Beyond Cloud Migration: Shaping the Future of U.S. Federal IT, Federal Government

The U.S. federal technology landscape is entering a new era, one defined not by migration alone, but by modernization with purpose. For decades, progress meant upgrading infrastructure or shifting workloads to the cloud.

As the pace of digital demand accelerates and mission priorities grow more complex, it is clear that traditional modernization approaches can no longer keep pace.

To deliver on rapidly evolving government missions, agencies must move beyond lifting and shifting legacy systems. The true transformation lies in reimagining operating models to support continuous, secure, and scalable innovation.

Shift from modernization to transformation

Legacy IT structures, designed for predictability and control, often limit progress. Risk-averse approaches that once provided stability now constrain agility and innovation. Federal agencies leading the way are adopting future-ready, cloud-native architectures that emphasize interoperability, flexibility, and resilience. These architectures do more than modernize technology; they modernize how agencies work, collaborate, and deliver results.

Reducing technical debt has become a strategic imperative, but emerging technologies also demand a balance of governance and innovation. Federal leaders are reframing their approach to modernization as an ongoing process, a state of persistent transformation where technology, mission, and operations evolve in sync.

Measuring what matters: from cost to capability

As agencies embrace new models of delivery, success must be evaluated through a dual focus:

• Total cost of ownership (TCO): Sustaining efficiency by lowering infrastructure costs and simplifying operations
• Total cost to innovate (TCI): Accelerating value creation by enabling teams to activate, test, and scale new capabilities with minimal risk and complexity

This broader lens allows agencies to view modernization as an investment in agility, resilience, and readiness—ensuring they can respond to what’s next, not just what’s now.

Partnering for a smarter, more agile government

Driving this shift requires strategic collaboration across the public and private sectors. Programs such as the U.S. General Services Administration’s OneGov initiative are redefining how government acquires and deploys technology. By consolidating procurement and engaging directly with technology providers, OneGov helps create greater transparency, efficiency, and long-term value for taxpayers.

In alignment with this vision, SAP has partnered with GSA to provide federal agencies with expanded access to both SAP licensed-based products and white glove migration, all while avoiding data egress fees. These initiatives help agencies reduce technical debt, accelerate digital transformation, and establish a secure, cloud-native foundation for the future.

Building the innovation-ready enterprise

Modernization is not a destination, it is a capability. Agencies that continually adapt their operating models will define the next generation of public service. The path forward is clear:

• Reimagine modernization as operating model transformation, not just technology refresh
• Balance efficiency with innovation by measuring both cost savings and speed to value
• Build future-ready enterprises where mission and IT operate as one, powered by cloud, automation, and AI

Together, we are shaping a smarter, more secure, and more agile federal enterprise, one that is ready to meet the demands of a rapidly changing world and deliver enduring value to citizens.

David Robinson is president of Cloud ERP and acting managing director of U.S. Public Services at SAP.