MS to Execute $11 Trillion Cloud Project for U.S. Department of Defense

US Department of Defense IT Infrastructure Cloud Migration 'JEDI' Project

[Asia Economy Reporter Jin-gyu Lee] Microsoft (MS) will carry out the U.S. Department of Defense's $10 billion (11.86 trillion KRW) cloud project.

According to foreign media including CNBC on the 8th, the U.S. Department of Defense decided to continue entrusting the $10 billion (11.86 trillion KRW) cloud project to MS. Accordingly, MS is expected to execute the 'JEDI' project, which involves migrating the Department of Defense's IT infrastructure to the cloud.

Until now, the Department of Defense had been reconsidering the selection of the contractor. Amazon, the number one company in the cloud market, was expected to win the project, but then U.S. President Donald Trump ordered a review of the contractor selection. As a result, MS was selected as the final contractor in October last year.

After MS was selected as the final contractor, Amazon filed a lawsuit in the U.S. Federal Claims Court, claiming that "President Trump exerted influence to exclude Amazon from the project." The Federal Claims Court accepted Amazon's position earlier this year and issued a preliminary injunction ordering the Department of Defense not to start the JEDI project procedures.

Subsequently, the Department of Defense again received and reviewed project proposals from both MS and Amazon, and stated that there was no problem with MS being selected as the final contractor.