Federal contractor profile
Microsoft: Federal Contracts, Agencies & Awards
Data through 2026-08-22 · FY2026 to date
- Obligations, FY2026 to date
- $412M
- Contract awards
- 158
- Average award size
- $2.6M
- vs. prior full fiscal year
- 22.4% decline
| Item | Obligations |
|---|---|
| FY21 | $422M |
| FY22 | $470M |
| FY23 | $497M |
| FY24 | $518M |
| FY25 | $531M |
| FY26 | $412M |
Obligations fell 22.4% year over year, from $531M in FY2025 to $412M in FY2026 to date.
Microsoft has $412M in contract obligations in FY2026 to date. Microsoft won 158 awards so far this fiscal year, with an average award size of $2.6M, and obligations are down 22.4% year over year. The Department of Defense obligated $333M, making the Department of Defense the largest buyer of Microsoft in FY2026 to date. Computer Systems Design Services is Microsoft’s largest market with $235M in obligations, followed by Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services with $157M. Smaller markets include Other Computer Related Services at $16.3M and Custom Computer Programming Services at $2.7M. Historical obligations show a peak of $531M in FY25 and a decline to $412M in FY26. The data reflect partial current-year totals, so FY2026 figures are fiscal year to date rather than full-year totals. This snapshot highlights concentration in defense buying and in systems and infrastructure services, and it shows a measurable year-over-year contraction in obligations for Microsoft so far in the fiscal year.
Why did obligations fall year over year?
Microsoft obligated $412M in FY2026 to date, and obligations are down 22.4% year over year. The Department of Defense remains the largest buyer with $333M, but overall federal obligations to Microsoft are lower than the prior fiscal year total of $531M in FY25. The decline coincides with a shift toward concentrated spending in a few markets such as Computer Systems Design Services and Computing Infrastructure Providers, which together account for the bulk of FY2026 obligations.
| Item | Obligations |
|---|---|
| Department of Defense | $333M |
| Department of Agriculture | $36.9M |
| Department of State | $15.8M |
| Social Security Administration | $12.3M |
| Department of Justice | $8.1M |
| Department of Transportation | $4.2M |
| Smithsonian Institution | $1.7M |
| District of Columbia Courts | $430K |
Department of Defense is Microsoft's largest federal customer, with $333M obligated (80.8% of the company's federal obligations).
Who are Microsoft’s largest federal buyers and markets?
The Department of Defense is Microsoft’s largest buyer in FY2026 to date with $333M in obligations. The Department of Agriculture is the second-largest buyer with $36.9M, followed by the Department of State with $15.8M and the Social Security Administration with $12.3M. Computer Systems Design Services is the top market at $235M, followed by Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services at $157M.
| Item | Obligations |
|---|---|
| Computer Systems Design Services | $235M |
| Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services | $157M |
| Other Computer Related Services | $16.3M |
| Custom Computer Programming Services | $2.7M |
| Computer and Computer Peripheral Equipment and Software Merchant Wholesalers | $430K |
| Software Publishers | $115K |
| Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology) | $500 |
| Computer Facilities Management Services | $0 |
Computer Systems Design Services is Microsoft's largest federal market, with $235M in obligations.
