Amazon And Microsoft Are Battling Over The Military’s “War Cloud” System

Before August ends, the Pentagon will decide which tech company will receive a $10 billion contract to build a “war cloud” computing system. The computing network which was formally known as JEDI or the Joint Enterprise Defense Infrastructure plan would allow the Pentagon to make use of AI to boost its war planning as well as fighting capabilities by storing and processing a vast database of classified data.

At the moment, it will be either Amazon or Microsoft who will get the contract. However, there are allegations stating that Pentagon’s favor for Amazon has slowed down the bidding process. Since its contract with the CIA to set up a high-security cloud system, Amazon and military leaders have already formed close ties. The AP reports that Oracles which was already eliminated accused the Pentagon of its favoritism toward Amazon and how it tailor-made JEDI for Amazon.

Daniel Ives, Wedbush Security analyst, explained:

Amazon Web Services has always been the leader in the cloud computing field. But Azure cloud platform from Microsoft, as well as other providers like Google, has been catching up steadily, in both government and corporate settings.

JEDI, with a price tag of $10 billion, has been the hottest cloud deals ever. Last year, the Defense Department unveiled a cloud strategy document in which it calls for the replacement of the information systems that are "disjointed and stove-piped” of the military with a commercial cloud service.

A hearing is going to be carried out on Wednesday. At the hearing, Oracle representative will declare their statement about the unfairness of the bidding. And it is likely that the military leaders will express their desire to continue with the contract.

According to Lt. General Bradford Shwedo, the delays of the contract are going to “hamper our critical efforts in AI.”  Moreover, the U.S will fall behind those who weapon "their use of data.”