Executive Summary
North Dakota is the most consolidated state-government technology environment in the U.S. — and for a Dell seller that changes everything about how you cover the account. North Dakota Information Technology (NDIT) centrally delivers IT for nearly the entire public sector: state agencies, higher education (NDUS), K-12, counties, cities, the courts and the legislative branch all sit on the state-owned STAGEnet network and largely buy through NDIT. That means one CIO, one CISO, and one set of standards drive a 'whole-of-state' motion across ~250,000 devices. Two macro themes define 2025-26: (1) a statewide cybersecurity and K-20 cyber-education model (the PK-20W / 'PoweredByND' approach) that NDIT runs for the entire state, and (2) an energy-driven AI data-center buildout — Applied Digital's Polaris Forge campuses near Ellendale and Harwood (leased to CoreWeave, supporting Nvidia Blackwell), plus flared-gas and crypto-to-AI conversions — turning cheap power and cold climate into national AI-infrastructure capacity. For Dell, the public-sector buying motion is unusually centralized through NDIT and OMB State Procurement, while the private AI-factory boom is a separate, fast-moving ISG opportunity.
- Consolidated whole-of-state refresh: with NDIT buying client, datacenter, and network for nearly all public entities, a single relationship scales across agencies, NDUS, K-12 and local government.
- AI-infrastructure / 'AI factory' demand tied to the Applied Digital Polaris Forge buildout and other energy-powered data centers (PowerEdge, networking, liquid cooling, services).
- Whole-of-state cybersecurity: secure compute, endpoint, and infrastructure aligned to NDIT's centralized CISO function and PK-20W cyber program.
- Higher-ed and research computing across the North Dakota University System, including UND's UAS / autonomy and aerospace programs in Grand Forks.
Dell Action Plan
- Treat NDIT as the keystone account: because nearly all public-sector IT runs through one agency on STAGEnet, a single, well-positioned relationship scales across agencies, NDUS, K-12 and local government.
- Lead AI-infrastructure with the data-center boom: tie Dell ISG / AI Factory, networking and liquid-cooling offerings to Applied Digital's Polaris Forge campuses and other energy-powered builds (a commercial-ISG motion alongside the public-sector one).
- Align to the whole-of-state security mandate: position secure compute, endpoint and infrastructure to NDIT's centralized CISO and the PK-20W cyber program.
- Clear the procurement gates early: confirm Dell coverage on OMB cooperative state contracts, plan for NDIT's IT Review, and pass the mandatory third-party (cloud/data-hosting) security assessment before pursuing as-a-service deals.
- Engage NDUS / UND research computing for UAS, autonomy and aerospace workloads concentrated in Grand Forks.
Budget & Fiscal
North Dakota budgets on a two-year (biennial) cycle; the current biennium runs July 1, 2025 through June 30, 2027 and was set by the 69th Legislative Assembly (adjourned May 3, 2025). NDIT operates largely as an internal-service / rate-funded enterprise: in April of each even-numbered year it sets service rates for the upcoming biennium, and those rates generally hold for the two years because agencies cannot request additional funds mid-biennium. There is no single public 'state IT budget' line; technology spend flows through NDIT rates and through individual agency, higher-ed, and local budgets that buy NDIT services.
- Figures are biennial (two-year) or program-specific; the $3B Polaris Forge and $500M pipeline guarantee are private/economic-development items, not state IT appropriations.
- NDIT's rate-funded model means most public-sector technology dollars are visible as NDIT service rates rather than a single legislative IT line — confirm rate vs. capital funding before forecasting.
Initiatives & Policy
Whole-of-State Consolidation (NDIT + STAGEnet)6
Mature / ongoingNorth Dakota runs one of the most consolidated public-sector IT models in the nation. NDIT centrally delivers technology for state agencies, the university system, K-12, counties, cities, the courts and the legislature, all riding the state-owned STAGEnet 100GB fiber network (~250,000 devices). For Dell this means a single, scalable relationship can touch nearly every public entity in the state — but it also means standards and approvals funnel through one agency.
AI Data-Center / Polaris Forge Buildout8
AcceleratingCheap power, cold climate and flared natural gas are drawing hyperscale AI infrastructure. Applied Digital's Polaris Forge 1 (Ellendale, 400MW, leased to CoreWeave, supporting Nvidia Blackwell, claimed largest liquid-cooled deployment) is online in stages, and the $3B, 280MW Polaris Forge 2 broke ground near Harwood in late 2025. This is the strongest tailwind for Dell ISG / AI-factory and networking demand in the state.
Whole-of-State Cybersecurity & PK-20W7
National modelNDIT runs cyber defense and risk management for the entire public sector under a centralized CISO, and the PK-20W initiative makes North Dakota the first state to require computer-science and cybersecurity education at every K-12 grade level. The state's layered, zero-trust posture defends against billions of threats annually. A consolidated security mandate creates demand for secure compute, endpoint, and infrastructure across agencies, schools and local government.
Universal Broadband / Fiber by 20284
On trackNorth Dakota is on track to become the first state where every home and business can access high-speed fiber by 2028, built largely through telecom cooperatives and private carriers. CIO Corey Mock has named connectivity — fiber, plus a statewide interoperable first-responder radio network targeted for 2027 — as a top priority. Edge connectivity expands the addressable footprint for managed, public-sector technology.
