Computer System Design Services NAICS 541512
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Industry Summary
The 49,252 Computer system design services providers in the US integrate computer hardware, software, and communication technologies. Types of services include computer systems design, development, and integration; customer application design and development; and IT technical consulting and support. Firms may also provide services related to network development and design, cybersecurity, and communications.
Dependence on Skilled Labor
The computer system design services industry relies on a highly skilled, highly paid workforce, which includes computer and software engineers, programmers, systems integrators, and management with experience in information technology.
Rapid Advances in Technology
The computer and information systems management industry is characterized by rapid advances in technology that create volatility and uncertainty.
Recent Developments
Nov 13, 2025 - Shutdown Cost Federal Government Contractors Billions
- President Trump signed into law a continuing resolution that funds the federal government through January. Some funding could be restored within hours of the signing while restoration of other funding could take longer, according to the New York Times. The shutdown cost government contractors including computer system design services $12 billion through the end of October, according to the US Chamber of Commerce. Government funding expired on September 30 because lawmakers could not agree on a federal budget, even on a short-term basis. September usually brings a rush of year-end contract obligations but not this year, according to the Federal News Network. Contractors may still see project delays and wait on payments during the funding resolution process. Workers deemed essential by federal agencies worked without pay until Congress acted but contractors aren’t guaranteed back pay for work done during the shutdown, according to Max Stier, president and CEO of the nonprofit Partnership for Public Service. Congress must enact interim or full-year funding appropriations for agencies and programs whose continued operation depends on annual appropriation acts. When Congress fails to enact interim or full-year appropriations, it may enact short-term measures known as continuing resolutions to keep the government funded for a few days, weeks, or months at previous levels until final budgeting decisions are made.
- President Trump issued a cybersecurity Executive Order, “Sustaining Select Efforts to Strengthen the Nation’s Cybersecurity”, that clears some of the regulatory overhang from Biden Administration cybersecurity policies by streamlining updates on security of software, federal communications, post-quantum cryptography (PQC), and artificial intelligence (AI) for federal agencies, according to the Wiley law firm. The order identifies China as the biggest threat to U.S. cybersecurity and outlines measures where the government will enhance secure technology practices. The order also frames AI advances as being driven by private sector innovation, provides for greater agency adoption of AI, and incorporates AI vulnerabilities into interagency coordination on vulnerability management.
- Amazon Web Services (AWS) is struggling with capacity constraints in its data centers, restricting the cloud division's growth as AI demand surges, CEO Andy Jassy said. Rival Microsoft has also said that its cloud sales growth was hurt because it didn’t have enough data centers to handle demand for its AI products. AWS CEO Jassy said that limited AI chip supply and power capacity are affecting the ability of Amazon Web Services to bring new data centers online.
- Computer system design service industry employment and average wages for nonsupervisory employees decreased slightly during the first seven months of 2025, according to the US Bureau of Labor Statistics (BLS). Revenue for computer system design services increased 5.1% year over year and 2.3% quarter over quarter in the fourth quarter of 2024, according to the US Census Bureau. Computer system design service industry sales are forecast to grow at a 2.12% compounded annual rate from 2025 to 2029, slower than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.
Industry Revenue
Computer System Design Services
Industry Structure
Industry size & Structure
The average computer system design service provider operates out of a single location, employs 23 workers, and generates about $5.7 million annually.
- The computer system design services industry consists of about 49,252 companies that employ over 1.1 million workers and generate over $278 billion annually.
- The industry is concentrated at the top and fragmented at the bottom; the top 50 companies account for 50% of industry revenue.
- Large firms, which include IBM, GDIT, and Unisys, typically have global operations.
Industry Forecast
Industry Forecast
Computer System Design Services Industry Growth
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