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Pentagon Gives Cloud Contracts to Amazon, Google, Microsoft and Oracle


Department of Defense speak Fourth that it has awarded lucrative cloud computing contracts to four companies: Amazon, Google, Microsoft and Oracle. The contracts run through 2028 and could be valued at up to $9 billion, the Pentagon said in a press release.

This work is for a new cloud architecture called Common Combat Cloud Capabilities, which will provide the Department of Defense with cloud services “across all security domains and classification levels.” .

The decision to award contracts to four companies is a change for the Pentagon, three years after it had launched a $10 billion cloud computing contract to Microsoft. That contract, for Joint Enterprise Defense Infrastructure, known as JEDI, became part of a legal battle over claims that President Donald J. Trump interfered in a beneficial process. for Microsoft compared to its rival contractor, Amazon.

Dan Ives, a technology analyst at Wedbush Securities, said: “This is the largest cloud Beltway deal in history and a key win-win for all hardware vendors. soft in this play of many years”. “It’s good to finally wrap up this chapter and finally close a cloud deal for the Pentagon after years of slide.”

Amazon, Google, Microsoft and Oracle did not immediately respond to requests for comment.

In 2021, the Ministry of Defense said won’t move forward with Microsoft’s contract, as it “was developed at a time when the needs of our different departments and our ability to communicate with the cloud were incomplete”.

Instead, the Pentagon said, it will seek bids from multiple technology companies for Joint Combat Cloud Capabilities. While market research indicates that Microsoft and Amazon will be best positioned to meet demand, officials said they will also reach out to IBM, Oracle and Google.

Wednesday’s announcement of a government marquee contract is a big win for a host of tech companies. The largest of them has pushed hard on the previous JEDI contract, seen as a way to transform and modernize the military’s cloud computing systems. Oracle is one of the companies that has lobbied for the Pentagon to award cloud computing and other government contracts to multiple companies.

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