JEDI contract put on hold after intense lobbying

President Trump echoes concerns of favouritism towards AWS during the bidding process

The Pentagon

The $10 billion JEDI contract to supply cloud computing services to the Pentagon has been halted after an aggressive lobbying campaign from rival tech companies.

According to CNN, which first reported the story, an inside campaign was allegedly carried out to dissuade President Trump from choosing Amazon's AWS as the winner of the contract.

Advertisement - Article continues below

Amazon and Microsoft are currently the only two companies in the race after Oracle and IBM were knocked out of the running months ago, but a one-page document was given to Trump which appears to visually outline Amazon's ten-year plan for cloud monopolisation.

The document is identical to one created by Oracle's top Washington lobbyist, Kenneth Glueck, an executive vice president with the company, Glueck told CNN.

CNN remarked that the document delivered to Trump, which may have been the deciding factor in delaying the JEDI contract due to be announced this month, was designed to play up to the feud between Trump and Amazon CEO Jeff Bezos.

"So sorry to hear the news about Jeff Bozo being taken down by a competitor whose reporting, I understand, is far more accurate than the reporting in his lobbyist newspaper, the Amazon Washington Post," tweeted Trump in relation to Bezos' divorce at the time. "Hopefully the paper will soon be placed in better & more responsible hands!"

Defence Secretary Mark Esper is currently investigating allegations of unfairness in the awarding of the contract, according to Pentagon spokeswoman Elissa Smith.

Advertisement
Advertisement - Article continues below
Advertisement - Article continues below

"Keeping his promise to Members of Congress and the American public, Secretary Esper is looking at the Joint Enterprise Defense Infrastructure (JEDI) program," Smith said in a statement on Thursday to Reuters. "No decision will be made on the program until he has completed his examination."

Speculation surrounding the treatment of AWS in the contract's bidding process has raged on for months, some have argued that the nature of the contract itself favours AWS and the services it offers.

Reports also suggest that Senator Mark Rubio penned a letter to national security advisor John Bolton requesting the contract be delayed.

"I respectfully request that you direct the delay of an award until all efforts are concluded in addition to evaluating all bids in a fair and open process in order to provide the competition necessary to obtain the best cost and best technology for its cloud computing needs," Rubio reportedly wrote.

The Joint Enterprise Defence Infrastructure (JEDI) contract is worth $10 billion and the project to renovate the Pentagon's IT infrastructure into a contemporary cloud-based one could span 10 years.

Featured Resources

The case for a marketing content hub

Transform your digital marketing to deliver customer expectations

Download now

Fast, flexible and compliant e-signatures for global businesses

Be at the forefront of digital transformation with electronic signatures

Download now

Why CEOS should care about the move to SAP S/4HANA

And how they can accelerate business value

Download now

IT faces new security challenges in the wake of COVID-19

Beat the crisis by learning how to secure your network

Download now
Advertisement

Recommended

Visit/microsoft-azure/34748/meet-azure-arc-a-microsoft-platform-for-those-that-want-a-bit-of-everything
Microsoft Azure

Meet Azure Arc, a platform to simplify deployment management

4 Nov 2019
Visit/cloud/355951/matt-gallatin-joins-reltio-as-its-chief-financial-officer
Cloud

Matt Gallatin joins Reltio as its chief financial officer

5 Jun 2020
Visit/security/hacking/355854/hackers-wreaking-havoc-on-googles-cloud-infrastructure
hacking

Hackers are wreaking havoc on Google’s Cloud infrastructure

1 Jun 2020
Visit/cloud/355386/finding-the-right-cloud-solution-for-your-database
Sponsored

Finding the right cloud solution for your database

21 Apr 2020

Most Popular

Visit/operating-systems/ios/355935/apple-confirms-serious-bugs-in-ios-135
iOS

Apple confirms serious bugs in iOS 13.5

4 Jun 2020
Visit/security/ransomware/355945/new-ransomware-uses-java-to-target-software-organisations
ransomware

Tycoon ransomware discovered using Java image files to target software firms

5 Jun 2020
Visit/hardware/355904/picking-the-perfect-multifunction-printer
Hardware

Picking the perfect multifunction printer

4 Jun 2020