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RedLeif’s PubSec Newsletter
Introduction
Welcome to this edition of Ever to Conquer, where we spotlight the transformative initiatives reshaping America’s public sector technology landscape. As we wrap up August 2025, federal and SLED agencies are accelerating AI integration, fortifying cybersecurity measures, and modernizing procurement amid new regulatory updates and technological breakthroughs. This edition highlights critical developments from the past week, including key announcements on AI action plans, CMMC implementation, and cloud security advancements, delivering urgent, high-impact stories to drive collaboration and action.
This edition highlights:
- AI & Government Innovation: Trump’s AI Action Plan and federal AI procurement updates lead the charge.
- Cybersecurity: CMMC final rule and new EO on software security demand immediate compliance focus.
- Procurement & Partnerships: GSA’s USAi expansion and AWS incentives reshape acquisition strategies.
- Data Privacy & Protection: Rising breach costs and state AI laws tighten regulatory landscapes.
- Government IT Modernization: FedRAMP milestones and secure cloud playbooks guide transformation.
- Public Policy: AI policy deadlines and cybersecurity funding shape federal priorities.
AI and Government Innovation
Trump’s AI Action Plan Sets Deregulatory Path for Federal Innovation
The White House’s "Winning the Race: America’s AI Action Plan," released July 23, 2025, outlines over 90 actions to boost U.S. AI leadership through deregulation, infrastructure investment, and global diplomacy. The plan prioritizes secure, ideologically neutral AI development for public sector applications.
- Why It Matters: This plan reorients federal AI strategy toward rapid innovation while addressing security and ethical concerns, impacting agency procurement and deployment.
- Actionable Insights:
- For Buyers: Align AI initiatives with the plan’s deregulation focus, prioritizing secure U.S.-based vendors.
- For Sellers: Adapt offerings to emphasize compliance with new export controls and ideological neutrality.
- Source: Holland & Knight Insights, Aug 2025
GSA launched an updated USAi.gov on August 14, 2025, offering no-cost generative AI testing suites with new analytics dashboards for federal agencies. The platform supports secure experimentation with chat interfaces and code generation.
- Why It Matters: USAi democratizes AI access, enabling agencies to test and adopt tools faster while reducing duplication in IT spending.
- Actionable Insights:
- For Buyers: Use USAi for AI pilots, leveraging dashboards to inform procurement decisions.
- For Sellers: Submit tools to USAi, highlighting integration and performance metrics for federal adoption.
- Source: GSA News Release, Aug 2025
Agencies Face October Deadline for AI Procurement Policies
OMB requires agencies to update AI procurement policies by October 20, 2025, including standardized data rights and risk management for high-impact AI. GSA will provide shared templates via an online portal.
- Why It Matters: These deadlines standardize AI acquisition, balancing innovation with risk mitigation across government.
- Actionable Insights:
- For Buyers: Form teams to review AI contracts, focusing on IP protection and vendor lock-in avoidance.
- For Sellers: Prepare compliant AI solutions with clear data rights to meet updated federal requirements.
- Source: Federal News Network, Aug 2025
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Cybersecurity
CMMC Final Rule Published with Phased Implementation
The DoD published the CMMC final rule on August 15, 2025, mandating cybersecurity assessments for contractors, with phased implementation starting October 2025. Level 1 self-assessments begin immediately, while Levels 2 and 3 require third-party certification.
- Why It Matters: CMMC strengthens supply chain security, impacting thousands of contractors handling sensitive defense data.
- Actionable Insights:
- For Buyers: Require CMMC compliance in RFPs, prioritizing certified vendors for sensitive projects.
- For Sellers: Achieve CMMC certification early to maintain eligibility for DoD contracts.
- Source: DoD CMMC Announcement, Aug 2025
New EO Enhances Federal Software Security
Trump’s June 2025 EO updates the Secure Software Development Framework, mandating Cyber Trust Mark for IoT and post-quantum cryptography lists by August 2025. It also requires reporting AI system compromises.
- Why It Matters: The EO bolsters defenses against foreign threats, critical for public sector software supply chain integrity.
- Actionable Insights:
- For Buyers: Incorporate SSDF and PQC in cybersecurity procurements to future-proof systems.
- For Sellers: Update products to meet Cyber Trust Mark and SSDF for competitive edge.
