State of Texas DIR

What State of Texas DIR does

The Texas Department of Information Resources (DIR) is the official technology agency of the State of Texas, headquartered in Austin with approximately 250 professionals. Under Texas Government Code 2157.068, DIR is the mandatory procurement channel for Texas state agencies buying IT hardware, software, and technical services, and operates as an optional purchasing cooperative for K-12 school districts, institutions of higher education, local governments, and out-of-state public entities. In FY24, DIR facilitated more than $3.4 billion in technology products and services, generating $376 million in cost avoidance through statewide purchasing power spread across 700+ cooperative contracts.

DIR's core platform comprises four program areas: Cooperative Contracts (pre-negotiated vendor agreements with Dell, Cisco, Apple, Oracle, HP, Google, IBM, AWS, Microsoft Azure, and others), Shared Technology Services (data center, managed security, Texas.gov, and print/mail/digitization), Communications Technology Services (TEX-AN voice and data for 900+ agencies), and policy/security/data programs including TX-RAMP, the Office of the Chief Data Officer, and the Texas Open Data Portal. Security product lines include TIAM, SecOps, NSOC, and Managed Security Services. Texas.gov, the state's official digital government platform, processes approximately 18 million constituent transactions annually.

DIR generates revenue through administrative fees on cooperative-contract sales rather than direct end-user pricing, with the fee structure calibrated to maximize customer savings while funding operations. Approximately $1.077B in FY24 purchases came from state agencies, $1.154B from local governments, $599.9M from K-12, $500.8M from higher education, and $75.2M from out-of-state organizations. The agency is governed by a board and structured as a state government entity under the State of Texas, with no private shareholders or parent corporate entity. In 2025, House Bill 150 transferred cybersecurity functions to the new Texas Cyber Command, while House Bill 2818 established a formal AI Division within DIR effective September 2025. The 2026-2030 State Strategic Plan for Information Resources Management sets the current five-year roadmap.

Name

State of Texas DIR

Legal name

Texas Department of Information Resources

Website

https://dir.texas.gov

Company type

Public

Operating status

Operating

Headcount range

51–100 employees

Short description

Texas Department of Information Resources (DIR) is the official technology agency of the State of Texas, providing mandatory IT procurement, shared technology services, telecommunications, and digital government platforms to Texas state agencies, local governments, K-12 schools, higher education institutions, and select out-of-state public entities.

Ownership category

akta.pro rank

Product category

Government IT Procurement and Shared Services

NAICS

Public Administration (92)

akta.pro primary industry

Procurement Systems Administration (ERP/P2P Tools Support) (BPAAAJAO)

akta.pro secondary industries

Public Sector & Government ERP (HDAEAEAG), Business/Enterprise ISPs (Dedicated Internet Access) (HDAIADAB)

Keywords

• Government IT services
• IT procurement contracts
• Cooperative purchasing
• Cybersecurity services
• Shared technology services

Headquarters

HQ city

Austin

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Infrastructure

Revenue model

1. Administrative Fees: DIR generates revenue through administrative fees charged on cooperative contract sales. Fees are set to create the greatest cost savings for customers while funding DIR operations.

Pricing tiers

Go-to-market motion1 record

Distribution channels7 records

Marketing channels6 records

Core offering

Texas Department of Information Resources (DIR) delivers centralized IT procurement and shared technology services for Texas public sector entities. It administers cooperative contracts, manages shared technology platforms (including data center, telecom, and cloud services), and provides cybersecurity and digital government solutions to state agencies, education institutions, and local governments.

Product overview

DIR (Texas Department of Information Resources) is the official technology agency for the State of Texas providing a comprehensive portfolio of technology solutions organized around Cooperative Contracts (pre-negotiated purchasing), Shared Technology Services (managed IT outsourcing), Communications Technology Services (TEX-AN voice/data), and Security Services. Key product lines include Texas.gov digital government platform, Texas Identity Access Management (TIAM), Data Center Services (DCS) with public/private cloud, Managed Security Services, AI and Innovation Program, and Strategic Digital Services for digital transformation. Additional offerings span IT staffing (ITSAC), deliverables-based IT services (DBITS), print/mail/digitization, cybersecurity training, network security operations (NSOC), project delivery frameworks, and digital accessibility programs. The portfolio serves state agencies, local governments, K-12 schools, higher education, and out-of-state organizations through 700+ cooperative contracts with an estimated $3.4 billion in annual technology sales.

Differentiator

Problem solved

Functional benefit

Brands

• Texas.gov: The state's official digital government solution providing portal and payment services for Texas state agencies and eligible local governmental organizations.
• TEX-AN
• TX-RAMP
• Texas Design System

Products and services

• Cooperative Contracts Program
• Shared Technology Services
• Cybersecurity Services

Quantifiable outcome

• $3.4 billion+ in annual technology procurement facilitated through DIR contracts
• +3 more outcomes

Named customers7 records

Segments5 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

AI capability9 records

Feature6 records

Partnerships

22 partnerships are on record, tiered core.

