FedRAMP is pushing for automated ATOs using OSCAL to cut authorization times from 18 months to under 6 months. Here's what cloud vendors need to know.

If you're a cloud service provider trying to sell to federal agencies, you know the pain: the FedRAMP Authorization to Operate (ATO) process has historically taken 18+ months. That timeline kills deals, burns budgets, and frustrates agencies desperate for modern cloud capabilities. But FedRAMP is finally addressing this with a fundamental shift—mandating OSCAL (Open Security Controls Assessment Language) to enable automated compliance validation.
This isn't a minor procedural update. It's the transformation of federal cloud security from document-driven bureaucracy to machine-readable automation. If you're pursuing FedRAMP authorization, understanding OSCAL is no longer optional—it's mission-critical.
OSCAL is NIST's standardized, machine-readable format for representing security documentation. Instead of producing thousands of pages of PDF-based Security Assessment Plans (SAPs) and System Security Plans (SSPs), you generate structured data that machines can validate, agencies can query, and auditors can analyze programmatically.
Think of it this way: Traditional FedRAMP documentation is like submitting your taxes on paper forms filled out by hand. OSCAL is like using tax software that auto-checks your math, flags errors in real-time, and electronically files everything. Same information, radically different efficiency.
OSCAL defines several data models that map to the FedRAMP compliance lifecycle:
Catalog: The NIST 800-53 security controls themselves, expressed in machine-readable format. This is the baseline all cloud systems must meet.
Profile: FedRAMP's specific implementation of 800-53 controls, including the Low/Moderate/High baselines. This defines what you need to comply with.
System Security Plan (SSP): Your cloud system's documented implementation of required controls. In OSCAL, this is structured data, not narrative paragraphs.
Security Assessment Plan (SAP): The methodology for testing your controls. OSCAL makes this testable and repeatable.
Security Assessment Report (SAR): The results of testing. With OSCAL, this can be continuously updated as controls are validated.
Plan of Action & Milestones (POA&M): Your remediation plan for any gaps. OSCAL allows tracking progress programmatically.
The traditional FedRAMP process is labor-intensive at every stage:
With OSCAL-driven automation, the process fundamentally shifts:
The result: FedRAMP ATOs that once took 18 months could realistically compress to under 6 months for well-prepared cloud providers.
FedRAMP began accepting OSCAL submissions in 2022. As of 2025, OSCAL is increasingly becoming the expected format, with the PMO (Program Management Office) prioritizing OSCAL-ready packages for faster processing.
Key Dates and Expectations:
If you're planning a FedRAMP authorization in the next 12 months, you should be building OSCAL-compatible documentation now.
Transitioning to OSCAL isn't trivial, but it's structured. Here's the implementation path I recommend for cloud vendors:
Start by familiarizing your compliance team with OSCAL's structure. NIST provides official documentation, schemas, and examples at pages.nist.gov/OSCAL. Key resources:
If you already have an SSP or SAP, map it to OSCAL structures. Many vendors start by converting their existing documentation into OSCAL format using tools like:
The real power of OSCAL comes from integration with your DevOps pipeline. If you're deploying cloud infrastructure using Terraform, CloudFormation, or similar tools, you can programmatically generate OSCAL documentation from your actual infrastructure state.
Example approach:
FedRAMP requires evidence that controls are implemented and functioning. Traditionally, this meant screenshots, log exports, and narrative explanations. With OSCAL, you can automate evidence collection:
Third-Party Assessment Organizations are adapting to OSCAL at different rates. Engage a 3PAO that has OSCAL experience and can validate your approach before formal assessment. Some 3PAOs offer pre-assessment readiness reviews specifically for OSCAL submissions.
FedRAMP provides specific guidance and tools:
If you're a cloud vendor pursuing FedRAMP, OSCAL readiness is becoming a competitive differentiator. Agencies are increasingly asking, "Are you OSCAL-ready?" during procurement evaluations. Being able to demonstrate OSCAL-native compliance documentation can:
For contractors supporting cloud vendors, OSCAL expertise is in high demand. Skills in OSCAL tooling, compliance automation, and policy-as-code are valuable across the FedRAMP ecosystem.
OSCAL isn't a magic bullet. Implementation challenges include:
Tooling Maturity: OSCAL tools are still maturing. Expect friction, incomplete features, and the need for custom development to integrate OSCAL into your existing workflows.
Learning Curve: Compliance teams accustomed to Word and Excel will need to learn structured data formats, JSON/YAML/XML schemas, and programmatic validation.
3PAO Readiness: Not all 3PAOs are equally proficient with OSCAL. Some are still primarily document-based in their assessment approach.
Control Interpretation: Some FedRAMP controls require subjective assessment. OSCAL can standardize the format, but human judgment is still needed for complex controls.
Despite challenges, OSCAL represents the most significant improvement to federal compliance processes in a decade. For cloud vendors willing to invest in OSCAL adoption, the payoff is substantial:
FedRAMP's shift to OSCAL is irreversible. The question isn't whether to adopt OSCAL, but how quickly you can implement it effectively. Cloud vendors that treat OSCAL as a strategic investment—not just a compliance checkbox—will dominate the federal market in the years ahead.
Start now. Learn the OSCAL models. Integrate OSCAL generation into your DevOps pipeline. Engage a 3PAO with OSCAL experience. Build evidence collection automation. The FedRAMP ATO that used to take 18 months is within reach in under 6 months—if you're OSCAL-ready.
The federal cloud market is waiting. The compliance bottleneck is breaking. Be ready to move fast.