The Pentagon awarded Microsoft Corp. a major contract Friday to build a large cloud-computing system for the U.S. military. The move is seen as a significant setback for Microsoft rival Amazon.com Inc., who had been expected to win the $10 billion deal.
The Joint Enterprise Defense Infrastructure (JEDI) contract is a boon for Microsoft, as it looks to build up its cloud-computing business to compete with dominant Amazon.
According to the Wall Street Journal, Amazon said it was “surprised about this conclusion. AWS is the clear leader in cloud computing, and a detailed assessment purely on the comparative offerings clearly lead to a different conclusion.”
President Trump has been a vocal critic of Amazon.