- Source: TD SYNNEX Public Sector Blog, Aug 2025
Schools Face Cybersecurity Law Sunset Uncertainty
Ransomware attacks on education rose 23% in 2025, with schools urging renewal of cybersecurity info-sharing laws set to expire. This could weaken collaborative defenses.
- Why It Matters: Expiring laws threaten educational data security and operational continuity.
- Actionable Insights:
- For Buyers: Advocate for renewal while enhancing local threat-sharing.
- For Sellers: Offer ransomware protection tailored to K-12 with easy integration.
- Source: GovTech, Aug 2025
Procurement and Partnerships
AWS OneGov Deal Offers $1B in Federal Incentives
GSA’s new OneGov agreement with AWS provides up to $1 billion in incentives for federal cloud adoption.
- Why It Matters: The deal accelerates cloud migration, reducing costs for agencies.
- Actionable Insights:
- For Buyers: Leverage incentives for cloud projects aligned with modernization goals.
- For Sellers: Partner with GSA for similar cloud incentive programs.
- Source: Coalition for Government Procurement, Aug 2025
Commerce-State Partnership on AI Exports
Commerce and State Departments partnered with industry for secure AI export packages, harmonizing controls for U.S. leadership with a focus on full-stack solutions.
- Why It Matters: This strengthens global AI competitiveness while securing technology transfers.
- Actionable Insights:
- For Buyers: Explore export packages for international collaborations.
- For Sellers: Develop export-ready AI for government markets.
- Source: Federal News Network, Aug 2025
Data Privacy & Protection
Public Sector Breach Costs Average $2.86 Million
IBM’s report shows public sector data breaches cost $2.86 million on average in 2025, driven by attacks and fines highlighting preventative needs.
- Why It Matters: Escalating costs strain budgets and erode trust.
- Actionable Insights:
- For Buyers: Invest in breach prevention to mitigate impacts.
- For Sellers: Emphasize cost-saving privacy solutions.
- Source: Eversheds-Sutherland Insights, Aug 2025
Midyear Regulations Signal Deregulatory Shifts
Midyear updates reconfigure privacy and cybersecurity rules, with increased enforcement in breaches and AI and focus on national security.
- Why It Matters: Shifts affect compliance, balancing innovation with protection.
- Actionable Insights:
- For Buyers: Update programs for new trends.
- For Sellers: Develop secure solutions for deregulated environments.
- Source: Eversheds-Sutherland Insights, Aug 2025
California Enforces Data Broker Registration
CPPA fined a data broker for non-registration, emphasizing compliance with privacy rules. This sets multi-state precedents.
- Why It Matters: Enforcement protects data and impacts operations.
- Actionable Insights:
- For Buyers: Ensure vendor compliance in procurements.
- For Sellers: Implement tracking to avoid fines.
- Source: CPPA Announcements, Aug 2025
Government IT Modernization
GSA Doubles FedRAMP Authorizations in 2025
GSA completed 114 FedRAMP authorizations in FY 2025, doubling last year’s total supporting secure cloud adoption.
- Why It Matters: Enables faster cloud deployments.
- Actionable Insights:
- For Buyers: Use FedRAMP options for modernization.
- For Sellers: Pursue certification for demand.
- Source: GSA News Release, Aug 2025
E-Government Act Guides IT Evolution
The Act drives cybersecurity and legacy modernization under new priorities.
- Why It Matters: Ensures sustained progress.
- Actionable Insights:
- For Buyers: Align with principles for CX.
- For Sellers: Design for Act-guided transformations.
- Source: Federal News Network, Aug 2025
Federal CIO Emphasizes Outcome-Driven Modernization
CIO Greg Barbaccia calls for transformation beyond digitization, focusing on AI-cloud integration.
- Why It Matters: Shifts IT toward impactful innovation.
- Actionable Insights:
- For Buyers: Develop roadmaps for synergies.
- For Sellers: Offer comprehensive services.
- Source: FedScoop, Aug 2025
Closing
The public sector technology landscape is advancing at breakneck speed, driven by AI, cybersecurity, and modernization breakthroughs. From Trump’s AI Action Plan to CMMC’s final rule, public-private partnerships are delivering transformative results.
As we tackle policy deadlines, breach costs, and cloud transformations, collaboration is the key to success. The stories in this edition highlight urgent challenges and innovative solutions for federal and SLED leaders.
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