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Microsoft Amazon competes for $10 billion cloud computing contract US Department of Defense postpones announcement

2025-02-24 Update From: SLTechnology News&Howtos shulou NAV: SLTechnology News&Howtos > Servers >

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Shulou(Shulou.com)06/02 Report--

Cloud computing is one of the hottest areas in the technology industry, and the market is growing faster than traditional businesses, and two industry giants Amazon and Microsoft are currently trying their best to compete for a $10 billion cloud computing contract from the U.S. Department of Defense. The bidding for this project has also attracted a lot of attention from Silicon Valley and American business and political circles.

Cloud computing is one of the hottest areas in the technology industry, and the market is growing faster than traditional businesses, and two industry giants Amazon and Microsoft are currently trying their best to compete for a $10 billion cloud computing contract from the U.S. Department of Defense. The bidding for this project has also attracted a lot of attention from Silicon Valley and American business and political circles.

According to the latest news from foreign media, the US Department of Defense has decided to postpone the announcement of the bidding results. It is understood that the Pentagon will not award a lucrative multi-year cloud computing contract to bidders until the new Defense Secretary Mark Esper completes a series of comprehensive assessments of cloud computing technology.

"our job now is to let the new defense secretary understand why we need cloud computing," Deasy said. " He added that the Pentagon is in no hurry to award a huge cloud computing contract called Joint Enterprise Defense Infrastructure, or JEDI.

According to the original plan, the $10 billion cloud computing contract was supposed to formally award the winning bidder a $0.10 billion contract for 10-year service in September 2018.

According to foreign media reports, the contract may fall into the hands of Amazon or Microsoft, because only these two companies' bidding plans meet the requirements of the Pentagon. This huge contract will strengthen their market position in the field of cloud computing.

Amazon and Microsoft have yet to comment on the news that the US Department of Defense has postponed the announcement of the results of the bid. The winner of the bid will be announced later than the end of August.

Earlier this month, the Pentagon announced that Defense Secretary Mark Esper would review the bid after US President Donald Trump said he had received complaints from companies about a $10 billion cloud computing contract bid by the Department of Defense.

According to foreign media reports, Trump said in July that the message from companies was that the specifications of the contract were in favor of Amazon.

Amazon has an absolute lead in the global cloud computing market, with a reported market share of more than half, while rivals such as Microsoft, Google, IBM and Oracle have only a fraction or even a fraction of Amazon's share. Now, companies are taking steps to narrow the gap with Amazon.

In the cloud computing business model, enterprises and government departments do not have to buy expensive servers, dedicated software and telecom bandwidth to build networked data centers, and they only need to pay a monthly or annual fee to rent the resources of cloud computing companies. have a virtual data center. Cloud computing companies also provide online storage, high-performance CPU computing, databases, online applications, artificial intelligence and other rich services for customers to choose to buy.

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