Traditional government procurement standards are full of barriers that build complexity, transactions cost, and time into each process. The possible benefits of the complexity are extremely disproportionate to their cost, favor larger vendors who have a vested interest in perpetuating that complexity. This results in inhibiting innovation, and eroding the US's competitive position in the world as other countries leapfrog the US. We build large scale acquisitions that result in unmanageable contracts of 100's of millions of dollars when fairly inexpensive software solutions exist, or can be easily developed, The government would benefit from the shared cost of software development and implementation in Software as a Service solutions for instance (SaaS), especially for communications functions. Reform of software procurement and traditional government relationship with vendors should be at the heart of governmental reform. Foster new ways of implementing software and encourage small firms to deliver big innovate results.