The Pentagon’s $9 Billion Cloud Contract Will Be Handled By Amazon, Google, Microsoft, and Oracle

December 13, 2022
Amazon, Google, Microsoft, & Oracle will Handle Pentagon's $9 Billion Cloud Contract
Amazon, Google, Microsoft, & Oracle will Handle Pentagon's $9 Billion Cloud Contract

The Department of Defense (DOD) has chosen Amazon, Google, Microsoft, and Oracle as its new cloud service providers, more than a year after shutting down its previous attempt to modernize its IT infrastructure. The Pentagon has granted the businesses separate contracts for the Joint Warfighting Cloud Capability (JWCC) project, with a combined budget of $9 billion, according to a credible source. This endeavor is a continuation of the DOD’s abandoned Joint Enterprise Defense Infrastructure (JEDI) programme, which was intended to connect the department’s many divisions via a single cloud service provider.

In 2019, the agency granted Microsoft a $10 billion JEDI contract. However, shortly after that, Amazon filed a lawsuit against Microsoft, stating that the review process had “clear deficiencies, errors, and unmistakable bias.” Amazon said at the time that the Pentagon’s decision was based on “egregious errors” and was “the result of improper pressure from President Donald J. Trump.” The business accused the former President of initiating “repeated public and behind-the-scenes attacks” on it in an attempt to persuade the Pentagon not to award the JEDI contract to Jeff Bezos, “his perceived political enemy.”

While the Pentagon’s inspector general office found no proof that Trump intervened with the selection process, it did highlight that some White House officials did not participate with its inquiry. Finally, the agency decided to scrap the JEDI project because it “no longer meets its needs.” Under the JWCC, the Pentagon will now deal with many suppliers for the cloud capabilities and services it requires, rather than just one.

Contracts with the firms will last through 2028 and will give the DOD access to centralized administration and dispersed control, worldwide accessibility, powerful data analytics, and enhanced security, among other things.

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