Integrated Systems Aid Better Efficiency and Sharing of Critical Information in E-Governance

Business Wire, Feb 1, 2005

PALO ALTO, Calif. -- The disparate legacy systems used in various federal agencies have been designed independently of each other, and this has made it extremely difficult to integrate them. The government is looking for a simple network system that enables efficient flow of information, instead of silos of data.

New analysis from Frost & Sullivan (http://www.telecom.frost.com/), U.S. E-Government Markets, reveals that the U.S. Government invested almost $3,645.8 million in 2004 on e-governance and expects to spend $5,276.9 million in 2009.

If you are interested in a virtual brochure, which provides manufacturers, end-users and other industry participants an overview of the latest analysis of the U.S. E-Government Markets, send an email to Danielle White - Corporate Communications at dwhite@frost.com with the following information: your full name, company name, title, telephone number, fax number, and email. Upon receipt of the above information, an overview will be sent to you via email.

"The complexity of government systems makes it more challenging to move from a platform-centric system to a network-centric one," says Frost & Sullivan's Industry Manager for US Government IT & Telecom Markets Paul Waadevig. "Nevertheless, the government is aiming to set up a horizontal system that incorporates all the programs and organizations of the government, including 480 business lines operating in agencies."

The U.S. Government's vision of an integrated governance system to foster greater interaction with citizens is one of the biggest market drivers for the e-governance space. With the passing of the E-governance Act of 2002 with active support from the Office of Management and Budget (OMB) and the Congress, it is apparent that e-governance is here to stay.

The E-governance Act has opened up a series of opportunities for the market. While most federal agencies have adopted e-governance, some others have lagged, but adoption is inevitable.

Although the government-authorized fund of $345 million for four years for e-government programs has not been utilized or released to agencies, revenue is expected to increase substantially in the future due to the program's popularity.

President Bush's e-government initiatives have found many takers, as is evident from the extensive use of government Web sites. Such vigorous public support can override concerns and objections from technology laggards and drive growth of e-government services.

"An interesting perception is that the public would prefer government agencies to work with the private industry in developing e-government rather than attempting to develop this system on its own," notes Waadevig.

Despite the public's enthusiasm for e-government, there is a desire to ease into the full-scale implementation of the programs instead of rushing the deployments. As most federal agencies still do not have a coherent e-government, companies that use their own resources to help them define vertical solutions with horizontal scalability will have an advantage when they submit their request for proposals.

Since the entire public is also a stakeholder in e-governance, there will inevitably be numerous conflicting agendas. Citizens, along with other stakeholders such as government agencies and employees, should work together to make more government services safely available to a larger population.

"The scale of such an operation necessitates intense cooperation between government departments, industry, government employees, and research agencies across various levels," observes Waadevig.

U.S. E-Government Markets, a part of the Frost & Sullivan US Government IT & Telecommunication Market subscription, provides an overview of and outlook for the U.S. e-government market. The study provides in-depth analysis of market dynamics, revenue forecasts, political, economic, social, technological (PEST) analysis, and strategic recommendations that vendors use to succeed in the e-government arena. This study enables companies to align their positioning strategies to benefit from the changing markets and obtain maximum return on investment. Interviews and executive summaries are available to the press.

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. Its advisory expertise integrates growth consulting, growth partnership services and corporate management training to identify and develop opportunities for clients. While serving clientele ranging from virtually every Global 1000 to emerging companies, Frost & Sullivan's comprehensive industry coverage includes a global perspective of all vertical and horizontal industries. Its unique coverage combines ongoing analysis of markets, technologies, econometrics, and demographics. For more information, visit http://www.frost.com.

U.S. E-Government Markets

6968

Keywords in this release: e-government, U.S., silos, integrated governance system, E-governance Act, Office of Management and Budget, OMB, research, information, market, trends, technology, service, forecast