Gavin Newsom Wants Entrepreneurs to Disrupt the $192 Billion Government IT Industry


 According to TechCrunch, California Lieutenant Governor Gavin Newsom and entrepreneur Tim O’Reilly spoke at The Founder’s Den on Wednesday, emphasizing that government – local, state, and federal – is in dire need of disruption. A few enormous incumbent firms – like Lockheed Martin and Science Applications International Corporation – charge civic leaders top dollar for their “expertise,” even though their solutions are often out-of-date and inefficient. Newsom accused these companies of acting as “IT cartels,” preying on the technical illiteracy of their clients.

Newsom suggested that entrepreneurs start small, proving their solution efficacy to local governments first. If they are stymied by the notorious government bureaucratic process, Newsom says founders should work to “compete” with the government’s instead. He cited food stamps and crime notification as areas that are primed for tech solutions.

Newsom, a former two-term mayor of San Francisco, has authored a book, Citizenville, which further illuminates his ideas for entrepreneurship in the government space.