States / State guide
Businesses in Alabama won $22.1B in federal contracts in FY2025
What the federal government bought from companies located in Alabama in FY2025, who bought it and how much of it was reserved for small business. Then what GovSmith does with those facts for you.
- Federal contract dollars
- $22.1B
Source: USAspending.gov, FY2025 contract obligations to recipients in the state, read 2026-11-05.
- Contract awards
- 75,379
Source: USAspending.gov, FY2025 contract and IDV awards to recipients in the state, read 2026-11-05.
- Small-business set-asides
- $2.3B
Source: USAspending.gov, FY2025 contract obligations under a small-business set-aside, read 2026-11-05.
- Federal grant dollars
- $14.7B
Source: USAspending.gov, FY2025 prime grant awards to recipients in the state, read 2026-11-05.
Who is buying in Alabama
The five agencies that obligated the most to companies in Alabama in FY2025. The top one alone put $14.3B into the state.
| Agency | FY2025 | Share |
|---|---|---|
| $14.3B | 64.5% | |
| $4B | 18.3% | |
| $1.7B | 7.7% | |
| $539M | 2.4% | |
| $466M | 2.1% |
What they buy in Alabama
The NAICS codes with the most federal contract dollars to Alabama companies. Each code has its own page with the buyers under it nationwide.
| NAICS code | FY2025 | Share |
|---|---|---|
| $4.8B | 21.9% | |
| $3.7B | 16.9% | |
| $2.9B | 12.9% | |
| $1.7B | 7.8% | |
| $1.6B | 7.4% |
Source: USAspending.gov, FY2025 contract obligations by NAICS code, recipients in the state, read 2026-11-05.
The set-aside landscape
$2,298,978,655 of the federal contract dollars to Alabama companies in FY2025, 10.4% of the total, went out under a small-business set-aside: competitions and sole-source awards reserved for small firms, 8(a) participants, HUBZone, service-disabled veteran-owned and women-owned businesses. That is money a large company could not touch.
The state’s own buying
Huntsville alone carries Army aviation and missile commands, NASA Marshall and the FBI's second campus, and the state's own Department of Transportation, Medicaid Agency and Department of Human Resources buy on top of that.
The state, its cities, counties, school districts and universities buy on top of the federal figures above. GovSmith is bringing the state portals into its Search state by state, and your vCM watches the one that matters to you by hand until then.
What GovSmith does with this
GovSmith finds the Alabama openings for you
Your vCM starts from the buyers above: the installations, offices and programs in Alabama that spend on what you sell, the primes that staff their big contracts, and the set-asides you qualify for. GovSmith's Search reads the notices every night and GovSmith AI matches them to your profile. You see the shortlist, not the flood.