| Rank | Award | Award Amount | Awarding Agency | Ends |
|---|---|---|---|---|
| 1 | HC102822F0982 | $220M | Department of Defense | 2026-03-29 |
| 2 | HC102821F1170 | $173M | Department of Defense | 2026-03-31 |
| 3 | HC102824F0586 | $139M | Department of Defense | 2027-05-31 |
| 4 | HC102822F1335 | $87.1M | Department of Defense | 2027-03-31 |
| 5 | 12314424F0350 | $86.8M | Department of Agriculture | 2029-07-16 |
| 6 | W519TC25FA005 | $75.5M | Department of Defense | 2026-12-19 |
| 7 | HC105023F0004 | $55M | Department of Defense | 2026-12-07 |
| 8 | HC102824F0578 | $42.5M | Department of Defense | 2026-06-27 |
| 9 | HC102826F0235 | $36.3M | Department of Defense | 2027-03-29 |
| 10 | HC102822F0016 | $33.6M | Department of Defense | 2026-10-31 |
| 11 | HC102823F0009 | $32.7M | Department of Defense | 2026-10-31 |
| 12 | HC102823F0258 | $30.3M | Department of Defense | 2026-12-19 |
| 13 | HC102823F0648 | $27.8M | Department of Defense | 2026-06-14 |
| 14 | HC102817F0421 | $23.1M | Department of Defense | 2022-06-25 |
| 15 | HC102824F0515 | $22M | Department of Defense | 2027-04-30 |
| 16 | HC102823F1292 | $21.9M | Department of Defense | 2026-09-26 |
| 17 | HC102825F0022 | $21.1M | Department of Defense | 2026-11-30 |
| 18 | FA872626FB007 | $18.2M | Department of Defense | 2026-12-07 |
| 19 | HC105024F0018 | $17.3M | Department of Defense | 2026-05-31 |
| 20 | SP470126F0054 | $17M | Department of Defense | 2027-01-22 |
| 21 | HC102824F1250 | $13.1M | Department of Defense | 2026-09-30 |
| 22 | HC105023F0018 | $12.9M | Department of Defense | 2026-08-13 |
| 23 | HC102823F1289 | $12.6M | Department of Defense | 2026-09-23 |
| 24 | HC102823F1148 | $11.5M | Department of Defense | 2026-08-28 |
| 25 | HC102823F0559 | $11.4M | Department of Defense | 2026-08-14 |
| Award | Awarding Agency | Award Value | Ends |
|---|---|---|---|
| HC102824F0586 | Department of Defense | $139M | 2027-05-31 |
| HC102822F1335 | Department of Defense | $87.1M | 2027-03-31 |
| W519TC25FA005 | Department of Defense | $75.5M | 2026-12-19 |
| HC105023F0004 | Department of Defense | $55M | 2026-12-07 |
| HC102826F0235 | Department of Defense | $36.3M | 2027-03-29 |
| 70T03021C7667N002 | Department of Homeland Security | $34.5M | 2026-09-29 |
| HC102822F0016 | Department of Defense | $33.6M | 2026-10-31 |
| HC102823F0009 | Department of Defense | $32.7M | 2026-10-31 |
| HC102823F0258 | Department of Defense | $30.3M | 2026-12-19 |
| HC102822F1363 | Department of Defense | $28.9M | 2026-09-28 |
| Detail | Registration |
|---|---|
| Unique Entity ID (UEI) | FMVPEWNJGLM1 |
| Headquarters | Redmond, WA |
| Business types | Category business; Corporate entity not tax exempt; Manufacturer of goods; Other than small business; Special designations; Us owned business |
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Frequently asked questions
How much does Microsoft make from federal contracts?
Microsoft has $412M in contract obligations in FY2026 to date. Microsoft has 158 awards this fiscal year with an average award size of $2.6M, and obligations are down 22.4% year over year.
Which agencies buy from Microsoft?
The Department of Defense buys the most from Microsoft, obligating $333M in FY2026 to date. Other notable buyers include the Department of Agriculture with $36.9M, the Department of State with $15.8M, and the Social Security Administration with $12.3M.
What does Microsoft sell to the government?
Microsoft sells services and products in several markets to the government. Microsoft’s largest markets in FY2026 to date are Computer Systems Design Services with $235M and Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services with $157M, plus Other Computer Related Services at $16.3M and Custom Computer Programming Services at $2.7M.
Which Microsoft contracts are expiring soon?
The provided data list expiring-contract values only in the largest-awards and expiring-contracts tables as total contract values, but no specific expiring-contract entries were included in the figures. The summary shows current-year totals are fiscal year to date, and no expiring-contract dollar amounts are listed in the supplied figures.
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