• Deloitte Consulting LLPcoreStrategic or Co-development PartnerPrimary contractor for Texas.gov Services providing application development, maintenance, testing, and operations support for state digital government services.
• First Data Merchant ServicescoreStrategic or Co-development PartnerOfficial payment processing vendor for Texas.gov, providing PCI-DSS Level 1 compliant payment processing solutions for state agency transactions.
• RackspacecoreTechnology or IntegrationPublic cloud services provider for DCS Public Cloud Services, offering hardened cloud virtual data center solutions with technical and security assurances.
• AWScoreTechnology or IntegrationPublic cloud services provider for DCS Public Cloud Manager Services, one of the industry leading cloud platforms available through DIR.
• Microsoft AzurecoreTechnology or IntegrationPublic cloud services provider for DCS Public Cloud Manager Services, offering cloud infrastructure through DIR contracts.
• Google CloudcoreTechnology or IntegrationPublic cloud services provider for DCS Public Cloud Manager Services through DIR contracts.
• Oracle CloudcoreTechnology or IntegrationPublic cloud services provider for DCS Public Cloud Manager Services through DIR contracts.
• CapgeminicoreImplementation/ SI/ Consulting PartnerMulti-sourcing Services Integrator (MSI) for State of Texas Shared Technology Services program, responsible for integrating and managing services of Service Component Providers.
• Accenture LLPcoreImplementation/ SI/ Consulting PartnerTechnology Solution Services provider transitioning to deliver technical strategy management, solution design, and project delivery for DCS public and private cloud infrastructure.
• Deloitte Consulting LLPcoreImplementation/ SI/ Consulting PartnerTechnology Solution Services provider for STS program delivering technical strategy, solution design, and project delivery for cloud infrastructure.
• KPMG LLPcoreImplementation/ SI/ Consulting PartnerTechnology Solution Services provider for STS program providing technical strategy, solution design, and project delivery for cloud infrastructure.
• DellcoreTechnology or IntegrationBranded hardware contract through DIR offering desktop computers, servers, printers, accessories, and related services.
• CiscocoreTechnology or IntegrationBranded networking, security, collaboration, and data center products through DIR contracts with value-added reseller services.
• ApplecoreTechnology or IntegrationBranded products including desktops, laptops, peripherals, accessories and software through DIR contracts.
• OraclecoreTechnology or IntegrationBranded hardware, software, cloud and related products including Sun, PeopleSoft, JD Edwards, Siebel, and Primavera through DIR.
• HP/Hewlett-PackardcoreTechnology or IntegrationBranded hardware, software, cloud and related services including HP NonStop, Aruba, Vertica, and Fortify products through DIR.
• GooglecoreTechnology or IntegrationGoogle Cloud Platform, G Suite, Google Maps, and Chrome Device Management through branded DIR contracts.
• IBMcoreTechnology or IntegrationBranded data storage, peripherals, software and related services through DIR contracts with Panasonic and Fujitsu.
• MotorolacoreTechnology or IntegrationBranded hardware and accessories for government technology needs through DIR contracts.
• Intrusion InccoreTechnology or IntegrationCybersecurity services provider with a new $4 million annual contract with the State of Texas for cybersecurity services.
• Texas Cyber Command (TXCC)coreStrategic or Co-development PartnerCybersecurity functions transferred from DIR to Texas Cyber Command per House Bill 150. DIR collaborates with TXCC on cybersecurity initiatives including the annual Information Security Forum.
• Texas Comptroller of Public AccountscoreStrategic or Co-development PartnerPartnership for payment processing and financial transactions through Texas.gov, ensuring compliance with state mandated requirements.

Scale indicators8 records

Recent moves6 records

Expansion highlights8 records

Others

• CDW Government (CDW-G): Major IT reseller serving state and local government through cooperative contracts and direct procurement. Operates in the same channel as DIR's vendor partners (and is itself a DIR vendor) — a useful ecosystem comparator for understanding competitive dynamics.
• Carahsoft Technology Corp. Government IT solutions provider acting as a master aggregator for vendors selling into state and federal markets. Functions as both a DIR vendor and an alternative channel, making it a key ecosystem participant.

Direct peers

• California Department of Technology (CDT): California's state-level IT authority providing IT procurement, shared services, and digital government solutions across California's agencies. Closest functional analog to DIR in another large state.
• NASPO ValuePoint: Multi-state cooperative purchasing organization offering competitively solicited IT contracts that any state or local government can leverage. Closest functional analog to DIR's cooperative contracts program, but operating across states rather than within one.
• Minnesota Department of Information Technology Services (MNIT): Minnesota's consolidated IT agency providing technology services, procurement, and digital government solutions to executive branch agencies. Mirrors DIR's combined procurement + managed services mandate.
• Commonwealth of Virginia - Virginia Information Technologies Agency (VITA): Virginia's central IT authority responsible for IT infrastructure, procurement, and cybersecurity services to state and local government. Closely comparable in mission, statutory mandate, and service portfolio.
• New York State Office of Information Technology Services (NYS ITS): New York's centralized IT services organization delivering statewide technology services, procurement, and cybersecurity. Mirrors DIR's combined procurement + managed services + digital identity role at a comparable scale.
• Florida Department of Management Services (DMS) - Division of State Technology: Florida's central state technology organization responsible for IT procurement, managed services, and data center consolidation. Comparable in mandate and operating model to DIR.

Broad incumbents

• U.S. General Services Administration (GSA) - Technology Transformation Services: Federal-level procurement authority and shared service provider (GSA Schedules, Login.gov, USA.gov). Comparable function at a broader scale and a model for cross-agency cooperative purchasing.

Regional players

• State of Arizona Department of Administration - State Procurement Office: Arizona's statewide IT and goods procurement office running cooperative contracts for state agencies and local entities. Comparable cooperative purchasing model focused on Arizona's public sector.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat6 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xx.com/texasdir

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about State of Texas DIR