March 06, 2025
The Future of AI in the Federal Government: Challenges and Opportunities
As federal government agencies integrate AI applications to improve IT systems, learn how a well thought out strategy can help you have a seamless transition.
Artificial intelligence (AI) and machine learning (ML) have the potential to transform government operations, increase efficiency and improve responsiveness across federal agencies. But, AI and ML adoption in the federal government is not without its challenges.
According to a 2023 Government Accountability Office (GAO) report, despite an investment of approximately $3.3 billion in AI spending in fiscal year 2022, the U.S. federal government had only implemented 228 AI applications in production. This disproportion between investment and usage highlights the significant hurdles that to successfully integrate AI into federal IT systems.
3 Challenges to Overcome for AI/ML Adoption in the Federal Government
1. Workforce Management
One of the greatest challenges to achieving AI readiness in the federal government is finding proficient AI talent. According to the report GAO, agencies are struggling to attract and retain skilled AI professionals due to competition with the private sector. The shortage of AI expertise limits agencies’ ability to design, implement and manage AI initiatives effectively.
Addressing this workforce gap requires investments in training existing employees and creating incentives to attract the top AI talent to public service.
2. Data Readiness
The successful implementation of AI depends on high-quality well-governed data. Unfortunately, many federal agencies have challenges with data quality and security. When AI projects are undertaken without sufficient preparation, poor data governance can lead to inaccurate results. The federal government deals with time sensitive operations and not having accurate results will reduce trust in AI-driven decision-making.
Guaranteeing data readiness requires agencies to establish robust data governance frameworks, improve interoperability across systems and implement best practices for data management.
3. Regulatory Uncertainty
The creation and evolution of AI policy and regulation presents a major and critical challenge to the adoption of AI in the federal government. Executive orders from the presidential administration may leave agencies facing shifts in regulatory frameworks that could lead to a delay or change in course on AI initiatives. Navigating these uncertainties requires agencies to remain agile and adaptable with AI strategies, ensuring compliance with emerging regulations.
The Path Forward for Federal AI Adoption
Even though there are many challenges to AI integration, the potential benefits to the federal government far outweigh its challenges. AI can create a massive change across agencies from national security to enhancing citizen services. Realizing these benefits requires that your organization build AI talent pipelines, robust data governance and regulatory frameworks that promote responsible AI use.
3 Steps to Help You Start Your AI Journey
Step 1: Define Your AI Strategy
As your federal agencies explore integrating AI, you must have a well-defined strategy. AI’s implementation must align with your agency’s mission, regulatory framework and operational goals to be successful.
To develop a strong AI strategy, consider the following key questions:
- What are the most pressing problems AI can help you solve?
Identify challenges in your agency where AI could have the most significant impact. Whether it’s improving citizen services, automating repetitive tasks, enhancing data analysis or bolstering cybersecurity.
- How can AI improve your services and operations?
Assess how AI can optimize workflows, improve service delivery and enhance mission outcomes.
- What is the balance between what AI can do and what it should do?
While AI offers many capabilities, ethical considerations must guide its implementation. Just because AI can automate a process or make data-driven decisions does not mean it should replace human judgment. Agencies must establish clear policies to ensure AI aligns with public service values, fairness, transparency and accountability.
- What budgetary and regulatory factors must be considered?
AI adoption requires careful financial planning. Evaluate the costs associated with AI tools, infrastructure, training and maintenance. Additionally, compliance with federal laws, such as data privacy regulations, security policies and ethical AI guidelines, is critical to responsible AI implementation.
Asking these questions can help ensure that your AI integration aligns with your mission objectives and the commitments to your citizens. The goal should be to implement AI tools in a way that improves operations, supports employees and improves citizen engagement — without creating risks or problems.
Step 2: Build Your AI Toolset
To effectively integrate AI into your federal agency’s operations, it is essential to establish a strong AI toolset. Start by identifying, defining and refining your data sources and pipelines to ensure the quality, reliability and accessibility of data used for AI applications. Establishing robust data governance practices will help maintain security, privacy and compliance with federal regulations.
Step 3: Prepare Your Infrastructure
After you have the groundwork done, begin preparing the infrastructure needed to integrate AI tools.
- Data management and governance: AI systems rely heavily on data; it is essential to have well-structured data management practices.
- Computing power and cloud Infrastructure: AI applications, especially machine learning models, require significant computational resources.
- Cybersecurity and AI risk management: AI comes with increased security risks and your infrastructure needs to be prepared to integrate robust security measures.
- Interoperability and integration with existing systems: AI needs to enhance, not replace, existing government systems.
- Scalability and futureproofing: AI infrastructure needs to be agile and adaptable to be prepared for the changes that willcome.
Proactively preparing your infrastructure allows your federal agency to ensure that you are not only ready to implement AI solutions but also capable of sustaining them in a secure, scalable and efficient manner.
CDW Government Can Help In AI Adoption
To successfully integrate AI and ML into federal organizations, you must adopt a strategic approach that addresses workforce shortages, data readiness and regulatory complexities. Partnering with industry leaders such as CDW Government will allow you to gain access to expertise, tools and resources that facilitate the deployment of AI solutions. Our experts can help you navigate and overcome challenges during any phase in your journey.
CDW government is here to help you find the right AI strategy for your agency.