Looking to win government IT contracts in 2026? This comprehensive guide covers everything you need to know about the Australian federal procurement landscape.
The IT Services Market in 2026
The federal government IT services market is valued at approximately $9.8 billion annually, making it one of the largest opportunities for technology providers in Australia.
Key Buyers
The top IT-spending agencies in FY26:
- Department of Defence - $2.1B
- Services Australia - $1.4B
- Australian Taxation Office - $890M
- Department of Home Affairs - $720M
- Department of Health - $540M
How to Get Started
1. Register on AusTender
All federal opportunities are published on AusTender. Registration is free and essential.
2. Understand Panel Arrangements
Many IT contracts are awarded through standing panels:
- Digital Transformation Agency panels
- Whole of Government arrangements
- Agency-specific panels
3. Build Your Track Record
Start with smaller contracts to build credibility:
- Subcontracting to larger primes
- State/local government contracts
- Corporate sector experience
Winning Strategies for 2026
Focus on Emerging Areas
- AI and Machine Learning - Growing 45% YoY
- Cybersecurity - Critical priority post-2025 incidents
- Cloud Native - Default for new systems
Demonstrate Value
Government buyers increasingly focus on:
- Proven delivery capability
- Australian workforce
- Security clearances
- Indigenous procurement targets
Resources
- TenderTracker Supplier Profiles - See who is winning
- Agency Analysis - Understand buyer behaviour
- Contract Search - Find relevant opportunities
Updated January 2026. Data from TenderTracker analysis.