Pentagon Isn't Breaking Up With Microsoft

Issue 35

09.07.20 - After much deliberation, Microsoft will continue to hold the $10 billion Pentagon JEDI Cloud contract awarded last October after being contested by Amazon.  The contract is intended to modernize the Pentagon’s massive IT infrastructure and could be valued up to $10 billion for services rendered over as many as 10 years.

“The Department has completed its comprehensive re-evaluation of the JEDI Cloud proposals and determined that Microsoft’s proposal continues to represent the best value to the Government,” the Pentagon said in a statement. “The JEDI Cloud contract is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract that will make a full range of cloud computing services available to the DoD. While contract performance will not begin immediately due to the Preliminary Injunction Order issued by the Court of Federal Claims on February 13, 2020, DoD is eager to begin delivering this capability to our men and women in uniform.”

Amazon reacted by Jeff Bezos angrily blogging that he will exact vengeance. On a serious note, it’s no secret that there is animosity between the company’s founder and the current administration, the company’s blog post, Amazon is further crying political foul and bias. Amazon plans to continue to pursue action against the decision. The companies both provide a comparable service, any legal action to further halt the contract leaves the American taxpayers the losers, as every day we have inadequate cloud infrastructure at the department of defense is another day that passes by with a potential looming national security threat.

Source: CNBC