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Federal Agencies Doubled AI Use, Lack Systematic Lessons Learned

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Summary

GAO found federal agencies more than doubled their AI use from 2023 to 2024, employing various acquisition approaches including agency-directed and vendor-driven methods. The report examined four agencies (GSA, DOD, DHS, VA) and found they were not systematically collecting lessons learned from AI acquisitions, despite OMB guidance directing agencies to share such knowledge through a GSA web repository.

What changed

GAO published a report examining federal agencies' AI acquisition practices from 2023-2025, finding that agencies doubled AI usage while facing challenges including difficulty accessing technical experts and understanding AI-related costs. The report identifies strategic and programmatic challenges in AI procurement across agency-directed vs. vendor-driven approaches, contracts vs. other agreements, and AI as service vs. product distinctions.

Agencies seeking to acquire AI capabilities should note that OMB guidance issued in April 2025 directs agencies to update AI policies and share knowledge through GSA's web-based repository. Four agencies (GSA, DOD, DHS, VA) reported they were not prepared to comply with knowledge-sharing requirements because agency policies did not require them to collect lessons learned. This creates risks of duplicating mistakes or missing best practices in contract terms related to data rights or testing requirements.

What to do next

  1. Monitor for updates on OMB AI acquisition guidance compliance requirements
  2. Review internal agency policies on AI acquisition documentation practices

Archived snapshot

Apr 13, 2026

GovPing captured this document from the original source. If the source has since changed or been removed, this is the text as it existed at that time.

GAO-26-107859 Published: Apr 13, 2026. Publicly Released: Apr 13, 2026.

Fast Facts

Federal agencies use AI for facial recognition at airports, analyzing veterans' benefit claims, and more. They often work with private sector companies to acquire and support AI.

We talked with many agency officials about challenges acquiring AI. For example, some said there was difficulty accessing AI technical experts, like data scientists, to evaluate contractor proposals. Officials also said it was hard to understand AI-related costs.

But the agencies we spoke with didn't regularly collect and share lessons learned from acquiring AI. Doing so could help them better prepare for using AI in the future.

Our recommendations address this issue.

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Highlights

What GAO Found

Federal agencies reportedly more than doubled their use of artificial intelligence (AI) from 2023 to 2024, and they used a range of approaches to acquire additional AI capabilities through fiscal year 2025. GAO identified trade-offs facing agencies as they acquire AI, and some associated challenges and benefits. For example:

  • Agency-directed vs. vendor-driven approaches. Some agencies awarded new contracts in pursuit of AI solutions. In other instances, industry introduced capabilities to agencies in the absence of specific AI requirements.
  • Contracts vs. other agreements. Agencies used different types of contracts to acquire AI capabilities. In some instances, agencies also leveraged other agreements not governed by federal acquisition regulations to develop more advanced AI capabilities.
  • AI as a service vs. a product. Some agencies bought AI as a product, such as software. However, agency officials told GAO they acquire AI as a service where the vendor provides AI capabilities and outputs on an ongoing basis. GAO identified several strategic and programmatic challenges agencies faced when acquiring AI capabilities.

Key Procurement Challenge Areas Identified by Selected Agencies

In April 2025, the Office of Management and Budget (OMB) issued guidance to help agencies acquire AI responsibly. OMB directed agencies to update their AI policies to comply with OMB’s requirements. GAO previously reported that agency-level implementation is critical to achieving acquisition goals directed by OMB (GAO-25-107398).

In this review, GAO found the selected agencies were not yet systematically collecting lessons learned from AI acquisitions—a necessary first step to share knowledge about AI acquisitions in accordance with OMB guidance. OMB has stated that agencies should share knowledge about AI acquisitions through a web-based repository developed by the General Services Administration (GSA). However, officials at four agencies—GSA and the Departments of Defense (DOD), Homeland Security (DHS), and Veterans Affairs (VA)—told GAO they were not prepared to do so because their agency policies did not require them to collect lessons learned. As a result, the agencies are missing opportunities to identify and apply best practices—such as contract terms related to data rights or testing requirements—or to avoid mistakes as agencies increasingly acquire AI.

