Pentagon scraps JEDI cloud deal in favor of new multi-vendor approach

In a startling reversal the Pentagon has changed its position on the $10 billion JEDI cloud contract, splitting the contract between Amazon and Microsoft. The US Department of Defense indicated that the contract as it exists no longer meets its needs. Microsoft initially won the contract in late 2019.

The new "multivendor" approach encompasses proposals exclusively from Microsoft and Amazon, the only two companies deemed capable of delivering the DoD's needs. Amazon stock soared 4.2 percent after the news, while Microsoft dropped 1.2 percent. The replacement Joint Warfighter Cloud Capability will be awarded for five years.

Past JEDI reports: