Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

2011 Government Market Outlook

655 views

Published on

Presentation that I gave to the WTIA on the outlook for the government market in 2011

  • Be the first to comment

  • Be the first to like this

2011 Government Market Outlook

  1. 1. 2011 Government Market OutlookFebruary 1, 2011<br />Henry Chou<br />
  2. 2. Discussion Topics<br />2010 Year in Review<br />2011 State and Local Outlook<br />Information Technology Sector<br />Clean Energy Sector<br />
  3. 3. About Onvia<br />Leading provider of gBusiness solutions in US<br />Largest public sector procurement database<br />7,000 clients who sell to government, subcontract or supply<br />Actionable sales leads to custom market research<br />eProcurement Platform – 6,000 government users<br />Founder of Recovery.org<br />Primary markets<br />Architecture/Design, Engineering, Construction (Infrastructure)<br />Operations & Maintenance<br />Energy/Environmental/Water<br />Information Technology/Telecommunications<br />Medical/Healthcare<br />Vehicles/Equipment<br />Professional Services<br />
  4. 4. Trusted Information Source<br />Authority on gBusiness marketplace<br />
  5. 5. 2010 Year in Review<br />Total estimated gov’t spending of $5.5 trillion <br />Massive infusions of federal cash at state and local levels to try to stabilize economy<br />Second full year of trillion dollar stimulus efforts <br />Breakdown of non-security discretionary spending <br />
  6. 6. 2010 ARRA Spending <br />Majority of dollars still unspent<br />Investment portion of package has moved far more slowly than expected<br />Only 30% has reached the contractors and subcontractors that perform the work<br />~$120B of stimulus remains unspent<br />Expect remaining funding to go to longer-term infrastructure and energy projects<br />
  7. 7. Government spending will continue at record levels<br />Remains largest purchaser of goods and services<br />State <br />Most forecasting more money to spend in 2011 (NCSL)<br />Washington 1 of 3 states expecting revenues to increase more than 10%<br />Local<br />Struggling housing markets, slow consumer spending, and high unemployment driving declines in revenues(NLC)<br />Will be slower to recover because of lag in property tax assessments<br />2011 OutLook<br />Strengthening economy signals improved gov’t budgets<br />
  8. 8. ARRA WILL REMAIN CATALYST IN 2011 <br />Long tail of expenditures through 2016<br />2010 dollars mostly went to public sector jobs and programs<br />Focus shift from “shovel ready” to “job ready”<br />Creation of long term private sector jobs rather than temporary or public sector jobs<br />
  9. 9. 2011 Technology Investment Areas<br />Continued investment in industry<br />IT is a key driver of the next economy<br />Growing focus on healthcare IT <br />17.5% CAGR through 2014 (BCC Research)<br />State health information exchanges <br />Priority initiatives<br />Consolidation/ Optimization (Virtualization, Cloud Computing)<br />Broadband access<br />Cybersecurity<br />
  10. 10. Washington - IT/Telecom Market<br />Onvia tracked 976 opportunities in 2010<br />Expect similar level of activity in 2011<br />Significant opportunities at the state/local level <br />IT Telecommunications<br />9%<br />Year-Over-Year (YOY) Growth<br />-15%<br />+2%<br /># of Purchasing Events<br />+6%<br />-6%<br />+20%<br />2006<br />2005<br />2007<br />2008<br />2010<br />2009<br />Source: Onvia 2011<br />
  11. 11. Washington - IT/TeleCOM Market<br />2010 Sub-Market Breakdown<br />Of 3 biggest sub-categories, wireless communications is a specific area of opportunity<br />Source: Onvia 2011<br />
  12. 12. Washington – IT ARRA projects<br />Largest are around broadband access<br /><ul><li>Washington below national average for % of connections > 10 mbps
  13. 13. Broadband critical to creating economic development and jobs</li></li></ul><li>Top State/Local Agencies<br />City of Tacoma <br />City of Seattle<br />Chelan County Public Utilities District #1<br />King County <br />University of Washington <br />Pierce County<br />Port of Seattle<br />City of Spokane<br />Washington State DOT<br />Washington State University<br />Washington - IT/TeleCOMMarket<br />Top Agencies and Vendors<br />Awarded Vendors<br />Mainline Information Systems<br />Dell<br />Avaya<br />Right Star Systems<br />Siemens Enterprise Communications<br />Integrity Networks<br />Qwest<br />Advanced Media Technologies<br />IKON<br />ASB/Ricoh<br />
  14. 14. Clean Energy Market<br />Continued investments to advance clean energy in 2011<br />Clean energy was largest portion of ARRA directed towards infrastructure improvements<br />Continued deployment of smart-grid technologies from ARRA investments<br />Less capital intensive solutions will grow at faster rate – solar vs. wind<br />
  15. 15. Renewable energy<br />80% of electrical power from renewable sources by 2020<br />Goal of creating 25,000 jobs in clean energy by 2020<br />Electric vehicle infrastructure<br />Recharging stations along I-5 corridor<br />ARRA<br />$2.6B in funding for selected DOE projects<br />175 DOE projects in WA<br />Washington - Clean Energy Market<br />Onvia tracked 165 opportunities in 2010<br />
  16. 16. Washington - Clean Energy Projects<br />
  17. 17. Washington - Clean Energy<br />Top Agencies and Vendors<br />Top State/Local Agencies<br />City of Tacoma<br />Chelan County Public Utilities District #1<br />City of Seattle<br />Snohomish County Public Utility District #1<br />Washington State Department of General Admin<br />Island County Fire Protection District<br />Seattle Public Schools<br />Bellingham School District 501<br />City of Bellevue<br />Awarded Vendors<br />NAES Power contractors<br />Quantum Engineering and Development, Inc.<br />McKinstryEssention Inc.<br />Voith Hydro, Inc.<br />CMEC Arc Electric JV LLC<br />ABB<br />Siemens Industry & Energy Inc.<br />
  18. 18. Thank You<br />Henry Chou<br />AVP Product<br />Onvia, Inc.<br />509 Olive Way Suite 400<br />Seattle, WA 98109<br />hchou@onvia.com<br />www.onvia.com<br />www.recovery.org<br />

×