US Pentagon officials plan to discontinue the JEDI cloud-computing project, which is still in court, according to The Wall Street Journal. The project has stalled since 2019 following Amazon’s court contest over the award of the project to Microsoft.
Pentagon’s efforts to have Amazon’s case over the project dismissed were thrown away by a federal judge.
Deputy Defense Secretary Kathleen Hicks hinted that the progress of the case has to be evaluated around the project to come up with the best solution.
A Pentagon report to Congress in the latest court contest revealed that continued win in favor of Amazon could prolong the period for the implementation of the JEDI project.
The prolonged court trial on the JEDI project could make its procurement process questionable.
Some legislators and contracting experts have questioned the single-vendor approach used to award the JEDI project to Microsoft.
The JEDI project contract is estimated to be worth about $10 billion over a 10-year period and aims to strengthen the security of Pentagon data systems.Microsoft and Amazon are currently declining, MSFT: NASDAQ is down 1.08% on premarket, AMZN: NASDAQ is down 1.96% on premarket.