From Financial Modeling Prep: 2025-03-02 05:11:45

The Trump administration abruptly shut down 18F, a team known for modernizing federal websites and creating the IRS’s free tax-filing service, impacting 90 employees. Elon Musk’s oversight signals a shift in government digital services efficiency.

Established in 2014, 18F modernized government websites, developed IRS Direct File, and enhanced cybersecurity across agencies, reducing reliance on private vendors.

The shutdown of 18F was sudden, citing an Executive Order and deeming the team “non-critical,” sparking controversy and market reactions among tech and consulting firms.

Policy shifts may involve using personal tax records for fraud detection in federal programs, raising privacy concerns and legal challenges.

The future of government digital transformation is uncertain post-18F shutdown, potentially leading to delays in tech upgrades and outsourcing to private firms, under Musk’s leadership.



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