Unpacking the DOGE Audit of HUD's Software Licenses:

A Deep Dive into Government Efficiency and Oversight

Introduction: The Emergence of DOGE and Its Mission

In early 2025, the U.S. government established the Department of Government Efficiency (DOGE) , tasked with identifying and eliminating wasteful spending across federal agencies. One of DOGE's initial targets was the Department of Housing and Urban Development (HUD), focusing on the agency's software licensing practices. The audit aimed to uncover inefficiencies and optimize resource allocation within HUD's IT infrastructure.

The Audit Findings: A Snapshot of Software License Utilization

DOGE's audit of HUD revealed significant discrepancies between the number of software licenses purchased and those actively in use. Key findings included:

35,855 ServiceNow licenses across three products, with only 84 actively used .

11,020 Adobe Acrobat licenses with zero users .

1,776 IBM Cognos licenses, with only 325 in use .

800 WestLaw Classic licenses, with 216 users .

10,000 Java licenses, with 400 users .

These figures suggest that HUD was paying for a substantial number of software licenses that were either underutilized or entirely unused.

Understanding the Context: Why the Discrepancy?

While the audit's findings appear alarming, it's essential to consider the complexities of software licensing within large government agencies:

Procurement Strategies: Agencies often purchase licenses in bulk to secure volume discounts and prepare for future staffing needs.

Device-Based Licensing: Some software licenses are tied to devices rather than individual users, leading to higher license counts .

Operational Requirements: Agencies may maintain surplus licenses to ensure readiness for unforeseen projects or emergencies.

These factors can contribute to apparent over-licensing, which may not necessarily indicate wasteful spending.

The Response: Actions Taken and Recommendations

In response to the audit, HUD acknowledged the findings and committed to reviewing its software licensing practices. The agency's Information Technology Asset Management Policy emphasizes the importance of tracking software license agreements and maintaining accurate inventories to control assets throughout their lifecycle .

The Government Accountability Office (GAO) has also made recommendations to federal agencies, including HUD, to consistently track software license usage and compare inventories with purchased licenses.

The Broader Implications: Efficiency vs. Oversight

DOGE's audit of HUD has sparked a broader conversation about government efficiency and oversight. While identifying unused licenses can lead to cost savings, critics argue that DOGE's approach lacks nuance and may overlook legitimate operational needs . Furthermore, concerns have been raised about DOGE's auditing practices, including potential data security issues and the qualifications of its personnel .

Conclusion: Striking a Balance

The DOGE audit of HUD's software licenses highlights the challenges of managing IT resources within large government agencies. While efforts to eliminate waste are commendable, it's crucial to balance efficiency with a thorough understanding of operational requirements. Moving forward, agencies should implement robust asset management practices, regularly audit software usage, and ensure that procurement strategies align with actual needs. By doing so, they can optimize resources while maintaining the flexibility necessary to fulfill their missions.