President Joe Biden’s proposed fiscal year 2025 federal budget is set to prioritize significant funding for agencies’ adoption of artificial intelligence technologies, modernizing outdated government services, and enhancing cybersecurity practices. The budget, totaling $1.67 trillion in discretionary spending, aims to promote U.S. leadership and innovation across various sectors.
During a press call on Monday, Office of Management and Budget Director Shalanda Young highlighted the budget’s focus on expanding access to healthcare, supporting the American workforce, boosting manufacturing, addressing the climate crisis, advancing cancer research, and improving community safety. The budget includes $850 billion in defense spending and $770 billion in non-defense discretionary funding, with mandatory spending items bringing the total budget to $7.3 trillion.
One of the key areas of investment in the budget is artificial intelligence and emerging technologies. The proposal includes over $3 billion across agencies to develop transformative AI applications, along with $300 million in mandatory funding to address risks and promote the public good. Additionally, $20 billion is allocated to major research agencies to drive innovation in AI and other emerging technologies.
The budget also includes provisions for agencies to enhance their IT systems and public-facing services, with specific investments in areas such as federal student aid and veterans’ information technology systems. Furthermore, the budget earmarks funds for federal cybersecurity initiatives, including increased resources for agencies like the FBI and the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency.
In addition to AI and cybersecurity, the budget seeks to modernize federal technology through investments in the Technology Modernization Fund and the Federal Citizen Services Fund. These efforts aim to support tech upgrades at federal agencies and improve governmentwide technology services.
While the budget reflects the Biden administration’s priorities, its enactment faces challenges in a divided Congress. Director Young contrasted the administration’s funding priorities with those of congressional Republicans, emphasizing the administration’s focus on progress, opportunity, and fairness.
Overall, President Biden’s proposed budget for fiscal year 2025 underscores the administration’s commitment to advancing technology, cybersecurity, and innovation to drive economic growth and ensure national security.