State Tech Leaders Talk Texas Budget, Cyber Command

This year’s Industry Insider — Texas State of Technology forum saw Texas Department of Information Resources (DIR) Executive Director Amanda Crawford and Deputy Executive Director Steve Pier discuss the state’s historic levels of technology funding, a reshaped cybersecurity strategy and new opportunities for vendor collaboration across the state.

Pier described the 2025 legislative session as “absolutely remarkable” for IT investment. He said the state’s IT budget has grown to about $3.8 billion, including $300 million in general revenue dedicated to cybersecurity across DIR and the newly launched Cyber Command. That figure does not include additional cybersecurity investments embedded in individual agency budgets.

“This is just monumental,” Pier said. “It’s like a five-times increase over what you've seen the Legislature do in the past.”

The launch of Cyber Command marks a complete overhaul of the state’s cybersecurity efforts and a shift to what state leaders call a “whole-of-state” approach. The initiative centralizes oversight and response, beginning with critical infrastructure sectors such as water, electricity and telecommunications. The command will also absorb and expand existing DIR cybersecurity personnel and resources.

“The governor made it very clear when he laid this out, that Texans don't care who was responsible for their water district being hit,” Pier said. “It doesn't matter when your services are out. It's a whole-of-state problem.”

According to Crawford, the state’s cyber chief will be named in the coming months.

Crawford also noted that DIR is in the planning and pilot stages for two new contract options through the agency’s Shared Technology Services program: procurement as a service and network as a service.

For vendors, the changes mean expanded opportunities but also a need to navigate both centralized infrastructure and individual agency needs. Pier emphasized that while DIR provides shared platforms and tools, decision-making authority often remains at the agency level.

“It is up to the agencies to make the choices that they want to make, and of course, all of your very able sales teams to convince them that your decision is the right decision,” Pier said.

Crawford pointed to the agency’s growing role in enabling access to innovation, including DIR’s Innovation Lab and a new AI Division, which will support agencies directly with a more hands-on approach, offering proof-of-concept testing and technology assessments.

“I think with this AI division, it's going to be a new path, kind of a new direction for DIR, that it is actually much more tactical,” said Crawford. “These are going to be real technologists who are there to help small agencies, midsized agencies, even some of the big guys, too, if needed.”

According to Crawford, DIR will release a draft of the state’s new AI Code of Ethics in October.

As agencies look to modernize legacy systems and scale cybersecurity protections, DIR leaders encouraged vendors to view the agency as a key entry point, not just for procurement, but for long-term strategic alignment.