Home / Tech News / Jeff Bezos is just fine taking the Pentagon’s $10B JEDI cloud contract

Jeff Bezos is just fine taking the Pentagon’s $10B JEDI cloud contract


Some tech firms might need an issue taking cash from the Division of Protection, however Amazon isn’t considered one of them, as CEO Jeff Bezos made clear as we speak at the Wired25 conference. Simply final week, Google pulled out of the operating for the Pentagon’s $10 billion, 10-year JEDI cloud contract, however Bezos recommended that he was completely happy to take the federal government’s cash.

Bezos has been surprisingly quiet in regards to the contract up till now, however his firm has actually attracted loads of consideration from the businesses competing for the JEDI deal. Simply final week IBM filed a formal protest with the Authorities Accountability Workplace claiming that the contract was stacked in favor one vendor. And whereas it didn’t title it instantly, the clear implication was that firm was the one owned by Bezos.

Final summer season Oracle also filed a protest and in addition complained that they believed the federal government had arrange the contract to favor Amazon, a cost spokesperson Heather Babb denied. “The JEDI Cloud remaining RFP displays the distinctive and significant wants of DOD, using the perfect practices of aggressive pricing and safety. No distributors have been pre-selected,” she said last month.

Whereas opponents are clearly anxious about Amazon, which has a substantial lead within the cloud infrastructure market, the corporate itself has stored quiet on the deal till now. Bezos set his firm’s assist in patriotic phrases and considered one of management.

“Typically one of many jobs of the senior management crew is to make the best determination, even when it’s unpopular. And if if large tech firms are going to show their again on the US Division of Protection, this nation goes to be in bother,” he mentioned.

“I do know everyone seems to be conflicted in regards to the present politics on this nation, however this nation is a gem,” he added.

Whereas Google tried to border its determination as taking a principled stand towards misuse of expertise by the federal government, Bezos selected one other tack, stating that every one expertise can be utilized for good or in poor health. “Applied sciences are all the time two-sided. You understand there are methods they are often misused in addition to used, and this isn’t new,” Bezos advised Wired25.

He’s not flawed in fact, however it’s arduous not to have a look at the dimensions of the contract and see it as purely a enterprise determination on his half. Amazon is as sizzling for that $10 billion contract as any of its opponents. What’s totally different on this speak is that Bezos made it sound like a purely patriotic determination, slightly than financial one.

The Pentagon’s JEDI contract might have a price of as much as $10 billion with a most size of 10 years. The contract is framed as a two yr take care of two three-year choices and a remaining one for 2 years. The DOD can choose out earlier than exercising any of the choices.

Bidding for the contract closed final Friday. The DOD is anticipated to decide on the profitable vendor subsequent April.



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