Daily US Times: The Pentagon is scrapping a $10bn dollar cloud computing contract, Joint Enterprise Defense Infrastructure (Jedi), which sparked a row between Amazon and Microsoft.
The US Department of Defense said the $10bn contract no longer met its current needs due to the “shifting technology environment”.
Microsoft was awarded the multibillion-dollar contract, but Amazon claimed President Trump had influenced the decision.
Microsoft and Amazon will both have the opportunity to bid for a new contract.
After Microsoft won the massive Joint Enterprise Defense Infrastructure (Jedi) contract, it drew a legal challenge and complaints from tech rival Amazon, which claimed that the choice was politically motivated.
In a statement on Tuesday, the Department of Defense (DoD) said: “With the shifting technology environment, it has become clear that the Jedi Cloud contract, which has long been delayed, no longer meets the requirements to fill the DoD’s capability gaps.”
The statement added that it would seek new proposals “from a limited number of sources”, including both Microsoft and Amazon.
Microsoft and Amazon are the only suppliers it said would be capable of meeting the brief, although it would consider other firms.
The Jedi system was designed to replace the Department of Defense’s ageing computer networks with one single cloud system, which would have provided artificial intelligence-based analysis to the military and hosted classified secrets.
But after the work was awarded to Microsoft in 2019, Amazon filed a legal challenge to object.An Amazon Web Services spokesperson told the BBC: “We understand and agree with the DoD’s decision.