From bureaucracy to brilliance: AI in federal IT

Artificial intelligence is poised to revolutionize how federal agencies operate, offering unprecedented opportunities to enhance citizen services, improve decision-making and bolster national security. But what will it take to truly unlock AI’s potential in the public sector?  

This year, several key trends and predictions offer a roadmap for navigating the complexities of AI adoption and maximizing its impact. Realizing this potential requires a fundamental shift in how we approach public sector IT so it keeps pace with its private sector peers. It's not enough to simply acquire the latest AI tools. We need a comprehensive strategy that addresses the entire IT lifecycle, from infrastructure to security to workforce development. Here we explore some of those elements set to define 2025.  

Increasing Federal AI fluency 

AI fluency helps unlock the full potential of generative AI. Regardless of job function, federal employees will need to understand how to leverage AI and how AI will evolve the nature of work within their organization. This starts with gaining a basic understanding of AI capabilities and then evolves into understanding the specific tasks where AI will add the most value. As AI-powered tools become integrated into everyday workflows, agencies must prioritize upskilling and reskilling initiatives to equip their workforce with the necessary knowledge and skills. This investment in human capital is crucial for maximizing the return on AI investments. As research indicates, 72% of IT leaders already recognize AI skills as a critical gap. Addressing this skills gap within the federal workforce is paramount. 

Investing in sovereign AI 

Another key prediction is the rise of "Sovereign AI," which recognizes the importance of data security and national interests in the development and deployment of AI. Federal agencies will increasingly seek AI solutions that allow them to maintain control over their data, ensuring compliance with national regulations and protection of sensitive information. This necessitates investments in private and on-premise infrastructure and data centers, providing agencies with the control and security they require. Sovereign AI is not about isolation; it's about empowering agencies to leverage AI while safeguarding national interests. Sovereign AI’s full potential lies in the strategic collaboration between governments, industries and academic institutions.  

Understanding agentic AI 

The evolution of AI agents is another transformative trend. These intelligent agents have the potential to more fully automate complex tasks, streamline workflows and enhance decision-making. Federal agencies can leverage AI agents to rethink areas like citizen services, fraud detection and resource allocation. Agentic AI will dramatically increase our dependency on technology infrastructure. This will require a much deeper and more complete understanding of the lifecycle management of IT and its proper governance. This ensures they have the necessary computing power, network capabilities, specialized hardware like NPUs and robust data storage solutions to support the evolving demands of AI workloads. Crucial keys to success? Modernizing existing systems and strategically procuring new hardware where appropriate, while implementing robust lifecycle management processes for maintenance. 

Looking across the IT ecosystem 

AI will not and should not exist in isolation. In the AI world, almost every other technology is either enabled by AI or a key enabler of AI. A governmental AI strategy’s true potential is unlocked through its intersection with other emerging technologies like quantum computing, edge computing and digital twins. Federal agencies should adopt a holistic, end-to-end approach to IT modernization, considering how these technologies will evolve, converge and interact to create a dynamic and interconnected digital ecosystem. This requires a forward-thinking strategy that anticipates future needs and ensures that federal IT remains adaptable and resilient in the face of rapid technological advancements. 

The successful integration of AI into federal agencies demands a fundamental shift in how the public sector approaches IT. It includes embracing a strategy that prioritizes modernization, workforce development and strategic infrastructure investments. By prioritizing high-impact projects and investing in infrastructure accordingly, federal agencies can harness the transformative power of AI to improve citizen services, enhance national security and drive efficiency across government. We encourage the public sector to collaborate with the private sector to unlock the full potential of AI. 

John Roese is global chief technology officer and chief AI officer at Dell Technologies. He is responsible for establishing the company’s future-looking technology strategy and accelerating AI adoption for Dell and its customers.