Microsoft beats Amazon to win the Pentagon’s $10 billion JEDI cloud contract


Illustration by Alex Castro / The Verge

The US government has awarded a giant $10 billion cloud contract to Microsoft, the Department of Defense has confirmed. Known as Joint Enterprise Defense Infrastructure (JEDI), the contract will provide the Pentagon with cloud services for basic storage and power all the way up to artificial intelligence processing, machine learning, and the ability to process mission-critical workloads.

It’s a key contract for Microsoft as the company battles Amazon for cloud dominance, and for a while it was up in the air as to whether Microsoft or Amazon would win this particular one. IBM and Oracle were both eliminated for the bidding back in April, leaving just Microsoft and Amazon as the only companies that could meet the requirements. The contract…

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