US Defense Dept cancels $10B JEDI contract with Microsoft

News

Surprise move

The US Defense department is cancelling a $10B JEDI contract awarded to Microsoft.  The Pentagon says that they seek a new multi-cloud , multi vendor contract.  

The Pentagon will seek proposals from both Amazon and Microsoft. 

They added that 

  • The JEDI contract now longer meets the requirements of the Dept of Defense capability needs as initially bid on during the Trump administration.  

Amazon was contesting the contract award to Microsoft.  

It seems we are back to square one with regard to the contract. Both Amazon and Microsoft are likely the favorites to be awarded the contract again. Will the original contract sway opinion for the new contract?

MSFT is trading down -$1.75 at $275.80

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