The U.S Defense Department is weighing the $10-billion contract it awarded to Microsoft Corp. over a legal battle with rival Amazon, according to a report.
The Pentagon could pull the contract if a federal judge does not dismiss the Amazon case. It said it would rather move on without Microsoft’s JEDI than wait for a ruling.
Amazon alleges that former President Donald Trump meddled and cost the company the winner-take-all contract for the cloud project. The Pentagon in February said it would take too long to prove otherwise.
“If the court denies the government’s motion we will most likely be facing an even longer litigation process,” Pentagon spokesman John Kirby said last month.
The Defense Department is in talks with other possible partners, seen as a sign that it is already moving forward. Microsoft executives are also trumpeting all the other work it plans to do for the department in the event the deal goes south.
Pentagon has 13 other cloud projects including partnerships with Oracle Corp., Amazon, General Dynamics Information Technology and Microsoft.