UAS / Autonomy & Aerospace (Grand Forks / UND)9
ExpandingGrand Forks and the University of North Dakota anchor a national UAS / drone ecosystem: the Northern Plains UAS Test Site, the Vantis BVLOS network (first nonfederal entity to use unfiltered FAA radar data), and Project ULTRA defense cargo flights between Grand Forks AFB and Cavalier Space Force Station. These autonomy, sensor and aerospace workloads drive research-computing and edge-compute demand within NDUS.
Procurement & Competition
Public-sector technology buying is centralized through NDIT and OMB's State Procurement Office. NDIT adopts OMB Central Services Division purchasing procedures (the State Procurement Manual) as the standard for all technology purchases, and agencies must initiate an IT Review for buys above approval limits. Per N.D.C.C. 54-59-22, agencies (unless exempted) must obtain application and hosting services through NDIT. Cooperative state contracts established by the State Procurement Office are usable by a broad set of eligible entities — cities, counties, townships, public education, tribal entities and transit authorities.
| Vehicle / gate | What it means for Dell |
|---|---|
| OMB State Procurement cooperative contracts | Pre-competed state contracts open to state agencies, higher-ed, local government, tribal entities and more. Confirm Dell agreements and resellers are current and scoped. |
| NDIT IT Procurement / IT Review | NDIT co-develops RFP/contract templates with OMB and runs the mandatory IT Review for purchases above approval limits; hosting/application services route through NDIT. |
| Third-party (cloud) risk assessment | Since July 2023, any new vendor hosting state data or with admin access to NDIT systems must pass a third-party security assessment — a gate to clear early, including at renewal. |
| Key buying entity | Role |
|---|---|
| NDIT | Central IT delivery, standards, security and procurement gatekeeper for nearly the entire public sector. |
| OMB State Procurement Office | Owns the State Procurement Manual and cooperative state contracts; partners with NDIT on technology buys. |
| North Dakota University System (NDUS) | Higher-ed and research-computing buyer, incl. UND aerospace/UAS and autonomy workloads. |
| K-12 / EduTech & local government | Served via NDIT and STAGEnet; reached through the same consolidated motion and PK-20W program. |
North Dakota is a relationship- and standards-driven market: because NDIT centralizes delivery and approvals, the path runs through a small number of decision-makers and a mandatory IT Review / third-party assessment process. Differentiation comes from whole-of-state scale, AI-infrastructure capability tied to the data-center boom, and security-aligned offerings rather than price alone. The private AI data-center buildout (Applied Digital and peers) is a separate, faster commercial-ISG motion outside the public-sector gates.
Power Structure
| Decision-maker | Why they matter |
|---|---|
| Kelly Armstrong4 Governor · State of North Dakota | Took office Dec 2024; champions energy-driven economic development and the AI data-center buildout. |
| Corey Mock4 State CIO · NDIT | Named by Gov.-elect Armstrong, Nov 2024; ND's 9th CIO and a former state representative. Appointed to the NASCIO Executive Committee (term through 2026). Priorities: connectivity, ND Gateway portal, and 2026 data-hub/data-maturity work. |
| Chris Gergen7 Chief Information Security Officer · NDIT | Named CISO July 2025 after serving as interim; leads the whole-of-state cyber strategy. Confirmed current as of June 2026. |
| John Rodenbiker13 Director of Cyber Operations · NDIT | Named Jan 2026 from the private sector (BCBS of ND, Doosan Bobcat, Eide Bailly); runs the state cyber operations center under CISO Gergen. |
| Office of Management and Budget (OMB)5 State Procurement & budget · State of North Dakota | Owns the State Procurement Manual and cooperative contracts; one of NDIT's 'triumvirate of back-of-house services.' |
| North Dakota University System (NDUS)9 Higher-ed governance · State Board of Higher Education | Drives research computing, including UND's UAS/autonomy and aerospace programs in Grand Forks. |
News & Signals
Sources
- NDIT — 2025-2027 Budget Guidelines
- North Dakota Legislative Branch — 2025-27 Biennium (69th Assembly)
- GovTech — North Dakota CIO Corey Mock Is Focused on Connectivity
- StateScoop — North Dakota governor-elect names Corey Mock as new CIO
- OMB North Dakota — State Contracts and Cooperative Purchasing
- NDIT — Enterprise Computing and Broadband Expansion (STAGEnet)
- NDIT — North Dakota Information Technology Names Chris Gergen CISO
- Applied Digital — Polaris Forge 2 $3B campus groundbreaking
- Northern Plains UAS Test Site — News
- Applied Digital — Pricing of $1.59B senior secured notes for Polaris Forge 1 expansion (June 2026)
- North Dakota Monitor — ND lawmakers zero in on AI, data centers (interim committee, June 2026)
- ND Department of Commerce — North Dakota launches Dakota BOT (June 2026)
- GovTech — North Dakota's New Cyber Ops Leader Is From Private Sector (John Rodenbiker, Jan 2026)
- North Dakota Monitor — Data center concerns dominate public comment for new legislative committee (July 15, 2026)
- Valley News Live — Applied Digital expands in North Dakota, eyes Oliver County for third data center (July 13, 2026)
- Applied Digital — Applied Digital Delivers Second Building at Polaris Forge 1 (July 1, 2026)