Amazon just lost a pretty big cloud computing deal which is a huge loss for the company. The JEDI contract of $10 Billion of cloud computing has been officially awarded to Microsoft. The Joint Enterprise Defense Infrastructure of Defense cloud computing contract which is reported at $10 Billion is the controversial contract of the US Government. Amazon was a frontrunner in the race but due to Donald Trump’s opposition, this is now awarded to Microsoft.
Talking about Donald Trump an attorney with the law firm McCarter & English, Franklin Turner said, “It’s crystal clear here that the President of the United States did not want this contract to be awarded to one of the competitors. As a result, it’s fairly likely that we will see a number of challenges that the procurement was not conducted on a level playing field.”
Photo Credit: Los Angeles Times
According to him, “Microsoft should expect a near-term war here. It’s a virtual guarantee that Amazon is going to pull out all the stops to check the government’s math on this one.”
Now the 10-year military contract for cloud computing worth an estimate of $10 Billion has gotten away under the nose of Amazon, the company is actually experiencing a huge loss. As per Drew Herdner, the spokesperson from Amazon, “We’re surprised about this conclusion. AWS is the clear leader in cloud computing, and a detailed assessment purely on the comparative offerings clearly leads to a different conclusion.”
Last year the company said in a statement, “We believe the best approach is one that leverages the innovations of multiple cloud service providers.”