Washington D.C. – The U.S. General Services Administration (GSA) announced on Thursday, August 7, 2025, a significant OneGov agreement with Amazon Web Services (AWS), projected to deliver up to $1 billion in savings for federal agencies through cloud adoption, modernization, and training programs. This deal, set to run until December 31, 2028, aims to streamline federal IT procurement and accelerate digital transformation across government operations.
The agreement provides federal agencies with direct incentive credits for core AWS cloud services, alongside support for modernizing existing systems and training federal employees. This initiative is a cornerstone of the GSA's broader OneGov strategy, which seeks to centralize and standardize IT purchasing to achieve greater cost efficiencies and foster direct relationships between agencies and technology providers.
"Great work by @USGSA securing another strong OneGov deal to deliver $1B in savings on AWS Cloud services," stated the Department of Government Efficiency in a tweet. The department emphasized the strategic importance of such partnerships, adding, "As the AI revolution accelerates, affordable cloud partnerships are key to sustainable government spending."
Officials highlight that the deal is crucial for implementing the administration's AI strategy and modernizing government IT systems. By leveraging AWS's cloud infrastructure, federal agencies are expected to enhance service delivery, improve operational efficiencies, and build a foundation for more secure and innovative government services, particularly in advanced technologies like artificial intelligence and machine learning.
This AWS agreement follows similar OneGov deals the GSA has initiated with other major technology vendors, including Oracle and OpenAI, underscoring a concerted effort to consolidate federal IT spending and drive innovation. The GSA aims to reduce the cost of federal IT expenditures, save taxpayer dollars, and secure America’s continued leadership in AI through these centralized procurement efforts.