Cloud: Amazon, Google, Microsoft and Oracle selected to equip the Pentagon


In the end, the Pentagon chose to cut the cake in four for its cloud. Indeed, the US Department of Defense has chosen to award Amazon, Google, Microsoft and Oracle a contract to accelerate its digital transformation. This public order amounts to 9 billion dollars and runs until June 2028.

Initially, Microsoft thought it had won the day in 2019 when it was awarded a 10 billion dollar mega-contract called JEDI (Joint Enterprise Defense Infrastructure), but the United States Department of Defense finally backtracked in the summer of 2021, after a bitter legal battle initiated by Amazon. The e-commerce giant accused ex-President Donald Trump of influencing the Pentagon’s choice. The former tenant of the White House harbored strong animosity towards Jeff Bezos, the emblematic founder of the American group. The latter has in particular the washington posta newspaper behind several embarrassing investigations for Donald Trump.

A compromise under pressure from the White House

In the new contract, called Joint Warfighting Cloud Capability (JWCC), Amazon is not ruled out this time. By choosing the Seattle octopus, alongside other American cloud specialists Microsoft, Google and Oracle, the Department of Defense spared itself a series of twists and turns that could have lasted several years. Failing to bet everything on a single company, the Pentagon has chosen to compromise, under pressure from the Biden administration.

In a difficult economic context, this mega-contract constitutes a serious boost for the winners, in particular for Amazon whose cloud division is experiencing an erosion of its growth. In the third quarter, Amazon Web Services (AWS) saw its revenues increase by 27%, to 20.5 billion dollars, against 39% a year ago. However, this slowdown in the cloud is not a big surprise, given the rise of Google Cloud and Microsoft Azure.



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