Texas Department of Information Resource

What Texas Department of Information Resource does

The Texas Department of Information Resources (DIR) is the official technology agency of the State of Texas, headquartered at 300 W. 15th Street, Suite 1300 in Austin, with approximately 200-250 employees and a budget that exceeds three-quarters of a billion dollars. DIR operates two principal programs: a Cooperative Contracts program that pre-negotiates terms with more than 700 vendors so that state agencies, local governments, K-12 districts, and institutions of higher education can purchase IT products and services without running their own competitive solicitations (mandated for state agencies under Texas Government Code 2157.068); and a Shared Technology Services portfolio that delivers managed IT for participating agencies, including Data Center Services (Texas Private Cloud and Public Cloud via AWS, Azure, Google, and Oracle), Managed Security Services, Texas Identity Access Management (TIAM) for MFA and SSO, Texas.gov digital government services, and TEX-AN voice and data communications serving 900+ agencies. The agency's AI and Innovation Division, Office of the Chief Data Officer (Open Data Portal), and Strategic Digital Services round out a portfolio spanning cybersecurity, cloud, identity, payments, and legacy modernization.

DIR's revenue mechanics combine Texas state legislative appropriations with administrative fees on cooperative contract sales (kept low to maximize customer savings) and pass-through managed-services revenue. In FY 2024, DIR facilitated $3.4 billion in technology purchases with $376 million in customer cost avoidance, while Texas.gov processed 18 million constituent transactions and the agency published approximately 500 open datasets. Delivery is executed through a tiered partner ecosystem: Capgemini serves as Multi-sourcing Services Integrator, with Accenture, Deloitte, and KPMG as Technology Solution Services providers under contracts commencing September 2026, and a broader pool of DBITS and ITSAC vendors (including Kyndryl, CGI, and Kinetech Cloud) handling project-based and staff augmentation work.

Strategically, DIR is operating against the backdrop of House Bill 150, which transferred its cybersecurity functions to the newly created Texas Cyber Command effective September 1, 2025, and has responded by formalizing an AI and Innovation Division, launching the Texas Design System for website modernization, refreshing its top-tier delivery contracts, and publishing a 2026-2030 State Strategic Plan. Leadership was stabilized in March 2026 when Tony Sauerhoff, previously the state's Chief AI and Innovation Officer, was confirmed as permanent CIO and Executive Director. The agency's external posture is anchored on StateScoop 50 recognition of Sauerhoff, an Outstanding Achievement Award from the Center for Digital Government, and an A grade in the Digital States Survey, underscoring its role as the consolidated IT backbone for Texas government.

Name

Texas Department of Information Resource

Legal name

Texas Department of Information Resources

Website

https://dir.texas.gov

Company type

Private

Operating status

Operating

Headcount range

101–250 employees

Short description

Texas Department of Information Resources is the State of Texas's official technology agency, delivering cooperative IT procurement, managed cloud, cybersecurity, identity, and digital government services to state agencies, local governments, K-12 districts, and higher education institutions.

Ownership category

akta.pro rank

Product category

Government IT Services

NAICS

Executive, Legislative, and Other General Government Support (921), Web Search Portals, Libraries, Archives, and Other Information Services (519)

SIC

Services-Computer Programming, Data Processing, Etc. (7370)

akta.pro primary industry

Public Sector & Government ERP (HDAEAEAG)

akta.pro secondary industries

Business/Enterprise ISPs (Dedicated Internet Access) (HDAIADAB), GIS & Spatial Data Management Platforms (BPAMANAK)

Keywords

• Government IT procurement
• Cooperative purchasing contracts
• Managed cloud services
• Public sector cybersecurity
• Digital government 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, Technology or R&D, Infrastructure, Operations, Marketing or Sales

Revenue model

1. Administrative Fees: DIR generates revenue through administrative fees charged on cooperative contract sales. In Fiscal Year 2024, DIR sold over $3.4 billion in technology products and services and achieved $376 million in cost avoidance for customers. The agency keeps administrative fees low to maximize customer savings.
2. State Appropriations: As a Texas state agency, DIR is funded through legislative appropriations from the state budget, supporting its operations and mission to serve Texas government technology needs.

Pricing tiers

Go-to-market motion1 record

Distribution channels6 records

Marketing channels7 records

Core offering

Texas DIR is the State of Texas's official technology agency that delivers IT solutions to government entities through two primary mechanisms: Cooperative Contracts (over 700 pre-negotiated contracts enabling customers to purchase hardware, software, and technology services directly from approved vendors) and Shared Technology Services (fully managed IT offerings including Data Center Services, Texas.gov digital government platform, Managed Security Services, Texas Identity Access Management, and TEX-AN telecommunications). The agency also provides AI and Innovation advisory services, Strategic Digital Services for modernization, and the Texas Open Data Portal, serving Texas state agencies, local governments, K-12 districts, higher education institutions, and eligible out-of-state public entities.

Product overview

The Texas Department of Information Resources (DIR) is a government agency that serves as the official technology agency for the State of Texas, delivering technology solutions to state and local government entities through multiple program areas rather than a single unified product. The portfolio includes: Texas.gov (the state's official digital government platform with application services, payment services, and TxT digital identity); Data Center Services (DCS) comprising Texas Private Cloud and Texas Public Cloud; Managed Security Services (MSS); Texas Identity Access Management (TIAM) for MFA and SSO; Cooperative Contracts Program offering pre-negotiated contracts for hardware, software, and technology services; Deliverables-Based IT Services (DBITS); IT Staff Augmentation Services (ITSAC); Communications Technology Services including TEX-AN and CCTS; Strategic Digital Services for digital transformation; AI and Innovation Division; and the Office of the Chief Data Officer managing the Texas Open Data Portal. DIR's services are accessed through cooperative purchasing agreements, managed services, and direct procurement rather than a traditional SaaS product.

Differentiator

Problem solved

Functional benefit

Brands

• Texas Design System: A content library of website components designed to help Texas state agencies create more accessible, user-friendly, and consistent government websites.
• Texas.gov
• AI and Innovation
• Cooperative Contracts
• TEX-AN

Products and services

• Texas.gov Official state digital government platform providing portal and payment services for Texas state agencies and eligible local governmental organizations, enabling constituents to conduct business online 24/7/365 across more than 1,000 services.
• Data Center Services (DCS) Managed IT services including Texas Private Cloud (CJIS-compliant state data centers with built-in disaster recovery) and Texas Public Cloud hosting (AWS, Azure, Google, Oracle), mainframe services, and print/mail/digitization services for Texas government organizations.
• Managed Security Services (MSS) Outsourced security services including security monitoring, device management, incident response, and risk and compliance services for state agencies.
• Texas Identity Access Management (TIAM) State-wide multi-factor authentication (MFA), single sign-on (SSO), and identity access management assessment program for Texas government.
• TEX-AN Services Statewide voice and data telecommunications services including telecommunications contracts for agencies, local governments, school districts, and institutions of higher education, serving more than 900 agencies and organizations.
• Cooperative Contracts Program Pre-negotiated contracts leveraging the purchasing power of the State of Texas for technology products and services including hardware, software, and technology services, enabling customers to purchase without competitive bidding processes.
• Deliverables-Based IT Services (DBITS) Project-based IT solutions and services including application development, legacy system modernization, ERP implementation, business intelligence, IT assessments, and project management through pre-approved vendors.
• IT Staff Augmentation Services (ITSAC) Temporary IT staff resources on an as-needed hourly basis for state and local government entities to supplement in-house IT teams.
• Managed Print Services Leasing, servicing, and management of print equipment including printers, copiers, multifunction devices, 3D printers, scanners, and facsimile equipment with related services.
• Strategic Digital Services Program assisting agencies with digital transformation, legacy modernization, and adoption of emerging technologies including AI, cloud, and project delivery.
• AI and Innovation Division Division helping agencies consider and adopt AI, emerging technologies, and innovative tools with strategic partnership, framework, and expertise for evaluating and integrating new technologies.
• Security Services Technical assessment services, cybersecurity certification training, security awareness training, multi-factor authentication, and Network Security Operations Center (NSOC) for border network protection.
• Office of the Chief Data Officer Program establishing data management vision and direction for the state, improving data governance, enabling data sharing, and developing data policies and standards, including the Texas Open Data Portal.
• TxT (Texas by Texas) Digital government experience platform enabling identity proofing, verification, multi-factor authentication, and single sign-on access for constituents.

Quantifiable outcome

• $3.4 billion in technology products and services sold in FY24
• +4 more outcomes

Named customers6 records

Segments5 records

Ideal customer profiles5 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature5 records

Partnerships

Eight partnerships are on record, tiered core.

• KyndrylcoreTechnology or Integration · 30 March 2026Kyndryl was awarded a contract (DIR-CPO-6161) by Texas DIR to provide deliverables-based IT services to Texas state and local government agencies. Services span cybersecurity, cloud, applications, data and AI. Kyndryl is committed to supporting Texas agencies with modernization of legacy platforms, cybersecurity strengthening, and digital services delivery. Kyndryl previously secured government IT contracts with the North Carolina Division of Motor Vehicles.
• Kinetech Cloud, LLCcoreTechnology or Integration · 12 March 2026Kinetech Cloud, a San Antonio-based technology firm, was awarded a DBITS contract (DIR-CPO-5958) by Texas DIR to provide technology services including application development, legacy system modernization to AWS GovCloud, case management, and ERP implementation using its Mendix-based Kinetech Conductor platform.
• CGI GroupcoreTechnology or Integration · 5 January 2026CGI Group holds a contract with Texas Department of Information Resources for technology services. RBC Capital analysis cited CGI's contract with DIR among recent activity including acquisitions and NATO project implementations.
• CapgeminicoreImplementation/ SI/ Consulting PartnerCapgemini serves as the Multi-sourcing Services Integrator (MSI) for the State of Texas' Shared Technology Services program. The MSI role integrates and manages services of Service Component Providers (SCP) across the STS program including Technology Solution Services transitions.
• Accenture LLPcoreImplementation/ SI/ Consulting PartnerAccenture LLP is a Technology Solution Services provider under DIR's Shared Technology Services program. Contract DIR-STS-TSS-699 has a commencement date of 9/1/2026 for providing technical strategy management, solution design, and project delivery.
• Deloitte Consulting LLPcoreImplementation/ SI/ Consulting PartnerDeloitte Consulting LLP provides Technology Solution Services under DIR's Shared Technology Services program (Contract DIR-STS-TSS-700). Deloitte also delivers Texas.gov Services contract, providing application services for Texas state agencies.
• KPMG LLPcoreImplementation/ SI/ Consulting PartnerKPMG LLP is a Technology Solution Services provider under DIR's Shared Technology Services program (Contract DIR-STS-TSS-701).
• First Data Merchant ServicescoreTechnology or IntegrationFirst Data Merchant Services is the Texas.gov Payment Services vendor, providing PCI-DSS Level 1 compliant payment processing solution. The Transaction Payment Engine enables online and over-the-counter credit card or ACH payments.

Scale indicators7 records

Recent moves7 records

Expansion highlights6 records

Market position

Strengths4 records

Competitive moat6 records

Key risks5 records

Key highlights7 records

Customer concentration

• Xx.com/texasdir

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Funding overview

Funding rounds

Investors

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M&A

Investments

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Frequently asked questions about Texas Department of Information Resource