How quickly can the world’s largest bureaucracy transform itself with artificial intelligence? The answer is unfolding in 2026, as nearly 90% of U.S. government agencies are either planning to use AI or already implementing it. The question has shifted from whether government will adopt AI to how fast this transformation will occur.
The federal government’s AI transformation is no longer a question of if, but rather how rapidly it will unfold.
President Trump’s AI Action Plan established three core pillars driving this change: accelerating innovation, building AI infrastructure, and leading in international diplomacy and security. An executive order in January 2025 reduced barriers to AI development, while April 2025 guidance from OMB standardized AI use across agencies. These initiatives positioned 2025 as a pivotal modernization year that set the stage for 2026 implementation.
Federal agencies are actively removing constraints to AI adoption. The Department of Energy launched the Genesis Mission in November 2025 to advance AI-driven research and productivity. NASA deployed a Crew Medical Officer Digital Assistant to help astronauts diagnose and treat symptoms. Integrating AI with existing processes often requires process documentation to ensure clear roles and data sharing protocols.
The FDA provided agentic AI capabilities to all employees, while the Department of Transportation adopted Google Workspace with Gemini through the GSA OneGov Strategy. The Department of Health and Human Services released a December 2025 strategy to expand AI adoption in patient data analysis and drug development.
However, significant barriers remain. Budget constraints affect 75% of federal agencies, making it the primary adoption obstacle. Legacy systems impede progress for 41% of respondents, and skills gaps challenge 37% of agencies.
Workforce reduction activities have left legal and FOIA teams understaffed during periods of increased request volumes. FOIA requests to federal agencies grew 62% over the past two fiscal years, with more than 400,000 requests remaining unfulfilled during FY25.
Support mechanisms are emerging to address these challenges. The GSA OneGov Strategy launched Gemini for Government with discounted pricing on AI tools. Google Skills platform offers nearly 3,000 courses, labs, and credentials to build government AI workforce capacity. Microsoft announced a Community-First AI Infrastructure plan focusing on apprenticeship and workforce development.
The Department of Defense is prioritizing commercial-first solutions that are cloud-native and interoperable. Speed now serves as a key evaluation metric in all DoD assessments and acquisitions.
These operational shifts demonstrate that America’s government is preparing for an AI-driven overhaul, though success depends on overcoming budget limitations, modernizing legacy systems, and developing skilled workforces.
