Deathwatch
The Costs of Non-Compliance vs Compliance
"Cyber defense should not be reduced to a costly checklist that delays preparedness, action, and response. We will streamline cyber regulations to reduce compliance burdens."
— Cyber Strategy for America · March 2026
The Cost of Non-Compliance
Federal IT security incidents
per day
0
Last incident: calculating...
Based on 32,211 reported incidents in FY2023 — approximately 88 per day or 1 incident every 16 minutes. Non-compliant, unmodernized legacy systems are the primary target of attacks.
SOURCE: FY2023 FISMA Report to Congress · OMB/CISA · June 2024
Federal IT: Total Time on
GAO High Risk List
11
GAO designated federal IT acquisitions and management as High Risk on February 11, 2015 — and has renewed that designation every year since. One of the most urgent, unsolved problems in the federal government.
SOURCE: GAO-15-290 · Published February 11, 2015 · GAO-25-106908
GAO cybersecurity recommendations
unimplemented since 2010
567
Of 1,610 total made since 2010 — 567 documented gaps remain open. Not estimates. Each one a known, named, unresolved vulnerability in federal systems.
SOURCE: GAO-24-107231 · As of May 2024
Federal cloud revenue available
to compliant vendors — since page load
$0
$19.6B projected federal cloud spend in FY2026 = $621 per second flowing only to authorized vendors. Every second without an ATO is revenue left behind.
SOURCE: Deltek GovWin IQ · Federal Cloud Market 2026–2028
The Volume of Work
Total Federal IT Investments
7,000+
Total federal IT investments tracked across agencies on the OMB IT Dashboard.
SOURCE: OMB IT Dashboard · GAO-24-106693
Major Federal IT Investments
1,770
Investments classified as "major" by OMB — the only ones with a published CIO risk evaluation. Less than 1-in-4 of all investments.
SOURCE: OMB IT Dashboard API · March 2026
Investments with Medium to High Risk Score
650+
Major investments CIO-rated at medium risk or above — already flagged by agencies as problems requiring attention. Representing billions in requested budgets.
SOURCE: OMB IT Dashboard API · March 2026 · FY2025 requested budgets
Investments Without Public Risk Score
5,200+
Investments with no public CIO evaluation — payroll, benefits, law enforcement, grants — operating with no published risk assessment at all.
SOURCE: OMB IT Dashboard · Derived: total minus rated major investments
Critical Legacy Systems Unmodernized
7 of 11
Of the 11 most critical federal legacy systems, 7 remain incomplete as of July 2025. 8 run on COBOL or Assembly code with a shrinking maintainer pool. 2 agencies have no modernization plan at all.
SOURCE: GAO-25-107795 · July 2025
Age of Critical Federal Legacy Systems
23–60 yrs
Age range of the 11 critical federal legacy systems most in need of modernization, maintained by 10 agencies supporting health care, critical infrastructure, tax processing, and national security.
SOURCE: GAO-25-107795 · July 2025
Size of the Federal IT Market
Annual Federal IT Spend
$102B
Total requested across civilian agencies annually. ~80% goes to operating existing systems — the exact systems requiring compliance assurance. Only ~20% funds new development.
SOURCE: OMB IT Dashboard · FY2025 requested budgets · GAO-24-106693
Federal Cloud Market — FY2026 Projected
$19.6B
Projected federal cloud spend in FY2026 — every dollar flows exclusively to FedRAMP-authorized vendors. Up 17% from $16.7B in FY2024. $621 per second, accessible only with a valid ATO.
SOURCE: Deltek GovWin IQ · Federal Cloud Computing Market 2026–2028
Mission-Critical Acquisitions Underway
$51.7B
16 critical IT programs in active acquisition across 11 agencies. 7 of 16 already report significant cybersecurity or privacy risk. All require FedRAMP-certified vendors to execute.
SOURCE: GAO-25-106908 · March 2025
Budget Behind At-Risk Investments
$26.7B
FY2025 requested budget behind the 650+ major investments already rated medium to high risk — allocated, identified, and waiting for FedRAMP-compliant vendors to help remediate.
SOURCE: OMB IT Dashboard API · retrieved March 2026 · FY2025 requested budgets
Traditional Path to Compliance vs. kovr.ai
Traditional Path
Manual · consultant-driven · document-heavy
kovr.ai
AI-native · automated · continuously audit-ready
Duration
12–24 mo
avg FedRAMP Moderate timeline
FedRAMP launched in 2011 expecting 6 months. The timeline has more than doubled. Complex systems routinely exceed 24 months.
Duration
1–3 mo
up to 75% timeline reduction
AI auto-generates SSPs and maps controls from your DevSecOps data. FedRAMP 20x pilot participants achieved Low ATO in under 30 days.
First-Time Cost
$250K–$2M+
first-time FedRAMP Moderate, all-in
3PAO assessment $150K–$300K. Consulting $100K–$200K. Tooling + engineering. Then ~80% of that cost repeats every year for continuous monitoring.
First-Time Cost
Up to 90% less
automation eliminates manual overhead
No consultants. No spreadsheets. One predictable annual license. AI handles what specialist teams used to spend months doing. Contact kovr.ai for pricing.
Security Controls
325+ manual
NIST SP 800-53 Rev. 5
Each control requires documentation, evidence collection, and 3PAO validation. Months of specialist labor just to build the initial package.
Security Controls
Automated
AI-driven mapping from live DevSecOps data
GitHub, Splunk, AWS integrations feed real-time data. Controls mapped and evidence collected continuously — in minutes, not months.
Annual Maintenance
$75K–$200K/yr
continuous monitoring + annual reassessment
Reassessment costs ~75–80% of year-one authorization. A compounding annual tax on staying compliant. Budget for it every year, forever.
Annual Maintenance
Always On
continuously audit-ready — no annual scramble
Real-time dashboards and automated evidence collection. You're never caught unprepared for an audit because compliance never stops running.
Traditional path: Secureframe · Security Compass · Schellman (3PAO, 110+ assessments) · Vanta · Stack Armor · Pivot Point Security · kovr.ai claims from kovr.ai platform documentation