{"id":180719,"date":"2021-07-06T21:50:00","date_gmt":"2021-07-06T19:50:00","guid":{"rendered":"https:\/\/www.arabtelegraph.com\/?p=180719"},"modified":"2021-07-06T21:54:00","modified_gmt":"2021-07-06T19:54:00","slug":"pentagon-cancels-10-billion-cloud-contract-that-amazon-and-microsoft-fought-over","status":"publish","type":"post","link":"https:\/\/www.arabtelegraph.com\/?p=180719","title":{"rendered":"Pentagon cancels $10 billion cloud contract that Amazon and Microsoft fought over"},"content":{"rendered":"\n<p class=\"has-text-align-center\"><strong>The Pentagon said in the press release that it still needs enterprise-scale cloud capability and announced a new multi-vendor contract known as the Joint Warfighter Cloud Capability.<\/strong><\/p>\n\n\n\n<p dir=\"ltr\"><strong>The Department of Defense announced Tuesday it\u2019s calling off the $10 billion cloud contract that was the subject of a legal battle involving Amazon and Microsoft.<\/strong><\/p>\n\n\n\n<p dir=\"ltr\"><strong>The JEDI, or Joint Enterprise Defense Infrastructure, deal has become one of the most tangled contracts for the Department of Defense. In a press release Tuesday, the Pentagon said that \u201cdue to evolving requirements, increased cloud conversancy, and industry advances, the JEDI Cloud contract no longer meets its needs.\u201d<\/strong><\/p>\n\n\n\n<p dir=\"ltr\">But the fight over a cloud computing project does not appear to be completely over yet. The Pentagon said in the press release that it still needs enterprise-scale cloud capability and announced a new multi-vendor contract known as the Joint Warfighter Cloud Capability. The agency said it plans to solicit proposals from both Amazon and Microsoft for the contract, adding that they are the only cloud service providers that can meet its needs. But, it added, it will continue to do market research to see if others could also meet its specifications.<\/p>\n\n\n\n<p dir=\"ltr\">Amazon and Microsoft did not immediately respond to CNBC\u2019s requests for comment. Shares of Microsoft dipped slightly on the news and Amazon shares barely moved.<\/p>\n\n\n\n<p dir=\"ltr\">The lucrative JEDI contract was intended to modernize the Pentagon\u2019s IT operations for services rendered over as many as 10 years.\u00a0Microsoft\u00a0was\u00a0awarded the cloud computing contract in 2019, beating out market leader\u00a0Amazon\u00a0Web Services.<\/p>\n\n\n\n<p dir=\"ltr\">A month later, Amazon\u2019s cloud computing unit filed a lawsuit in the U.S. Court of Federal Claims protesting the JEDI decision.<\/p>\n\n\n\n<p dir=\"ltr\">The company argued that President Donald Trump\u2019s bias against Amazon and its CEO, Jeff Bezos, influenced the Pentagon to give the contract to Microsoft.<\/p>\n\n\n\n<p dir=\"ltr\">Last year, the\u00a0Pentagon\u2019s inspector general released a report\u00a0saying that the award did not appear to be influenced by the White House.<\/p>\n\n\n\n<p dir=\"ltr\">However, the inspector general noted in the 313-page report published in April 2020, that it had limited cooperation from White House officials throughout its review and, as a result, it could not complete its assessment of allegations of ethical misconduct.<\/p>\n\n\n\n<p dir=\"ltr\">The DoD said its cloud vendor for the new contract will have to meet several criteria, like working on all three classification levels (i.e. unclassified, secret or top secret), be available around the world and have top tier cybersecurity controls.<\/p>\n\n\n\n<p dir=\"ltr\">The agency said it expects the contract value to be in the multi-billions, though it is still determining the maximum value. It expects the contract to last up to five years, including a three-year performance base period and two, one-year option periods<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Pentagon said in the press release that it still needs enterprise-scale cloud capability and announced a new multi-vendor contract known as the Joint Warfighter Cloud Capability. The Department of Defense announced Tuesday it\u2019s calling off the $10 billion cloud contract that was the subject of a legal battle involving Amazon and Microsoft. The JEDI, &hellip;<\/p>\n","protected":false},"author":3,"featured_media":180720,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[36],"tags":[],"class_list":["post-180719","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-te-public"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Pentagon cancels $10 billion cloud contract that Amazon and Microsoft fought over - Arab Telegraph<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.arabtelegraph.com\/?p=180719\" \/>\n<meta property=\"og:locale\" content=\"ar_AR\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Pentagon cancels $10 billion cloud contract that Amazon and Microsoft fought over - Arab Telegraph\" \/>\n<meta property=\"og:description\" content=\"The Pentagon said in the press release that it still needs enterprise-scale cloud capability and announced a new multi-vendor contract known as the Joint Warfighter Cloud Capability. The Department of Defense announced Tuesday it\u2019s calling off the $10 billion cloud contract that was the subject of a legal battle involving Amazon and Microsoft. 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