, has also furloughed nearly two-thirds of its workforce.

A Continuing Resolution Is (Probably) on the Horizon

At this point, anyone keenly watching the budget process every year can tell you the likelihood of a continuing resolution (CR) being passed as opposed to a new budget by Oct 1st is all but guaranteed. CRs act as a temporary stopgap designed to avoid a government shutdown. However, it also locks funding to the previous fiscal year’s level and prevents new projects from getting started. Projects then remain under operations and maintenance until a new budget, with new requirements, is passed.

The DoD’s Matchmaking Platform for IT Companies

The Department of Defense (DoD) Defense Innovation Unit (DIU) recently introduced the Digital OnRamp Platform, designed to connect private sector organizations with DoD opportunities. It’s scheduled for release in the fall of 2025, and leverages advanced AI and large language model (LLM) technologies to simplify and enhance the process of matching private sector capabilities with defense needs

Federal IT Procurement Centralization: GSA’s Role

The White House recently introduced a major change in how the federal government plans to procure goods and services in its ongoing effort to eliminate waste, fraud and abuse. In an Executive Order published on March 20, 2025, it calls for all federal procurement to consolidate under General Services Administration (GSA) management. This essentially centralizes all federal agencies’ purchasing of technology products and services to one agency.