Pentagon cancels $10 billion cloud contract that Amazon and Microsoft fought over

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Pentagon announces it’s calling off the $10 billion cloud contract that was the subject of a legal battle involving Amazon and Microsoft.

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 “due to evolving requirements, increased cloud conversancy, and industry advances, the JEDI Cloud contract no longer meets its needs.”

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.

Amazon and Microsoft did not immediately respond to CNBC’s requests for comment. Shares of Microsoft dipped slightly on the news and Amazon shares barely moved. The lucrative JEDI contract was intended to modernize the Pentagon’s IT operations for services rendered over as many as 10 years.

 

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aw man...

So. A man got a tattoo of a dollar on his peter. His friends asked why a dollar? He answered, I love money. Right now it's a dollar but if you stroke it a few times, it turns into $100.00.

Cancelled but $9 billion spent on admin to search best contractors.

HockeyTarheel now move that money into programs to help homeless vets among other things..

Rightfully so, though I am not sure about the official reason given (I have seen arguments about legal induced delays). AWS is pretty darn good and perhaps streets ahead of Azure. Trump the Crazy Horse likely influenced this decision so in effect it should be voided.

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