Amazon has continued to fight the Department of Defense over the $ 10 billion contract, as the Pentagon has completed its review of the deal and determined once again that it was right to hand over the entire project to Microsoft.
DoD began bidding for a large-scale cloud-computing contract for the Joint Enterprise Defense Infrastructure (JEDI) project in 2019. As of April that year, the shortlist was for two finalists: Amazon AWS and Microsoft Azure. Amazon was widely considered a favorite, and many industry watchers expressed surprise when Microsoft finally landed the deal in October 2019.
Amazon sued, alleging that the decision was politically motivated and cited President Donald Trump’s alleged intent to “screw the Amazon”. In February of this year, a federal judge agreed to order injunctions on the deal pending the outcome of the case.
The DOD began its preliminary investigation of the contracting process. That review, concluded in April, determined that the DoD did nothing wrong in awarding the contract to Microsoft – even though the White House blamed investigators and refused to give witnesses for the investigation.
This spring the agency also reconsidered specific parts of the contract. The review came to an end just before the Pentagon’s holiday weekend, with the Pentagon reaffirming that “Microsoft’s proposal represents the best deal for the government.” However, when the injunction is enforced, work on the contract cannot begin.
Microsoft praised the DOD decision. The company said in a statement, “We appreciate that after careful review, DoD confirmed that we offered the right technology and the best prices.” “We are ready to work and to ensure that those serving our country are in great need of this technology.”
Amazon, in a fearsome corporate blog post, strongly rejected the agency’s findings.
“Taking corrective action should provide DoD the opportunity to address many of the content evaluation inaccuracies noted in our protests, ensure a fair and level playing field, and ultimately expedite the conclusion of litigation,” Amazon wrote. “Unfortunately, the DoD declined that opportunity.”
Amazon’s bid for JEDI is “tens of millions of dollars” lower than Microsoft’s, the company alleges, and the “review” was only effectively to show. Why? Because of President Trump, Amazon says:
The way President Trump behaves when he is called out to do something is a recurring pattern: first he refuses to do it, then he looks to the side to overcome it, attention from it To remove and delay efforts to investigate it. (So people get bored and forget about it). And then he doubles up on the aggressive act anyway. On JEDI, President Trump allegedly ordered former secretary [of Defense James] Amazon intervened in an active purchase in order to “screw” Amazis, instructing its subordinate to conduct an unconventional “review” before the contract award was announced and then stop an investigation into his own political interference. “Corrective action” was used to halt our litigation, delaying further investigation and falsely pretending that only one issue needed to be fixed to rectify that the DoD did in fact fix something Was going … This corrective action has changed nothing, five months that could have been spent to get to the bottom of these serious concerns, and to completely divert attention from our broader concerns and be corrupted by the President’s selfishness The decision was prepared to be confirmed.
The company intends to continue its legal action against the Department of Defense.