Why GAO Did This Study

Industry leads AI development, reportedly investing over $250 billion in 2024 alone. Federal agencies are finding many opportunities to use AI to execute their missions. They already use AI for veteran services, enhancements to weapon systems, and administrative tasks. To realize the benefits of AI, federal agencies often contract with companies to acquire solutions. Members of Congress and others have raised concerns about federal AI acquisitions. These concerns include long-standing acquisition issues, such as fostering competition, as well as issues specific to AI, such as training AI models on flawed data.

GAO was asked to review federal AI acquisitions. This report addresses (1) acquisition approaches agencies are using to adopt AI, (2) types of challenges agencies face when acquiring AI capabilities, and (3) the extent to which selected agencies are prepared to share knowledge related to acquiring AI solutions.

GAO conducted in-depth reviews of 13 AI acquisitions at four federal agencies—DOD, DHS, GSA, and VA. GAO selected these agencies based on maturity of AI acquisition efforts and approaches to acquiring AI capabilities, among other factors. GAO reviewed the agencies’ relevant policies, and interviewed senior AI acquisition leaders at the selected agencies. GAO also analyzed OMB guidance.

Recommendations

GAO is making a total of four recommendations. Specifically, GAO is recommending that DOD, DHS, GSA, and VA update their policies to require officials to systematically collect lessons learned from AI acquisitions to enable sharing and application by other agencies. The agencies concurred with all of the recommendations.

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Defense The Secretary of Defense should ensure that the Under Secretary of Defense for Acquisition and Sustainment updates the department's policies to establish processes and require officials to systematically collect lessons learned from AI acquisitions—including best practices involving contract clauses—and submit them to the GSA-managed repository to enable sharing and application by other agencies. (Recommendation 1) Open When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
Department of Homeland Security The Secretary of Homeland Security should ensure that the Under Secretary for Management updates the department's policies to establish processes and require officials to systematically collect lessons learned from AI acquisitions—including best practices involving contract clauses—and submit them to the GSA-managed repository to enable sharing and application by other agencies. (Recommendation 2) Open When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
General Services Administration The Administrator of the General Services Administration should ensure that the Chief Acquisition Officer updates the agency's policies to establish processes and require officials to systematically collect lessons learned from AI acquisitions—including best practices involving contract clauses—and submit them to the GSA-managed repository to enable sharing and application by other agencies. (Recommendation 3) Open When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.
Department of Veterans Affairs The Secretary of Veterans Affairs should ensure that the Principal Executive Director of the Office of Acquisition, Logistics, and Construction updates the department's policies to establish processes and require officials to systematically collect lessons learned from AI acquisitions—including best practices involving contract clauses—and submit them to the GSA-managed repository to enable sharing and application by other agencies. (Recommendation 4) Open When we confirm what actions the agency has taken in response to this recommendation, we will provide updated information.

Full Report

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Highlights Page (1 page)

Full Report (49 pages)

GAO Contacts

William Russell Director Contracting and National Security Acquisitions russellw@gao.gov

Candice N. Wright Director Science, Technology Assessment, and Analytics wrightc@gao.gov

Media Inquiries

Sarah Kaczmarek Managing Director Office of Public Affairs media@gao.gov

Public Inquiries

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Topics

Science and Technology Artificial intelligence Federal acquisition regulations Lessons learned Contract terms Federal agencies Contractor performance License agreements Government procurement Software Homeland security

Named provisions

Agency-directed vs. vendor-driven approaches Contracts vs. other agreements AI as a service vs. a product Key Procurement Challenge Areas

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Last updated

Classification

Agency
GAO
Published
April 13th, 2026
Instrument
Notice
Legal weight
Non-binding
Stage
Final
Change scope
Minor
Document ID
GAO-26-107859

Who this affects

Applies to
Government agencies Technology companies
Industry sector
9211 Government & Public Administration
Activity scope
AI technology acquisition AI procurement practices Knowledge management
Geographic scope
United States US

Taxonomy

Primary area
Artificial Intelligence
Operational domain
Procurement
Topics
Government Contracting Data Privacy

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